The State Department for Housing and Urban Development has clarified that houses under the Affordable Housing Programme are not available for rental-only occupancy.
The clarification came after a social media user sought an explanation after being informed that affordable housing units could not be rented without entering into a homeownership arrangement.
"Looking for a unit to rent only. I was told they are not available. Only rent-to-own units are available. Why?" the user asked.
Responding to the inquiry, the department explained that the programme is structured to enable Kenyans to own homes instead of offering them as rental units.
"Kindly note that the Affordable Housing Programme is designed to support homeownership, not rental-only occupancy," the department said.
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The department further outlined the first option available to prospective occupants through the Tenant Purchase Scheme (TPS).
Under this arrangement, buyers pay the mandatory five percent deposit before moving into the unit and continue making affordable monthly payments while living in the house until the purchase is completed.
"Once you complete payment, you will be issued with a Sectional Title Deed, confirming you as the owner of the unit," the department explained.
The government also noted that buyers who are able to pay the full purchase price upfront can acquire a unit immediately through an outright purchase.
After completing the payment, they are issued with a Sectional Title Deed confirming ownership of the property.
Once ownership has been transferred, the homeowner has full rights over the property and can choose how to use it, including occupying it personally or leasing it to other people.
"Once you become the legal owner of the unit, you are free to occupy it, rent it out, or use it as you wish," the department added.
This comes days after the department dismissed reports suggesting that contributors to the Affordable Housing Programme withdrew Ksh2.56 billion due to a lack of confidence in the initiative.
On Wednesday, July 22, Housing and Urban Development Principal Secretary Charles Hinga and Affordable Housing Board CEO Joe Mutugu explained that the amount largely reflects the use of Boma Yangu savings in the home purchase process rather than contributors leaving the programme.
"Reports suggesting that contributors have withdrawn Ksh2.56 billion from the Affordable Housing Programme due to a lack of confidence are misleading.
"Earlier today, Housing and Urban Development Principal Secretary Charles Hinga, together with the Affordable Housing Board CEO Joe Mutugu, clarified that the reported amount largely reflects Boma Yangu savings being applied towards the purchase of affordable homes, not contributors exiting the programme," the department said.
The government further explained that once a contributor is successfully allocated a unit, the savings accumulated in their Boma Yangu account are transferred and applied towards the purchase of the home.
"When a homeowner is successfully allocated a unit, their savings are transferred from their Boma Yangu account and used as part of the purchase process," the department added.
