Low-income Kenyans earning Sh20,000 or less will now access houses under the Affordable Housing Programme without paying an upfront deposit, following a government waiver designed to ease barriers to homeownership.
Housing Principal Secretary Charles Hinga said the policy targets households that can afford monthly repayments but struggle to raise lump-sum deposits. He explained that while a five per cent deposit remains in place for other applicants, the waiver eliminates a major obstacle for those at the bottom of the income pyramid.
“We have determined that the deposit is a big barrier, especially for the people in the lower echelons and lower income. Therefore, if you earn Sh20,000 and below, whether it is formal or informal income, there will be no deposit,” Hinga said.
Under the new arrangement, the state will cover the deposit through a structured assistance scheme managed by the Affordable Housing Board. Beneficiaries will repay the amount gradually, allowing them to manage their finances more comfortably.
ALSO READ:
Farmers shift to family and digital lenders as bank, SACCO credit drops despite CBK easing
The measure is expected to benefit informal sector workers such as artisans, traders, and casual labourers, who often earn steady incomes but remain locked out of conventional mortgage options. It builds on a July initiative that reduced the deposit requirement from 10 per cent to 5 per cent under the Deposit Assistance Programme.
During a public forum in South B, Nairobi, Acting CEO of the Affordable Housing Board Sheila Waweru urged Kenyans to take advantage of the programme, saying the reforms are designed to expand access and affordability.
“Reducing the deposit requirement allows more people, especially those at the bottom of the economic pyramid, to qualify for a home,” Waweru said.
Waweru said the waiver underscores the government’s commitment to ensuring that affordable housing is a practical reality for low-income households. By removing upfront costs, the programme aims to accelerate uptake and broaden inclusion in Kenya’s housing market.
By Masaki Enock
Get more stories from our website: Sacco Review.
For comments and clarifications, write to: Saccoreview@
Kindly follow us via our social media pages on Facebook: Sacco Review Newspaper for timely updates
Stay ahead of the pack! Grab the latest Sacco Review newspaper!
