Housing principal secretary (PS), Charles Hinga, on Wednesday, June 7, explained that Kenyans in the informal sector could own housing units worth Ksh1 million and above under the social housing programme.
In an interview on Citizen TV, he explained that the programme targeted slum dwellers and those earning Ksh20,000 and below.
Hinga noted that Kenyans seeking to benefit from the programme could enrol in a tenant purchase scheme to buy a housing unit of their choice.
"There is no confusion. We have subdivided the issues into several categories. First, those who reside in slums are considered under our program which is social housing. This is where people earning Ksh20,000 and below fall," he stated.
For instance, those seeking to purchase a Ksh600,000 studio unit will have to remit a monthly payment of Ksh2,500. To own a one-bedroom unit, which costs Ksh1 million, one has to pay Ksh4,500 monthly for up to 25 years.
A two-bedroom unit will cost Ksh1.4 million, and Kenyans will have to part with Ksh6,500 every month.
He noted that the programme differed from the Affordable Housing proposal, which targets three types of employed Kenyans.
The programme comprises low-income earners getting between Ksh20,000 and Ksh50,000 monthly salaries, those earning between Ksh50,000 and Ksh100,000 (mortgage gap) and the mortgage market for those earning Ksh100,000 and above.
The Housing PS recently announced that the Housing Fund would be amended to reflect the diverse views of different stakeholders.
That was after Kenyans cast doubt on the project from the onset while poking holes at the government's agenda in rushing the programme.
"We may disagree on the approach, and there are contentious issues in the Bill that need to be cured, and I hope this Committee will do so.
"We can correct it, but let's not lose focus of why we are advocating for it. We are doing this because we have reached a reckoning point," Hinga stated.
The Finance Bill will be tabled before Parliament on Thursday, June 8, seven days before Treasury CS Njuguna Ndung'u reads the 2023/2024 budget.
