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Sam Mayanja, lands state minister, yesterday during the Vision Group’s Homes and Construction Expo 2023 inaugural at Kololo Independence Grounds, noted that currently, bibanja holders, who have long been seen as inferior in the housing sector are now being considered.

During the inspection of the different stall exhibitions, he was happy to note that professionals are now actively involved in the real estate sector, as opposed to abandoning it to uneducated brokers and middlemen.

“All planned home developers and real estate dealers should stop dealing with school dropouts, who had taken over Lands’ offices, not allowing anyone to access information. Before you acquire land, make sure you are dealing with professionals. For instance, I am happy to note that Housing Finance Bank is giving mortgages to low-income earners. That a kibanja holder can be financed by a serious bank is satisfying,” he said. 

Exhibiting at the expo, Joseph Kintu, a relationship officer with Housing Finance Bank says the bank rolled out a hot, ongoing offer called Zimba Mpola Mpola, or incremental housing loan.

This is intended for people who want to construct houses or buy a plot of land in phases. Just in case one does not have enough funds to construct a house at ago, the bank steps in. To begin with, one must open an account with the bank, and then apply for a loan.

It will require a loan officer from the bank to visit the site before they get the loan. The intention is to establish whether the land is owned by title or agreement. 

If the land costs sh20m, and one can pay sh10m, the bank can top up the balance and keep the title or agreement until one can pay the full amount.

For a first client, paying the loan can be set at one year, but on acquiring another one, the payment period can be extended to three years or what they refer to as “a transitioning to three years”.

The interest, according to Kintu, is 20% per annum. This product was rolled up in 2021 and is popular because it leaves no one behind.

Justine Nakiyingi, also from the bank, says the product is convenient and anyone is eligible, including non-salaried earners. 

The bank says even without valuation, which is expensive, one can get money. It helps one achieve their dream house or buy a plot of land. This is referred to as, “Akezimbira tekaba kato".

The maximum repayment period is three years, a period that allows one to stay in the house or utilise acquired land as they pay back the loan.

Housing Finance also constructs houses for their clients or connects customers to genuine land dealers.

They can also identify genuine and appropriate land. When the bank offers to pay the loan on land, it allows the client to concentrate on constructing the house. One only needs proof of income earnings or business to qualify.