Affordable Housing in Kenya: A Discussion with Real Estate Professionals

Affordable housing is a crucial issue in Kenya, as it is in many other countries. The Kenyan government has been pushing for affordable housing initiatives to help bridge the gap, as the population continues to grow, and the lack of affordable housing persists. In a recent episode of Property Chat with Lucy, real estate professionals Christabel Ajoke and Lucy Gatimu discuss the topic of affordable housing in Kenya.

What is Affordable Housing?

Christabel Ajoke, co-founder of RensCore, explains that affordable housing is accessible housing to median households within the median income bracket. According to the Kenya National Bureau of Statistics, this would include households earning Ksh. 50,000 or less. Furthermore if you earn Ksh. 50,000 to Ksh. 150,000, you qualify to get a unit in the affordable housing scheme.

Government and Private Developer Roles

Ajoke clarifies that the government is not the only player in the affordable housing space, and private developers are also building affordable housing units. Although the units being delivered by private developers may not necessarily match those being delivered by the government, private developers receive incentives from the government. The government has also introduced single-digit mortgages backed by Kenya Mortgage Refinance Company (KMRC), which has partnered with various financial institutions, including banks and circles.

Location of Affordable Housing Units

Lucy Gatimu asks Ajoke where the affordable houses are located, and Ajoke responds that the affordable housing units are being rolled out across the country, not just in Nairobi. The government, through the National Housing Corporation, has completed a project in Park Road. Additionally, various public-private partnerships are happening, and projects are being launched in different counties across the country.

Who Qualifies for Affordable Housing?

Gatimu also asks Ajoke who qualifies for the affordable housing scheme, and Ajoke explains that salaried individuals can apply through the BomaYangu platform. Entrepreneurs and employed individuals can also benefit from accessing units within an affordable price range. Although the price point for units being delivered by private developers may not necessarily match those being delivered by the government, entrepreneurs and employed individuals can access single-digit mortgages backed by KMRC.

Affordable Housing: A Benefit for the Common Kenyan Person

In conclusion, the affordable housing initiative is being rolled out across Kenya, and private developers and public-private partnerships offer various options for individuals to access affordable housing. Entrepreneurs and employed individuals can access single-digit mortgages backed by KMRC. The government is taking steps to ensure that affordable housing is accessible to median households within the median income bracket, ultimately benefiting the common Kenyan person in the country.

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