What are the indicators that the economy is booming because I don't see how? Fuel prices are still over 1USD/Litre ( actually on par with some very developed nations who have a better facilties and resources ), infrastructure is mostly private investments and the 1000Ksh note has little value in terms of purchasing power. The banks are still loaning at rates considered as high risk loans in other countries. 

 

So lets say the banks are behind the real estate boom but at the end of construction, the units have to be sold. Someone has to buy either cash outright or on mortgage loans. At the pace the units are being sold and at the high prices, the CBK report should have had quite a large figure of those who are on eg loans. This is not the case.

 

As for diasporans, if they are investing, that is good but makes no investments sense. For the property prices they pay here, they could easily buy in a good location where they are and reap stable rental benefits. Even if the rentals are better here due to the presence of int'l community, that is no guarantee that it will remain so.

 

Something is really amiss in the KE property market...

 

Me thots

 

Rgds.