Mortgage lender Housing Finance is focusing on pre-fabricated technology which uses fibre for walling in order to reduce the cost of construction.
The concept involves a factory providing ready made parts for making walls of the house.
The pre-fabricated panel materials are made of fibre cement and galvanised steel and are imported from countries such as China, Turkey and United States.
Mr David Maveke, the general manager, mortgage sales said, “We have partnerships that will see the material come in for construction of houses. This will make a three-bedroom house to cost as low as Sh1.5 million.”
He said it has been hard for Kenyans to own houses due to the high cost of mortgage. Housing Finance, he added, seeks to increase its stake in mortgage sector.
“At the moment we have a market control of 30 per cent, compared with 43 banks which are controlling 70 per cent; we want to increase that,” he said.
He said they seek to provide affordable houses for the middle class, irrespective of their income.
Mr Maveke said Housing Finance will extend its activities to county levels through public private partnership.
“We are talking to construction suppliers so that they look at the cost of construction materials. These should be affordable to most Kenyans,” he said.
The general manager said the mortgage lender will revive the Kenya Building Society, its house developing outfit, that has been dormant for the past 15 years.
He said the society will be re-established before the end of the year to develop houses for sale.
Mr Maveke said the society had gone dominant to allow the benefits of house development to go to individuals.
“When we made it dormant, we wanted those in real estate to get involved in construction of houses so that we remain as financiers,” he said.
He said the company was in a major expansion drive and will engage more players, individuals, land owners and the government to develop the mortgage sector.
“We want to involve all people. If one has land, we want to partner and develop it as equal partners so that even after selling it we share the benefits,” said Mr Maveke.
He spoke to Smart Company in Eldoret town on the sidelines of the launch of the Towns and Cities Branding workshop in a two-day workshop organised by Brand Kenya board in collaboration with Housing Finance and the Municipal Council of Eldoret.
It brought together the local authority and key stakeholders from Eldoret to see how best to leverage on the key attributes of branding, managing and maintaining the image of Eldoret.
Mr Maveke said the government is formulating a building code which will make it easier for Kenyans to access and set up houses.