Delta’s unique home model based on price, location and size

Delta Home Limited’s vision is to solve the housing problem in the middle and low income market in Kenya. This Vision is inspired by the huge shortage of decent, affordable housing in the country, currently estimated at 200,000 houses annually. Less than 50,000 houses are being built every year.

The country is therefore in dire need of decent, affordable homes. As Delta Homes, our target market is the millions of Kenyans aspiring to own a home. We also believe in local solutions to the housing problem in the country.

We are about to complete and hand over out latest project, Nawiri in Lower Kabete in the outskirts of Nairobi. The housing project comprises 37 units all of which are sold and to be handed over to our clients in December.

Nawiri is an ideal location and fits within our unique client proposition anchored on location, size and price. Most of our projects are located within a 20-minute-drive from the Nairobi Central Business District.  

“Our houses are designed with the family in mind. For now, we are mostly targeting young families living and working within Nairobi to provide them with decent, comfortable homes to able to meet their life aspirations,” says Delta Homes Managing Director Fred Njeru.

He adds that being within relative proximity of the capital, this comes with savings in fuel and cost of commuting to and from home to work.

“Apart from convenience, the proximity of our projects to Nairobi and its environs means our clients are able to save money over the long-term,” explains Mr. Njeru.

Delta Homes housing units are reasonably priced at between Ksh3 – 15 million for a 3-4-bedroom unit. Apartments go for Ksh 6 million and below.

Most of our clients are able to finance the construction of their homes. At Delta, we walk with our clients throughout the journey to home ownership. 

“Delta is unique in that we are flexible about payment. We bring the customer in early enough and walk then through the payment. Our process is structured such that by the time the construction is done, the client has completed payment,” says Delta Homes Chairman and Technical Director Edward Kariuki.

Delta Homes works with reputable financial partners offering flexible terms to our clients to enable them purchase the residential property with ease.

“We encourage our clients as much as possible to build their homes out of savings or if need be, through financing by the bank. Mortgage is good but it tends to be more expensive,” adds Mr. Kariuki.

He further says that unlike some developed nations with mortgage penetration rates of over 90 per cent, there are only 26,000 mortgage customers in Kenya.

“With high unemployment rates, many Kenyans cannot even begin to imagine about taking out a mortgage.”

Low uptake and access to mortgages in Kenya has also been blamed on low incomes and high property prices. The establishment of the Kenya Mortgage Refinancing Company (KMRC) has been greeted with relief by many potential home owners.

KMRC will lend local financial institutions funds for onward lending to prospective home owners at 7 percent. Kenyans earning even below Ksh150,000 per month will access affordable, long-term homes loans. This is expected to unlock the huge pent-up local demand for affordable housing.