DN International launches Rwf 3.8bn housing estate

GASABO - DN International, a real estate company, has put on public sale its 50-unit housing estate, the Chief Executive Officer, Nathan Lloyds has disclosed. Lloyds said that the housing estate located in Rusororo, Gasabo District, Kigali is the company’s second estate after the hillside estates in Masaka adding that their commitment towards expanding the real estate industry in the country is yet to be realized. “We have now shown our commitment towards ensuring that every Rwandan owns a house at an affordable price,” he said. during the official launch of the estate on Friday. He further revealed that real estate and construction industry is still struck with high demand for houses whilst the cost of construction is still high making many companies set the price of houses high. Each unit of 4 bed rooms will cost Rwf 75million , while the 5 bed-roomed one will cost Rwf 90 million. However, Esther Mutamba, the Managing Director Rwanda Housing Authority which was established by government seven months ago, said that they are trying to make reforms to engage the housing sector to curb the shortage of homes which stands at 88 per cent. “We are seeing the construction industry booming on the side of those who can afford to construct their own houses but on the side of low income earners it is still a challenge,” she said. Mutamba disclosed that government is devising means to encourage real estate developers to construct houses for low income earners. She added that some incentives such as reduction of mortgage ratse and availing land would attract developers to reduce the cost of houses. The current mortgagee rate stands at 16 per cent and government wants it lowered to 14 per cent. “I had been wondering how I would ever own a house in my life with my salary and demands in the family, but now am owning one this year with a small portion of my salary through a mortgage loan,” Francois Rutikanga, a manager with a regional company said. The Managing Director Kenya Commercial bank-Rwanda, Maurice Toroitich, said that the bank is willing to support home buyers with mortgage loans to enable them acquire houses of their own noting that the buyer would be required to have 10 percent of the house value to access the loans. Ends