Business Insider Africa previously reported on Africa’s most costly housing estate, citing economic growth and rising urbanization. As a result of the increasing demand for homes, property prices rise.
Certain cities have also established a distinct character inside their respective countries, becoming some of Africa’s most costly housing markets.
Despite the challenges that high property prices provide for residents, they act as signs of economic growth and prosperity, offering investment opportunities for those wishing to capitalize on the real estate market.
Statista predicts that Africa’s real estate sector would be worth $15.98 trillion by 2024. Within this industry, residential real estate dominates, with an estimated market volume of $13.39 trillion by 2024.
The market is predicted to increase at a yearly rate of 5.92% between 2024 and 2028, reaching a market volume of US$20.11 trillion by 2028.
Numbeo, a company known for its economic index, tracked property prices in cities throughout the continent to assess worldwide living standards.
In its 2024 study, Numbeo highlighted African cities with higher-priced housing.
Douala, Cameroon, has the highest property prices in Africa, followed by Addis Ababa, Ethiopia, and Algiers, Algeria.
The values in the current list represent Numbeo’s price-to-income ratio. The price-to-income ratio is an important metric of apartment buying affordability, with a lower ratio indicating greater affordability. Periodically, the platform’s indexes change.
The following are the top ten African cities with the most expensive real estate markets in 2024:
| Rank | City | Price-to-income ratio | Global rank |
|---|---|---|---|
| 1. | Douala, Cameroon | 48.3 | 1st |
| 2. | Addis Ababa, Ethiopia | 45.2 | 24th |
| 3. | Algiers, Algeria | 24.0 | 5th |
| 4. | Alexandria, Egypt | 18.9 | 33rd |
| 5. | Cairo, Egypt | 17.7 | 43rd |
| 6. | Rabat, Morocco | 16.8 | 50th |
| 7. | Casablanca, Morocco | 15.8 | 57th |
| 8. | Tunis, Tunisia | 15.1 | 66th |
| 9. | Nairobi, Kenya | 11.1 | 128th |
| 10. | Cape Town, South Africa | 5.4 | 202nd |