The government has recently announced reforms to the Affordable Housing Programme in a move aimed at easing financial burden on Kenyans and boosting participation in the programme.
Following a Cabinet meeting chaired by President Ruto, the Cabinet approved the Affordable Housing Regulations, 2024, which will serve as the legal framework to drive the implementation of the programme.
One of the most notable changes introduced in the new regulations is the reduction of the mandatory housing deposit from 10 percent to 5 percent.
Ruto makes changes on housing levy. Photo: Courtesy.
The Head of State had announced that any Kenyan who has been contributing to the Housing Levy will be eligible to access a home loan of up to Ksh5 million at a single-digit interest rate.
Speaking during Madaraka Day celebrations on June 1, he noted that the loan will not be limited to government-built houses but will apply to any housing unit available in the market.
“Fellow Kenyans, in recognition and appreciation of the sacrifice made by patriotic Kenyans through their contributions to the Housing Levy, I am pleased to announce today that we shall be proposing to Parliament a reform to the law that will allow any contributor to access an affordable home loan of up to Ksh5 million at a single-digit interest rate, applicable toward any housing unit in the market,” he noted.
