@eco, while it is true that other towns are also growing, it is important to know that their growth is because they are key commercial centres and not because they are county hqs. Would anyone ignore investing in Kitengela or Naivasha simply because they are not county hqs? They are fast growing towns, perhaps more than their hqs

before we answer that,what ru thinking of real estate as?is it for Capital gains or for monthly cashflow?even when real estate bubble bursts,those who get hurt r the capital gain waiters,lol.those who buy real estate for cashflow still gain there millions.rent doent change even when the bubble bursts..
back to the question,i agree those who think it will burst may be right,as history has proven in the developed countries(America on spot).should it happe,please be ready to buy for cashflow..an then CALL ME..lol

I go for both 10% off plan, rent out or sell with gains once complete. Where we are in Kenya, it is time for capital gains. This is helping helping to strategically own rentals for a handsome cashflow. And quote me, comparing Kenya to America concerning the real estate bubble burst is like comparing Nairobi and Mtito Andei or Kasighau and such like local shopping centres. What can hurt the trends in Kenya is political instability, God forbid . We recorded positive growth during the recent recession in the developed world. We can have temporally slow downs, but burst, nay. All those 20k tenants are longing to own houses, and as economy improves, more will get into the bracket. Why talk of bursts when the supply for good housing in Kenya is 5 times less the demand?

my take is that with the county government, real estate in kenya wil go the south africa way as in there will be many more cities each with its own economy as opposed to currently where we only have nairobi with a vibrant real estate industry.The net efect of this is a reduction of land costs and reduction of construction prices. Land in nakuru residential such as 58 or bahati is less than 1m per 1/8th. The same distance from cbd of nairobi, the 1/8th goes for 1.5 to 2m. This is coz of forces of demand nd supply coupled with lack of infrastructure investment by govt.Investors will get more by constructing in the counties than around Nairobi..

with the onset of counties,property prices will now be evenly distributed throughout the countries. See SA property prices here
http://www.myproperty.co...an_st0_130_10_-1_-1.aspx

@Ceinz umeongea ukweli kabisa! I went through mind transformation when I visited one/two of the counties, and it was total shock for me..!This is the right time to put foot there.

chances that there will be a real estate bubble burst anytime soon are too slim.This phenomena occurs when an assets turns toxic.our model of financing real estate development is too conservative/risk averse.its only CFC thts hav imported the practices-100% financing.remortgaging etc.so dont wait for it to happen ever unless we change the method of financing.prices can stall/stagnate but thts not a burst!