Mwenda Thuranira, a seasoned entrepreneur and businessman has weighed in on why most Kenyans prefer building their own houses over buying what is already on the market.
Thuranira who is the founder and CEO of Myspace Properties, said that one of the biggest hindrances is the high price and lack of access to financing.
He said this in reference to why the uptake of affordable housing units and mortgages is very low among Kenyans.
Thuranira added that considering the low preference for ready-built houses among Kenyans, the government has to change tact and prioritize public sensitization.
He also recommended several policy adaptations to ensure that affordable housing serves the underprivileged’s need for housing.
They include:
Create an enabling environment by supporting developer incentives to deliver housing, rather than relying solely on the government, through mechanisms like a sinking fund, housing fund, or low-income tax credits.
Utilize the housing fund to encourage employees or establish a scheme where individuals can qualify for a mortgage program or a Tenant Purchase Scheme (TPS).
Enhance transparency through the BOMA YANGU platform by ensuring equal allocation of housing units.
Promote self-build housing models to empower individuals to construct their own homes.
Enact a Housing Act to protect consumers and collect data to improve market transparency.
Address housing for the underprivileged through slum upgrading initiatives, similar to how the government invests in building stadiums and roads. The poorest populations cannot afford even houses valued at KSh 500,000.
2024 Kenya Housing Survey
The Entrepreneur raised concerns that the low adoption of affordable housing units could be associated with high prices, limited financing access, and the cultural preference for self-build housing models.
The 2024 Kenya Housing Survey revealed that 55.5% of tenants prefer self-construction, while only 12.5% favour buying ready-built homes.
The survey highlighted that only 2.5% of homes were purchased as completed units, with most homes being constructed through one-off or incremental building projects.
According to the survey, Kenyan tenants exhibited a strong reluctance to purchase ready-built houses and apartments, with a majority favouring self-construction or avoiding ownership altogether.
The survey revealed that 76.9% of tenants are unwilling to purchase their current dwelling units, highlighting a general disinterest in ready-built housing. Only 23.1% of tenants expressed a willingness to buy their existing homes.
by DENNIS MILIMO
