Innovative homeownership: What the NSSF Tenant Purchase Scheme offers

By Millicent Mwololo

The National Social Security Fund (NSSF) is a pioneer and enabler of homeownership under the Tenant Purchase Scheme (TPS).

TPS, a game-changer in Kenya’s real estate sector, has for several years provided an easier path to homeownership by enabling buyers to purchase homes through monthly payments. More than 6,000 families have been accommodated under the scheme over the years.

In a country with a persistent housing deficit, the NSSF TPS offers a flexible home purchase model that is greatly contributing to the government’s affordable housing objective of the ‘Big Four’ development agenda. Currently, the cumulative housing deficit stands at two million units per year, with an ever-increasing demand for affordable options.

The NSSF TPS has for decades designed its innovative homeownership model to deliver quality less costly housing with purchases starting at 10 percent deposit of the total cost of the house, and the balance spread in monthly instalments going up to 15 years.

All Kenyans aged 18 years and above, with a source of income – whether employed or in business – are eligible to buy a house through the NSSF TPS. However, priority is given to Fund members who make monthly payment contributions.

After the initial 10 percent deposit, the applicant immediately gets the keys to the house once it is ready for occupation, and pays monthly instalments that are comparable to rent until completion. The house is transferred upon completion, a factor that contributes to making the scheme an attractive option.

The TPS houses it has delivered into the market include Mountain View, Hazina, Kibera Highrise and the iconic Nyayo Embakasi and Kitisuru estates.

Nyayo Embakasi Estate continually attracts accolades as a well-planned and maintained estate. A consultative forum held by the Community Development Network (CDN) rated the estate as having best practice in ensuring a clean environment through proper garbage and litter management, tree planting and well-maintained gardens.

The vast estate is the second-largest in Africa after Nigeria’s Gwarinpa Estate, which has 5,700 houses. Nyayo Estate has a total of 4,817 units. It has some of the most enchantingly designed houses in Nairobi, and provides necessary amenities such as nursery and primary schools, and community and shopping centres.

The housing units consist of semi-detached three-bedroom maisonettes and apartments.  The roads and pavements in this posh estate are well maintained and interconnected to ease movement. Street lights line up the roads at every 15 metres. Security is tight and persons getting in and out have to clear with the security desk.

In March 2020, NSSF, in partnership with Safaricom, launched the USSD code *303# to enable homebuyers to remit their monthly instalments via M-Pesa as an alternative mode of payment. The code enhances cashless transactions, meaning that buyers don’t have to make trips and stand in long queues at banking halls to deliver payments. This has enhanced user-convenience. The USSD code prompts the user to key in their details and pay from their M-PESA account.

NSSF is now selling the executive Milimani Apartments, a high-end residential development in Nairobi, at Ksh35 million per unit. The signature development, which features 104 apartments, is located on State House Road, a prime location.

Special features of Milimani Apartments:

• Specially designed and spacious to afford maximum comfort.
• Social amenities: Swimming pool, gymnasium, steam and sauna.
• Abundant water supply from a borehole, treated with reverse osmosis, in addition to county water supply.
• Electric fence, CCTv surveillance.
• All blocks fitted with lifts.
• Ample parking.
• Environmentally friendly open spaces and landscaping.
• Walking distance to the city centre.
• Secure neighbourhood.

Payment options:

• Tenant Purchase Scheme.
• Cash sale.
• Financiers: NSSF has partnered with Kenya Commercial Bank and Stanbic Bank to provide an attractive financing package.

Our services are available at all Huduma Centres countrywide.

Tel: 020 2729911 / 2710552, Toll-Free Line: 0800 2212744, Call: 0709 583 000 /0730 882 000,  Email: [email protected]