Absa Kenya unveils mortgage facility targeting middle class earners
Absa Bank Kenya has introduced a 25-year mortgage facility targeting middle-income families seeking affordable homes within Nairobi.
The proposition seeks to increase mortgage uptake by prospective homeowners, offering options towards homeownership such as construction loans and home loans for self-employed individuals (SMEs) with a dedicated team of experts who will walk customers through every step of buying or constructing their dream home.
Absa customers will also benefit from established partnerships with players in the homeownership value chain such as property developers, furnishing partners and home appliance partners, who will offer homeowners a wide range of benefits among them great discounts.
This was announced as the bank signed a financing partnership with Mi Vida Homes where customers will enjoy a discounted rate of 12.5% p.a with up to 90% financing.
Speaking during the signing of the Absa-Mi Vida partnership, Peter Mutua, Absa Bank Customer Network Director, urged both existing and prospective customers to invest in the lengthened payment period and low-interest rates of the Absa - Mi Vida mortgage proposition to own their dream homes.
“As a truly African bank, we understand that home is where the heart is. This is why we have availed the Absa - Mi Vida mortgage facility to employed and self-employed customers, presenting a lifetime chance to own ready-to-move-in homes. As a bank, we believe in developing sustainable financing models for our customers, we are offering up to 90% financing within market rates, over a period of 25 years to service their loans,’’ says Mr. Mutua.
The proposition is one of the bank’s contributions towards the government's housing pillar under the Big 4 Agenda and aims to provide quality family homes with sociable amenities and green spaces that enhance quality of living spaces to potential homeowners.
“We have a team of dedicated experts that will walk the journey with customers using our financial and non-financial expertise to provide credible information, services and solutions throughout every step of acquiring their dream home.” adds Mr. Mutua.
Speaking during the signing ceremony, Mr. Antony Kambiriri, Chief Financial Officer Mi Vida, said, “We are delighted to partner with Absa Bank Kenya as it brings us closer to our goal of addressing the shortage of middle-income housing in Kenya. There is a huge demand for affordable and middle-income homes and through this partnership, we will bridge the gap in this market to exceed customers’ expectations.”
Mi Vida’s project at Garden City is a first of its kind with the development centered on green space and family living. Phase 1 at Garden City offers 1. 2- and 3-Bedroom Apartments. Launched in 2019, under construction and on course to be complete by March of 2022.
Besides the Mi Vida proposition, Absa’s mortgage flexible offers different options towards homeownership such as financing land purchases and disbursing construction loans as well as home loans for self-employed individuals.