Pan-African housing financier Shelter Afrique has partnered with NCBA Bank to provide mortgage financing to 200 home buyers in Nairobi, Mombasa, Kisumu, Kiambu and Machakos Counties.
The units being financed will include maisonettes and apartments with prices ranging from Sh5.5 million to Sh20.25 million.
NCBA head of property finance Stella Mutai said the partnership is seeking to bridge the housing deficit in the country, which has been hard to fill due to low usage of mortgage facilities.
“The huge volume of houses that our country needs will require closer partnerships to help meet the growing housing needs,” she said.
Shelter Afrique managing director Andrew Chimphondah said closing the housing deficit across Africa will only be achieved through partnerships such as the one they hold with NCBA.
NCBA also recently partnered with real estate firm Optiven Group to offer its customers a 25-year payment plan when they buy a plot with the firm and build a residential unit.
The bank has also partnered with Property developer Tilisi Developments, which is putting up more than 300 homes on 400-acre mixed-use facility in Limuru.
Last year, the lender also signed a deal with Tatu City to provide mortgage facilities to house buyers at the Kiambu County-based mixed use property development, which includes plot purchase, construction financing, buy and build loans, equity release and closing costs.
Although lenders have been aggressively marketing their mortgage facilities, this form of financing or home buyers remains underutilised by Kenyans, who are discouraged by high interest costs and steep property prices.