Real estate and property dealers have expressed concern over the recent court ruling that declared the interest capping as unconstitutional.
Urithi housing cooperative society chairman Samuel Maina says the move is likely to affect and slow down the uptake of property in the market since most investors will find it to be expensive and unattainable.
“In order to help most ordinary Kenyans to achieve their dream of owning homes, the interest rate capping suspension should be lifted, otherwise to many it will be just but a dream,” said Maina.
‘The move is likely to assert more pressure on Sacco’s that will be the alternative avenue to source for financial facilities for development,” he added.
The Kenyan mortgage industry has only done close to 50,000 units alone and it is not sufficient to attain the dream of availing Affordable Housing to the Kenyan population.
The government through its Big Four agenda has listed Affordable Housing as one of the four components of the pillars and has a projection of constructing low cost housing of 500,000 units annually.
‘’I will not tire to emphasis that the government’s goal to provide Affordable housing can only be achieved and or complimented by Cooperatives that already have structures and members whose needs are affordable,” he said.
Maina who was addressing potential investors at the open day for Birmingham woodland project in Mang’u Thika urged investors to understand the Cooperatives Social-Economic model being employed by the Cooperative in provision of Houses and land.
”We pool resources from members and any project to take off to completion solely depend on the speed at which members contribute. Once this is understood there will be less anxiety and misunderstandings by Investors,” he insisted.
Urithi’s Birmingham Woodlands 200 acres project in Thika Kiambu County is the Cooperative’s latest available project .The 1st 100 acres are available to investors going for between Sh 1.95 million per eighth of an acre and the second phase under the other 100 acres will be dedicated for construction of Affordable Housing under Urithi Housing Cooperative Socio-Economic model.