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As we reach mid-2025, Senegal's property market continues its upward trajectory with prices increasing 3% to 7% annually across major urban centers, particularly in Dakar where demand significantly outpaces supply.
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Property prices in Senegal are rising steadily, with annual growth of 3-7% expected to continue through 2026, driven by rapid urbanization, infrastructure development, and strong foreign investment.
Dakar leads the price surge with apartments averaging XOF 1,110,121 per m² ($1,820), while coastal areas and emerging cities like Diamniadio show exceptional growth potential for investors.
| Key Metric | Current Status (June 2025) | Outlook |
|---|---|---|
| Annual Price Growth | 3% to 7% | Expected to maintain through 2026 |
| Dakar Apartment Price | XOF 1,110,121/m² ($1,820) | Projected to reach $1,875-$1,947 by 2026 |
| National Median (Apartments) | XOF 1,042,323/m² ($1,709) | Steady appreciation expected |
| Rental Yields | 6.3% to 9.0% | Among highest in West Africa |
| GDP Growth 2025 | 10.1% (IMF forecast) | 32.9% growth over next 5 years |
| Urban Population | Over 50% | 60% by 2035, 65% by 2050 |
| Foreign Investment | High, especially coastal/luxury | Increasing with new incentives |
This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.
What are the current property prices in major Senegalese cities as of June 2025?
Property prices in Senegal show significant variations across different cities and regions, with Dakar commanding the highest prices in the country.
In Dakar, the capital city, apartments are currently priced at a median of XOF 1,110,121 per square meter (approximately $1,820), while houses average XOF 926,362 per square meter ($1,518). For perspective, a typical 60 square meter apartment in Dakar ranges from 75 million to 80.25 million CFA francs ($123,000 to $132,000).
The Thiès region offers more affordable options with apartments at XOF 808,753 per square meter ($1,325) and houses at XOF 890,298 per square meter ($1,460). Coastal towns like Saly and Rufisque are experiencing rapid price growth due to tourism development and foreign investment interest.
Nationally, the median price for apartments stands at XOF 1,042,323 per square meter ($1,709), while houses average XOF 887,875 per square meter ($1,455). These figures represent a 3% to 7% increase from 2024 levels, with luxury properties and beachfront locations seeing even steeper appreciation.
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How much have property prices increased in Senegal over the past year?
Property prices across Senegal have shown robust growth, with annual increases ranging from 3% to 7% in 2025.
In Dakar specifically, a 60 square meter apartment that cost 75 million CFA francs in 2024 now sells for between 77.25 million and 80.25 million CFA francs, representing the upper end of the growth spectrum. This price appreciation reflects strong demand from both local buyers and international investors attracted by Senegal's economic stability and growth prospects.
The annual appreciation rate for real estate averages 5.2% nationally, though certain high-demand areas are experiencing even stronger growth. Luxury villas and beachfront properties have seen the most significant increases, with some properties appreciating by up to 7% annually.
Over the past five years, property prices in Dakar and other urban centers have increased by an estimated 20% to 35%. In 2020, Dakar apartments averaged around $1,200 per square meter, compared to over $1,800 per square meter in 2025, demonstrating sustained long-term appreciation.
The consistent price growth is supported by Senegal's impressive GDP growth rate of 10.1% in 2025, one of the highest in West Africa, creating a favorable environment for continued real estate appreciation.
Which neighborhoods in Dakar are experiencing the fastest price growth?
Dakar's upscale neighborhoods are leading the price surge, with Almadies, Mermoz, and Plateau experiencing the most rapid appreciation.
Almadies stands out as a premium location attracting luxury developments and international buyers, with property values increasing significantly due to its coastal location and high-end amenities. Mermoz benefits from limited housing stock and its central location, creating intense competition among buyers.
The Plateau district is undergoing urban regeneration with improved public transport links, driving renewed interest from both investors and homebuyers. Fann attracts buyers interested in eco-friendly projects and proximity to new schools and parks, while Ngor benefits from enhanced transport infrastructure and ongoing redevelopment projects.
| Neighborhood | Price Growth Level | Key Growth Drivers |
|---|---|---|
| Almadies | High (6-7%) | Luxury projects, international buyers, coastal location |
| Mermoz | High (6-7%) | Limited stock, central location, high demand |
| Plateau | High (5-7%) | Urban regeneration, public transport improvements |
| Fann | Medium-High (5-6%) | Eco-friendly projects, new schools and parks |
| Ngor | Medium-High (5-6%) | Transport links, ongoing redevelopment |
| Sacre-Coeur | Medium (4-5%) | Tram line extension, historic area renovation |
| Grand Dakar | Moderate (3-4%) | More affordable, steady local demand |
What are the property price forecasts for Senegal in 2026?
Property prices in Senegal are projected to continue their upward trajectory through 2026, with annual growth expected to maintain at 5.2% on average.
If current trends persist, properties in Dakar could see prices increase by 3% to 7% from their 2025 values. This means a property currently valued at 150 million CFA francs could be worth between 154.5 million and 160.5 million CFA francs by the end of 2026.
The five-year outlook from 2025 to 2030 suggests continued annual growth driven by urbanization, infrastructure projects, and sustained economic expansion. Dakar and coastal regions are expected to outperform the national average, with some areas potentially seeing cumulative growth of 25% to 35% over this period.
Looking further ahead to the 10-year horizon (2025-2035), urban population is projected to exceed 60%, creating sustained demand for housing. The long-term outlook remains positive, with prices expected to continue rising as Senegal's economy grows by an estimated 32.9% over the next five years.
Infrastructure developments, including the Dakar-Diamniadio toll highway and express train, will continue to boost property values in connected areas, making strategic locations particularly attractive for long-term investment.
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Which property types are seeing the biggest price increases?
Luxury villas and beachfront properties are experiencing the most significant price increases across Senegal's real estate market.
In coastal areas and Dakar's premium neighborhoods, luxury villas have seen remarkable appreciation. A 200 square meter luxury villa that sold for 300 million CFA francs in 2024 now commands up to 321 million CFA francs in 2025, representing a 7% increase. These properties benefit from strong demand from expatriates, returning diaspora, and foreign investors seeking high-end accommodation.
Modern apartments in city centers are also performing strongly, with a 75 square meter modern apartment in Dakar rising from 100 million CFA francs in 2024 to up to 107 million CFA francs in 2025. The demand is driven by young professionals and the growing middle class seeking quality urban housing.
Land plots in areas targeted for infrastructure development show substantial appreciation, particularly in Dakar's periphery and the emerging city of Diamniadio. These areas benefit from government investment and planned urban expansion projects.
Affordable housing units, while experiencing more moderate increases of 3% to 5%, still represent a significant market segment due to government-backed construction programs aimed at addressing the housing shortage.
How do Senegal's property prices compare to regional neighbors?
Senegal's property prices are competitive within the West African region, positioning the country as an attractive investment destination.
When compared to regional peers, Senegal's city center prices average $2,193 per square meter, slightly higher than Côte d'Ivoire at $2,061 but lower than Ghana's prime urban markets which exceed $2,500 per square meter. Nigeria's Lagos market averages $1,499 per square meter, making Senegal's prices relatively higher but justified by superior infrastructure and political stability.
| Country | City Center ($/m²) | Suburbs ($/m²) | GDP Growth 2025 | Mortgage Rate |
|---|---|---|---|---|
| Senegal | $2,193 | $1,298 | 10.1% | 8.15% |
| Côte d'Ivoire | $2,061 | $1,223 | ~6% | 12.77% |
| Ghana | $2,500+ | $1,500+ | 5-6% | 15%+ |
| Nigeria | $1,499 | $1,200 | 3-4% | 18%+ |
Senegal offers competitive rental yields ranging from 6.3% to 9.0%, particularly attractive in tourist and coastal zones. Combined with the country's lower mortgage rates compared to neighbors and strong GDP growth projections, Senegal presents a compelling value proposition for property investors.
What impact are infrastructure projects having on property values?
Major infrastructure developments are significantly boosting property values across Senegal, particularly in areas with improved connectivity.
The Dakar-Diamniadio toll highway and express train (TER) have transformed accessibility between Dakar and new urban centers, leading to property value increases of 5% to 10% in connected areas. Properties near TER stations have become particularly sought-after, with some seeing price premiums of up to 15% compared to similar properties without transit access.
Diamniadio, positioned as a new urban center 30 kilometers from Dakar, is experiencing rapid appreciation as government offices, business parks, and residential developments take shape. Early investors in this area have already seen property values increase by 20% to 30% over the past two years.
Airport expansions in Saint Louis, Tambacounda, Ziguinchor, and Kedougou are opening new markets for property investment, with surrounding areas seeing increased commercial and residential development interest.
The government's 100,000 affordable housing units program is creating new neighborhoods with modern infrastructure, attracting middle-income buyers and supporting steady price appreciation in these developments.
We made this infographic to show you how property prices in Senegal compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It's an easy way to spot where you might get the best value for your money. We hope you like it.
How is foreign investment affecting Senegal's property market?
Foreign investment plays a major role in driving property price increases, particularly in luxury and coastal segments of Senegal's real estate market.
International buyers are especially active in areas like Saly, Almadies, and Rufisque, attracted by rental yields of 6.3% to 9.0% and government incentives for foreign investors. The Investment Code reform has streamlined processes and offers tax relief, making property acquisition more attractive for international buyers.
Foreign Direct Investment (FDI) stock in Senegal more than doubled from 2017 to 2021, with real estate capturing a significant portion of this investment. Multinational companies establishing offices in Dakar have created additional demand for both commercial and residential properties.
The government's "Digital Senegal 2025" strategy and Senegal 2050 plan emphasize attracting foreign investment, with specific incentives for real estate development. These policies have resulted in increased investor confidence and more balanced regional development.
Diaspora investment also contributes significantly, with Senegalese living abroad increasingly purchasing properties for rental income or future retirement, adding to upward price pressure in desirable locations.
What role does urbanization play in driving property prices?
Rapid urbanization is a fundamental driver of property price increases across Senegal's major cities.
With urban population growth at 3.5% annually and over 50% of Senegalese now living in cities, demand for urban housing continues to outpace supply. This demographic shift is expected to accelerate, with projections showing 60% urbanization by 2035 and 65% by 2050.
Young professionals and families moving to cities for employment opportunities create sustained demand for quality housing. The Ipsos Predictions 2025 report reveals that 85% of Senegalese aged 18-24 and 88% aged 25-34 are likely to buy homes soon, indicating strong future demand.
The growing middle class, benefiting from Senegal's economic expansion, has increased purchasing power for property. With GDP per capita growing by 5.8% over the past five years, more Senegalese can afford homeownership, intensifying competition for available properties.
Urban migration patterns show concentration in Dakar, Thiès, and coastal cities, creating localized supply shortages and driving prices higher in these markets. Government efforts to develop satellite cities like Diamniadio aim to manage this growth while creating new investment opportunities.
How did the 2024-2025 political transition affect property prices?
Senegal's peaceful political transition has maintained market stability and investor confidence, supporting continued property price growth.
The new government's reform agenda, particularly the Senegal 2050 plan, emphasizes infrastructure development, housing, and economic growth, reinforcing positive market sentiment. This continuity in pro-development policies has prevented the market volatility often associated with political transitions.
Buyer sentiment remains strongly positive, with 84% of Senegalese expecting higher housing demand in 2025 according to market surveys. This confidence translates into sustained transaction volumes and steady price appreciation across all market segments.
The government's commitment to maintaining an attractive investment climate, including the continuation of tax incentives for developers and streamlined property registration processes, has reassured both domestic and foreign investors.
Political stability combined with strong economic fundamentals has positioned Senegal as one of the most attractive real estate markets in West Africa, contributing to the 3% to 7% annual price growth observed in 2025.
What are the current mortgage rates and how do they impact prices?
Senegal's mortgage rates average 8.15% as of June 2025, making it one of the more affordable financing markets in West Africa.
Compared to regional peers where rates can exceed 15% or even 18%, Senegal's relatively lower rates enable more buyers to access property financing. This accessibility supports sustained demand and contributes to steady price appreciation across the market.
The combination of competitive mortgage rates and high rental yields (6.3% to 9.0%) creates positive leverage opportunities for investors. Many buyers can achieve positive cash flow from rental properties even after mortgage payments, making real estate investment particularly attractive.
Banks have also become more willing to lend for real estate purchases, with improved loan-to-value ratios and streamlined approval processes. This increased credit availability has expanded the buyer pool, particularly benefiting the middle-income segment.
It's something we analyze in detail in our Senegal property pack.
Conclusion
This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.
Yes, property prices in Senegal are definitely going up. With annual growth of 3% to 7% in 2025 and projections for continued appreciation through 2026 and beyond, the Senegalese real estate market presents strong investment opportunities.
The combination of rapid urbanization, impressive GDP growth of 10.1%, major infrastructure developments, and sustained foreign investment creates a robust foundation for continued price appreciation. Whether you're considering Dakar's premium neighborhoods, emerging areas like Diamniadio, or coastal properties, the market fundamentals support a positive outlook for property values in Senegal.
Sources
- Properstar - Senegal House Prices
- The Africanvestor - Senegal Real Estate Market
- The Africanvestor - Dakar Price Forecasts
- The Africanvestor - Senegal Real Estate Forecasts
- The Africanvestor - Senegal Real Estate Trends
- Statista - Real Estate Market Senegal
- The Africanvestor - Buy Property in Senegal
- US Trade - Senegal Construction
- Numbeo - Property Investment in Senegal
- Loger-Dakar - Real Estate Market in Senegal