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The Mortgage Company,
The Greenhouse, 2nd Floor
Adams Arcade, Ngong Road
P.O. Box 29310-00100, Nairobi

Tel: +254 729 933955, +254 737 933955


The big question is…what changed? Over the last 3-4 months the Kenya Shilling saw unprecendent volatility swinging to an all time low of Kes 107 to the USD and the stable and favourable interest rates get a beating leaving the market shaken! Many home owners feared losing their homes at it became clear that what was affordable at the rates of 11-15% p.a. was clearly out of reach at 20-30%p.a.

Developers who had previously gotten financing from the more than willing local banks faced push back as the banks experienced serious liquidity challenges and all of a sudden what was a highly profitable project became not only unviable given interest rate challenges but also the buyers  who had been a dime a dozen suddenly had to think again before committing to buy the homes as they too were not sure about their ability to repay the individual mortgages.

Now what? Our view is that all the fundamentals of this beautiful country remain strong and the recent upheavals in the financial markets will provide an opportunity for the review of our financial sector and the structure of funding long term debt. With less than 20% of Kenyans owning their own homes and the high trend towards urbanization with over 70% of the population expected to move to urban areas by the year 2030, the new constitutional dispensation that will encourage growth of the 47 counties each with housing requirements, the market will need to respond and find long term solutions. East African community too provides a strong regional market of over 130 million people all of whom require housing solutions. There is no doubt that the market will need to take a long term view and build structures that are sustainable. We shall see emergence of strong developers and weeding out of hobby developers. Financiers will be more willing to support strongly capitalized development companies with strong experience, the market too will become more discerning from a buyer’s perspective to quality products and value for money will be the new key word in choice of properties to buy. Efficient capital structures, building methods and cost effective design will make the difference between a profitable development and one that will just break even.

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Did you know

Should you keep your mortgage as small as possible

What the experts say

False. You will find mortgage lenders who will stretch your qualification ratios. They aren't doing you a favour. The qualification ratio is the ratio of your total mortgage payment to your total income. Aim for comfortable affordability.

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Mortgages for

  • Buying your first home
  • Moving home
  • Moving your mortgage to us

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Call +254 729 933955