Airbnb costs in Kenya have risen significantly over the last year, with daily rates increasing by as much as 15-25% in many urban and tourist-heavy areas. This growing trend has piqued the interest of real estate investors, particularly those seeking to diversify their portfolios with high-yield short-term rentals.
A number of real-world factors are driving this upward trend. As international tourism and business travel pick up again, more people are looking for short-term places to stay. At the same time, there’s been a steady rise in digital nomads, remote workers, and professionals relocating for work, many of whom prefer fully furnished apartments with flexible lease terms. With more guests competing for quality spaces, property owners are finding they can charge higher nightly rates, especially for modern apartments in great locations with strong amenities.
For investors, the appeal is easy to see. Short-term rentals can offer much better returns than traditional long-term leases, especially when managed well. On top of the income potential, they come with a level of flexibility that’s hard to ignore. You can adjust the pricing based on seasons, events, or market trends and still have the freedom to block off a few days or weeks for personal use when needed. That kind of versatility is a big plus, especially in fast-paced, ever-changing city markets.
That said, the growing popularity of short-term rentals has definitely raised the bar. It’s no longer enough to just have a unit listed, you have to offer something that stands out. Today’s guests are looking for more than just a place to sleep. They want style, comfort, and a smooth experience from the moment they book to the moment they check out. For investors, that means paying close attention to details like interior design, the quality of furnishings, fast Wi-Fi, and even little touches that make a stay feel special. In many cases, working with a professional property manager can really elevate the experience, helping keep your calendar full and your reviews glowing.
There’s no question that Airbnb is changing the landscape of real estate in Kenya. With nightly rates on the rise and more travelers choosing flexible stays over traditional hotels, the demand for well-run short-term rentals is only going up. If you've been thinking about getting into the market or expanding what you already have, now might be the right time to take that next step.
