A lot Kenyans desire to be home owners but have to contend which options to pursue in achieving their dream: To buy or build? That’s the ultimate question.
In spite of the upsurge of housing developments across the country, the demand for affordable housing is still way above the supply. The government estimates that 50,000 housing units are built every year against the demand of 200,000 houses. The cost of acquiring land has grown exponentially while mortgage rates are still beyond reach for a majority of Kenyans.
Home Afrika CEO Njoroge Ng’ang’a offers alternatives to aspiring home owners and insights on how to make the sector more competitive.
“For people considering building a home, acquiring land at the periphery of the city is advisable and is also cheaper. Places like Syokimau, Kitengela, Athi River were considered far-off. Not anymore. Once the basic infrastructure is in place, the cost of land almost triples,” says Ng’ang’a.
With slightly over 40,000 mortgages issued by financial institutions in the country, Ng’ang’a says the housing industry is lagging behind the demand making a bust unlikely.
In the long run, building your house might be cheaper and it allows you to build according to your taste and preference. But it requires patience and close personal monitoring from the beginning.