Housing Finance Mortgages- Loans, Requirements, Financing option, Construction Loan, Residential Plot purchases, Scheme Loans.

Housing Finance Mortgages: Home Owners Mortgages

For over 50 years, Housing Finance has been providing mortgage solutions for the Kenyan market.

Housing Finance Mortgages:  loan types are available for you;

Housing Finance Mortgages: Owner Occupied Residential

For a loan to purchase a property that the borrower intends to occupy as the primary home, we shall lend up to 90% of the value of that property.

Housing Finance Mortgages: Investment Residential

This is a loan taken for a property considered an investment and not intended to be occupied as the primary home of the borrower.

Housing Finance Mortgages: Equity release and Top-up Loans

As you repay your mortgage, you acquire equity in that property which can be availed to you for further property development or other uses. We can lend you money on the value of your own equity.

Housing Finance Mortgages: Construction Loan

This is a facility to finance the construction of a residential property. The terms are that the project will have to be managed by an agreed group of professionals and disbursement will be on an arrears basis to the person contracted to build the structure.

Housing Finance Mortgages: Residential Plot purchases

This is a product that is intended to extend money to people who want to buy a property to develop a residential house upon the plot. These loans must be fully repaid within 5 years

Housing Finance Mortgages: Scheme Loans

There are several companies with whom we have corporate schemes at negotiated rates. Talk to any of our relationship officers and find out if your company has a scheme with us.

Housing Finance Mortgages: Financing Options

Loan Type Financing                       Upto

Owner Occupied Residential                                    95%
Investment Residential                                             85%
Equity Release                                                         90%
Construction Residential                                          90%
Residential Plots                                                      70%

 

Housing Finance Mortgages: Vuna Hela

Vuna Hela is a loan product that targets individuals who already own their house / property or are currently servicing a mortgage. With Vuna Hela, one is able to apply for additional financing using the existing security that is then charged to Housing Finance.

Vuna Hela is useful for those customers who would like additional funds for;

-Furnishings- homes & offices
-Asset finance
-Clear existing obligations- more expensive loans e.g. unsecured loans
-Working capital
-Development of another property
-Completion of existing security
-Travel/holiday/social reasons
-Renovation/extension/home improvement
-Investments
-Start-up of new business
-Education

Vuna Hela provides easy & affordable access to an extra source of financing as the interest charged is equivalent to that charged on a mortgage which is usually much cheaper than a commercial loan. With Vuna Hela, you are also able to access your money within a short period of time therefore making it … A Fast & Affordable solution.

TYPES OF VUNA HELA LOANS

VUNA HELA – Vanilla / Top Up

Vanilla / Top Up is where a customer applies for a loan / additional financing using the house / property as security but not necessarily using the money towards the home / property. What’s more, you do not have to be a HF customer to utilise this facility.

Financing is based within the current Loan to Value ratios for Vuna Hela. You will be required to finance the closing costs such as Stamp duty and legal fees and once the security documents are perfected, the funds will be released.

Vuna Hela – Debt Consolidation

Have you accumulated several loans and would like to have them consolidated into a long-term affordable loan option? The Vuna Hela Debt Consolidation solution does just that. To qualify the loan repayments of the existing loans should be up to date and you will be required to provide us with loan statements for a period of 1 year. Funds will be released after perfection of security documents

Vuna Hela – 3rd Party Charge

The Vuna Hela 3rd party charge solution provides customers with the option of using property that may not be personally owned to acquire financing. The property / home owner must however give authority to have the property charged to Housing Finance for the funds to be released.

A personal guarantee and indemnity will be required from the property owner and funds will be released after perfection of security documents.

Vuna Hela – Plots

Vuna Hela on plots gives customers the opportunity to use their plots as the security for the purposes of acquiring additional financing. The size of the land must be over 3 acres to enable investment in infrastructure. We will lend you up to 50% the value of the plot.

Housing Finance Mortgages: Cyclical Mortgage

This is a mortgage product for those who do not receive a regular monthly income but who receive their income on a cyclical basis. Under the Cyclical mortgage, we will set your repayments on pre-agreed cycles to suit your income flow thus offering quarterly, half-yearly or yearly repayments.

The cyclical mortgage product is a product that will enable specific customer groups to qualify for a mortgage which they repay in set cyclical periods based on their income flows. Who is it for?

-Large Commercial Farmers
-SME Business Owners
-Landlords with leased premises
-Professionals under contract (Consultants, engineers on contract etc)
-Schools / Institutions receiving fees 2 / 3 times a year
-Those who earn their income on a periodical basis.

Benefits

Offer customers convenience of repaying their mortgages in pre-agreed cycles that correspond to their income receipts.
Enabling customers, esp. farmers and SME’s to access working capital loans.
Providing mortgages to farmers and others who previously have had difficulty in accessing this product.
Equity Release – allows you to borrow on the value of your own equity acquired from repayment of your mortgage.

General Requirements

-Copies of Identification documents
-Copy of the PIN Certificate
-Fill our application form
-Open a Lengo savings account
-If the account is joint, please provide copies of a marriage certificate

For Self Employed Persons

-Audited accounts for last three years
-Originals or certified copies (by bank) of bank statements for the last 1 year
-Business registration certificate
-Cash Flow projections for three years
-Projected Balance Sheet & Profit & Loss Statement for three years
-Copy of latest annual returns
-A note giving brief history of business and nature of business

For farmers;

The requirements for appraising and processing a farmer’s income should comprise the following in addition to those in the general requirements:-

-Bank statements for the last 3 years.
-A cash flow forecast covering the next 3 years.
-Farming experience of the applicant.
-Farming activity location, size and terms of land ownership e.g. uprightly owner, leased etc
-Source and cost of farm input like fertilizers & chemicals, seeds, machinery, labor, storage and other associated costs.
-Proof of Market for the farm produce.

If you have already identified your property of choice, kindly provide:

-Sale agreement / draft
-Sale agreement / letter of offer
-Copy of title
-Payment of valuation fees as will be advised

Housing Finance Mortgages: Home Freedom Mortgage

Owning a home has now been made easier. With the Housing Finance & British-American Home Freedom, you can now assign up to 60% of your accrued retirement benefits to acquire the home of your dreams. With the Home Freedom mortgage product, you will not only get financing for your home, but also for the upfront mortgage payments such as the down payment*, stamp duty, valuation and legal fees. All you need to access the Home Freedom mortgage is to be a registered member of a pension / provident fund.

Product Benefits

The following are the benefits received by taking advantage of this product:

-Up to 115% mortgage financing
-Mortgage closing costs (Stamp duty, valuation, legal fees) and down payment where required will be covered.
-Access to all Housing Finance loan products.
-Competitive insurance packages provided by British-American
-Joint applicants can combine incomes as well as their accrued pensions as guarantees to cover the loan amount.

Home ownership has never been easier!

For more information, please contact us on 3262600 (Housing Finance), 020 283300 (British-American) / or email homefreedom@housing.co.ke

Housing Finance Mortgages: Employers Sponsored Schemes

This product is designed for financing the purchase of a new or an existing residential property, purchase of urban residential plots and construction of a residential property through a subsidised facility provided by the employer or sponsor.
When an employer wishes to pass on reduced rates of interest to his employees as a benefit, he can use this scheme designed specially for corporate clients.

The employer deposits a certain capital sum with Housing Finance as a back up and then decides the rate of interest he wishes to pass on to his employees.

The rules of the scheme are largely decided by the sponsor, subject to the minimum prudential guidelines on lending provided by Housing Finance or the various regulatory authorities.

A small margin is charged by Housing Finance to cover costs. Through this facility, the employees of the firm concerned benefit from subsidised interest rates for their mortgages.