NAIROBI, Kenya
Housing Finance has launched a new product that makes it easy for customer to buy homes. The Ezesha product will enable customers access up to 105% mortgage financing and take the extra 15% above the recommended housing finance loan to value amount against an insurance policy that is taken by the customer.
Speaking at the launch, Housing Finance Managing Director Frank Ireri said this new product will accelerate access to home ownership as borrowers will not have to wait for years accumulating a deposit to access mortgage.
“We at Housing Finance understand the challenges associated with raising entry costs in home ownership during these hard economic times and that is why the company has come up with an innovative home ownership solution” said Mr Ireri.
Customers seeking a mortgage of Ksh6 million would previously be required to raise at least Ksh900,000 to meet down payment and closing cost, which is now fully covered by the firm.
It hopes that Ezesha will stimulate more land owners to engage in property development to supply affordable units to new home owners. It is estimated that 3.9 million Kenyans have joined the middle class up from 1.5 million as at 2002.A total of 4.3 housing units will be produced between 2008 and 2030, 2.2 million units representing 52% of the total will be for the low income urban households.
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