The bank will provide up to 100% financing for properties below Sh10 million and up to 90% financing for properties above Sh10 million
Barclays Bank of Kenya, which is to change its name to ABSA come June 2020 has entered a partnership with Centum Investment Company, the public East African investment company, to finance buyers of houses that are currently under development.
The agreement will see the bank finance buyers who are looking to purchase both completed and off-plan units developed by Centum Real Estate. The units to be covered by the agreement include Palm Ridge Estate and Awali estate in Kilifi County as well as Riverbank apartments at Two Rivers development and Cascadia apartments in Nairobi.
According to Samuel Kariuki, Centum Real Estate’s managing director, the loans will be priced at a range of between 11.5% and 11.9% giving buyers a discount from the current maximum lending rate of 13% by commercial banks.
“The signing of this agreement with Barclays signals our commitment to ensuring that Kenyans have an opportunity to own a home in a master-planned city that integrates world class infrastructure and recreational amenities which seamlessly blend a live, work and play lifestyle,” he said.
David Hardisty, Barclays Bank’s director of Retail and Business Banking, on the other hand, stated that the bank has been playing in the mortgage space for many years offering some of the longest-tenured mortgages on the market of up to 25 years and will continue expanding its products and services in this area.
“We understand just how difficult it is for many people to own a home, despite this being a dream for most Kenyans. It is our desire to help all our customers achieve their ambitions in the right way,” he said.
