Co-op Bank customers are now one step closer to their dream of owning their own homes. In a partnership with Kenya Mortgage Refinance Company (KMRC) signed on March 23rd, Co-op Bank has rolled out an affordable housing financing scheme.
Customers now have access to mortgage financing for either a complete, newly-built residential house or purchase and build on a plot of their choice.
How does a Customer become Eligible for the Mortgage?
It’s quite straightforward. As long as you have a Salary or Savings Account with Co-op Bank, you are good to go. The other specifics are:
- Six (6) months’ banking with Co-op Bank
- A maximum household gross income of Ksh150,000.
What are the Eligible Products?
- Purchase of a ready-to-use residential house.
- Purchase a plot: Buy and build arrangement.
What are the Terms of the Loan Units to be financed?
This is what you need to know about the housing mortgage financing package:
- A loan financing for one (1) unit property under purchase is offered with a considerate interest of 9.9% per annum on a reducing balance.
- The loan attracts a one-off facility fee of 2% of the loan amount.
- The maximum loan tenure is 15 years for employed applicants, and 10 years for self-employed applicants.
- For properties around the Nairobi Metropolitan, minimum loan amount is Ksh.500,000 and maximum limit at Ksh.6 Million.
- For customers looking to invest in real estate outside the Nairobi Metropolitan, they have a maximum loan limit set at Ksh.5 Million.
Besides, Co-op Bank offers flexibility in financing through loan top ups. A loan top-up under the commercial rate is allowable for a customer upon repaying the initial loan for at least 12 months.
Apply now via goodhome.co.ke or visit and speak with bank representatives at your nearest Co-op Bank branch.
