1) Ethiopia’s rental yields will stay steady as supply and demand balance out
Ethiopia’s real estate market is showing signs of maturity, with rental yields expected to remain steady in 2025 and beyond. As housing supply begins to meet the growing demand—especially in urban centers like Addis Ababa, CMC, and Bole—investors and landlords can anticipate consistent returns.
Recent trends indicate a healthy balance between property development and tenant demand, particularly in mid-income and serviced apartment segments. This equilibrium is driving stable rental income, making Ethiopia a favorable destination for real estate investment.
2) Ethiopia’s home prices will rise steadily as infrastructure projects enhance city connectivity
Ethiopia’s real estate market is poised for steady growth, with home prices expected to rise as ongoing infrastructure projects boost urban connectivity. Major developments—such as new roads, bridges, and light rail expansions in Addis Ababa and nearby cities—are making previously overlooked neighborhoods more accessible and desirable.
Improved connectivity attracts both residents and investors, increasing property demand and raising land and home values across key zones like CMC, Lebu, Summit, and Bole Bulbula. As the government continues to invest in urban transformation, real estate appreciation is becoming more predictable and consistent.
3) Rents in Ethiopia’s major cities will rise as the population grows and housing supply remains limited
With Ethiopia’s urban population expanding rapidly—especially in cities like Addis Ababa, Mekelle, Bahir Dar, and Hawassa—the demand for rental housing is outpacing supply. As more people migrate to cities for work and education, rents are expected to rise steadily in the coming years.
Despite ongoing construction, the housing supply remains limited, particularly in affordable and mid-range segments. This imbalance is pushing rental prices higher, making real estate investment increasingly attractive for landlords and property developers.
4) More foreign buyers will invest in Ethiopia as it becomes a regional business and investment hub
Ethiopia is quickly emerging as a regional hub for business, trade, and investment in East Africa. With major infrastructure developments like Addis Ababa’s airport expansion, industrial parks, and digital economy initiatives, foreign interest in Ethiopian real estate is growing rapidly.
International investors and diaspora buyers are eyeing residential and commercial properties in high-demand areas such as Bole, CMC, and Gerji—driven by the country’s strategic location, improving ease of doing business, and growing expat community.
As Ethiopia strengthens its role in Africa’s economic future, property values and rental yields are expected to rise, making this the right time for foreign investors to secure assets in a high-potential real estate market.
Ready to Invest in Addis Ababa?
🏡 New Offers from Temer Properties – Prime Locations in Addis Ababa!
Temer Properties is excited to announce new property offers in Addis Ababa’s most sought-after areas, including Piyassa, Sarbet, Ayat, and other prime locations.
Our modern homes and commercial spaces combine premium design, top locations, and flexible payment options — perfect for living or investing.
Secure your future with Temer Properties today.
Contact us now to find your perfect property!
By
