UGANDA, Kampala | Real Muloodi News | As rent prices continue to increase across Uganda’s urban centers, many tenants face a difficult decision: should they pay the new rent and stay put, or move to a cheaper location? Experts say the answer is not always straightforward.
In a city where housing costs consume a significant portion of income, tenants like Sarah Mirembe, a resident of Najjera, find themselves calculating every shilling. When her landlord increased rent from USh800,000 to USh1 million, she was forced to decide whether to remain in the home she had occupied for three years or seek a more affordable place elsewhere.
“It’s not just about the rent,” Mirembe said. “Moving comes with so many other expenses—transport, new deposits, and sometimes higher water and electricity bills.”
Her dilemma mirrors that of many urban residents grappling with the financial and emotional toll of rising rent.
The Hidden Cost of Moving
Real estate agents and property managers agree that relocating can be far more expensive than tenants initially expect. According to Henry Nsubuga, a Kampala-based property broker, the cost of shifting household items from one rented house to another can range from USh400,000 to USh1.5 million, depending on distance and the size of the property.
“The average tenant thinks they’ll save money by moving, but by the time you add transportation, new deposits, and connection fees for water and electricity, the savings may disappear,” Nsubuga said.
Landlords often require a two-month security deposit plus the first month’s rent upfront. Tenants also pay for reconnection of utilities, garbage collection fees, and sometimes purchase new furniture or repairs to fit the new space.
For families, moving can also mean paying for new school transfers, adjusting to different commuting routes, and dealing with unfamiliar environments.
Negotiating With Landlords
Despite the strain, real estate experts suggest that staying put might make better financial sense if the increase is moderate and within market rates. Charles Mubiru, a property consultant in Makindye, says that landlords sometimes raise rent without factoring in the risk of vacancy.
“Tenants who have been reliable over time can negotiate,” Mubiru explained. “If your rent is raised by 10 or 15 percent, it might be cheaper to stay and agree on gradual payment terms than to move and spend heavily on relocation.”
He added that landlords value stable tenants who pay on time and maintain the property, and may be open to discussions about phased rent adjustments or small property improvements in exchange for steady occupancy.
The Rising Urban Rent Burden
According to data from the Uganda Bureau of Statistics (UBOS), rent in Kampala and surrounding municipalities has steadily increased over the past decade, driven by demand for housing and higher construction costs. Middle-income neighborhoods such as Najjera, Kira, and Namugongo have seen rent for two-bedroom houses rise by an average of USh200,000 to USh300,000 over the last three years.
Experts attribute the increases to the rising cost of building materials, inflation, and growing urban migration. As a result, tenants often find that moving to a cheaper house means compromising on location, amenities, or security.
“The rent may be USh100,000 less in another area,” said Mirembe, “but if you spend more on transport or live farther from your children’s school, you end up losing in other ways.”
Calculating the True Cost of Relocation
Financial analysts recommend that tenants carefully compare the total cost of moving with the cost of staying. If a rent increase is small compared to moving expenses, remaining in the same home could be the wiser choice.
Ruth Kiyemba, a housing economist, advises tenants to evaluate rent changes over a 12-month period.
“If your landlord raises rent by USh100,000 per month, that’s USh1.2 million in a year,” she said. “If moving will cost you more than that in deposits, transport, and setup fees, you are better off staying.”
However, for tenants facing sharp increases—sometimes as high as USh300,000 or more per month—relocation may still be the better option, especially if they can secure similar accommodation at lower rent without sacrificing safety or access to essential services.
For many tenants, the decision to move is not only about money. Proximity to workplaces, schools, health centers, and reliable transportation often outweigh rent savings.
“I would rather pay more to stay near my office than move to a cheaper house far away,” said David Mugisha, a resident of Ntinda. “I tried living outside the city once, and the transport costs and time wasted in traffic made it even more expensive.”
Safety and convenience also factor heavily. Some tenants move to reduce risks of burglary, flooding, or unreliable utilities, even when the rent is slightly higher.
Market Trends and Tenant Advice
The Real Estate Agents Association of Uganda (REAU) notes that while rental prices fluctuate, landlords tend to adjust rates upward annually, especially in high-demand suburbs.
Association spokesperson Agnes Tumusiime said that the COVID-19 pandemic temporarily slowed rent hikes, but the rebound in economic activity has renewed pressure on tenants.
“Many landlords are still recovering from losses incurred during lockdown periods,” Tumusiime said. “Unfortunately, tenants are the ones feeling the pinch as landlords try to recover through incremental rent adjustments.”
She advised tenants to prioritize clear written agreements and timely communication to prevent disputes. “If you can, lock in a fixed rent for at least 12 months,” she added. “It offers stability and shields you from unexpected hikes.”
The Balancing Act
The ultimate decision between staying and moving requires careful assessment of both tangible and intangible costs. Financial experts encourage tenants to consider not just rent differences, but how relocation affects their quality of life, access to services, and long-term financial goals.
“Sometimes tenants focus only on the monthly figure,” economist Kiyemba said. “But cost of living includes everything—transport, utilities, security, and even your peace of mind.”
For most Ugandan renters, particularly in Kampala, the choice is about balancing affordability with practicality. As inflation and urban housing pressures continue, more tenants will face the same question: stay and adapt, or move and start over.
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