Which Are The Best Mortgage Lenders In Kenya?
Which Are The Best Mortgage Lenders In Kenya?
In Kenya, banks are the leading mortgage lenders, but insurance companies and other financial institutions also offer mortgage loans.
The Kenya Mortgage Refinancing Company (KMRC) was formed in 2018 to offer affordable long-term funding, allowing banks and other mortgage lenders to offer long-term mortgages at low-interest rates.
Citibank Kenya is one of the best mortgage lenders in Kenya, offering different types of mortgages at a rate of 12.5% .
The process of application is simple, with a short approval time. Consolidated Bank also offers mortgage loans for construction, purchasing a plot, project finance, and equity release. The mortgage lender offers a loan to purchase land, renovate your house, or own an already built home.
Standard Chartered Bank Kenya is another top mortgage provider in Kenya, with a comprehensive mortgage plan.
The bank offers a mortgage loan of up to KES 100 million, with a repayment period of up to 25 years. KCB Bank also offers a mortgage loan that enables you to buy or build your dream house, develop property for letting, as well as buying land and plots while enjoying the best mortgage rates in Kenya.
When applying for a mortgage in Kenya, you need to provide your national ID or passport and KRA PIN. Mortgage lenders also require your latest three months’ payslips and a letter from the employer.
The best mortgage term depends on your financial situation and the purpose of the mortgage. Mortgage lenders consider factors such as your credit score, income, and debt-to-income ratio when deciding whether to approve your mortgage application.
What Is The Maximum Amount One Can Borrow For A Mortgage In Kenya?
The maximum amount one can borrow for a mortgage in Kenya depends on the lender and the borrower’s financial situation.
National Bank offers a loan-to-value ratio of up to 90%, with negotiation fees of up to 1.5% of the loan amount, and a maximum tenure of 25 years.
KCB Bank allows borrowers to borrow any amount from KES 500,000 for home purchase or construction and repay in up to 25 years.
Fanaka Real Estate lists the top 10 mortgage providers in Kenya, but does not provide specific information on the maximum amount that can be borrowed.
The amount that a borrower can borrow for a mortgage is determined by several factors, including the borrower’s income, credit score, and the value of the property being purchased.
Lenders typically require a down payment of 20% of the value of the property to get started. Borrowers with a higher income and a good credit score may be able to borrow more than those with a lower income and a poor credit score.
It is important for borrowers to shop around and compare mortgage rates and terms from different lenders to find the best deal that suits their financial situation.
