Myth Buster: Seven Hard Truths to Know about The Affordable Housing Program

By Kibaki Muthamia on December 18, 2024

Kenya’s Affordable Housing Program has been a cornerstone of the government’s economic transformation agenda, yet it remains shrouded in myths and misconceptions.

As the nation grapples with a housing deficit of 200,000 units annually, this initiative aims to bridge the gap by providing decent, safe, and affordable housing for citizens.

Let’s uncover the truth behind the common myths surrounding this ambitious program.

Myth 1: “The government is stealing from us through the housing levy tax.”

Truth:

The National Housing Levy, established under the Affordable Housing Levy Act of 2024, is managed transparently by the National Housing Fund.

This fund, overseen by the Affordable Housing Board under the State Department of Housing and Urban Development, ensures that every cent is accounted for.

While the levy doesn’t guarantee home ownership, it supports infrastructure development and subsidizes housing construction costs.

Myth 2: “Affordable homes are not so affordable.”

Truth:

The program caters to diverse income levels through three distinct categories:

• Social Housing: For low-income households.
• Affordable Housing: For middle and lower-middle-income earners.
• Market Housing: For higher-income earners.

This segmentation ensures that no one is left behind.

Myth 3: “The government is constructing these homes.”

Truth:

The Affordable Housing Program leverages Public-Private Partnerships (PPPs). The government provides land, bulk infrastructure, and tax incentives, while private developers finance and construct the homes.

This collaboration boosts economic growth while ensuring efficiency in project execution.

Myth 4: “Projects are only within Nairobi County.”

Truth:

Affordable housing is a nationwide initiative. Active projects are ongoing in 37 counties, including Bungoma, Nanyuki, Mombasa, Nakuru, and Nyeri.

The aim is to decentralize development and ensure every Kenyan has access to affordable housing.

Myth 5: “The housing levy directly contributes to owning an affordable housing unit.”

Truth:

While the levy supports the Affordable Housing Program, it doesn’t translate into automatic homeownership.

To own a home under this initiative, individuals must register on the Boma Yangu portal and start contributing. The levy funds broader infrastructure and development, creating an enabling environment for housing projects.

Myth 6: “My personal information isn’t safe and might be leaked.”

Truth:

Data privacy is a priority for the Boma Yangu platform, which adheres to the Kenya Data Protection Act of 2019.

Personal information is transmitted securely and handled with robust physical, electronic, and administrative safeguards to prevent breaches or misuse.

Myth 7: “These houses are reserved for senior government officials.”

Truth:

The allocation process is transparent and fair, guided by strict criteria. Every registered Kenyan is eligible, and individuals can only benefit once.

Factors such as family status, the amount saved, and demand across housing categories determine priority. No special privileges are extended to government officials.

Affordable Housing in Action

The Affordable Housing Program is a testament to Kenya’s commitment to addressing the housing crisis.

With 124,000 units at various stages of development and 75 active construction sites nationwide, the program is scaling up rapidly.

Over the next four years, it targets delivering an additional 730,000 units, narrowing the housing deficit significantly.

Beyond homeownership, the program boosts job creation and supports small and medium-sized businesses by stimulating demand and supply in the construction sector.

It also fosters economic growth through PPPs, showcasing how strategic collaboration can achieve national goals.

Start Your Homeownership Journey Now

Misinformation shouldn’t hold you back from owning your dream home. Kenya’s Affordable Housing Program is more than bricks and mortar – it’s about empowering citizens and transforming communities