Challenges in the Affordable Housing Programme

The Affordable Housing Programme is a government priority initiative that aims to facilitate the creation of adequate, safe and affordable housing for Kenyan inhabitants. Aside from catering to home applications, the programme considers supply and demand and provides a conducive environment through policy changes.

It has a number of serious challenges that impede progress towards its aims. These problems can be broadly classified as financial, regulatory, land-related, and socioeconomic in nature. Here are some of the main challenges:

1. Financial Constraints

– High Cost of Construction: The high cost of building materials and construction makes it challenging to provide cheap housing with the starting price of units at ksh 960,000.

– Insufficient government funding: Government expenditures for affordable housing are frequently restricted, and there may be delays or misallocations of resources.

2. Inconsistent Policies: Changes in government policies and laws can cause uncertainty for developers and investors.

3. Land Issues: 

– Limited availability of inexpensive land for house development, particularly in metropolitan areas.

– Land Tenure Systems: Complex land ownership and tenure systems can cause disagreements and make it difficult to get valid titles for development.

4. Infrastructure Deficits: Lack of infrastructure, including roads, water and electricity in the site areas can increase development costs and discourage investors.

5. Social and economic factors: 

– High Poverty Levels: A sizable section of the populace cannot afford even the most basic forms of housing.

– High unemployment and underemployment: These conditions make it more difficult for people to afford housing.

6. Dynamics of the market:

– Speculation: It can be challenging to maintain housing affordable when prices are driven up by speculation about land and other properties.

– Supply-Demand Mismatch: A mismatch frequently exists between the types of homes being produced and the population’s actual demands and affordability levels. 

7. Social and Cultural Factors:

– Community Acceptance: Opposition from communities who may object to affordable housing developments in their localities because of the alleged adverse effects.



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