Buying a home is one of the biggest financial commitments anyone can make. In Kenya, the challenge of raising a deposit often discourages many potential homeowners. But did you know that you can buy a house with no deposit? Yes, it is possible! In this guide, we’ll explore the various financing options available to help you own a home in Kenya without an initial deposit.
Whether you’re a first-time buyer or an investor, this guide will provide valuable insights into:
- How to buy a house with no deposit
- Mortgage options with 100% financing
- Government-backed housing schemes
- Rent-to-own programs
- Developer and SACCO financing
- Smart financial strategies to make homeownership a reality
For expert real estate assistance, Prime Homes Kenya is your trusted property partner. Contact them today at +254740712579 or email sales@primehomes.co.ke for personalized guidance on owning your dream home.
1. Is It Possible to Buy a House in Kenya with No Deposit?
Yes, it is possible to buy a house in Kenya without a deposit. Traditionally, banks and mortgage providers require a 10-20% down payment. However, there are financing options that allow you to own a home without an upfront cash deposit.
The key is to explore alternative financing solutions such as:
- 100% mortgage financing
- Government housing schemes
- Rent-to-own programs
- Developer financing
- Employer-assisted homeownership programs
Let’s take a deep dive into each of these options.
2. 100% Mortgage Financing in Kenya
A 100% mortgage loan covers the entire cost of purchasing a house without requiring a deposit. While not common, some banks and financial institutions in Kenya offer this option under special conditions.
Banks That Offer 100% Mortgage Financing
Some of the Kenyan banks that offer full mortgage financing include:
- HF Group (Housing Finance Bank)
- Stanbic Bank Kenya
- NCBA Bank
- Absa Bank Kenya
Eligibility Criteria for 100% Mortgages
To qualify for full financing, you may need to:
- Have a stable income and a good credit score
- Be employed by a reputable company or be a government employee
- Show a strong financial history
- Have a long-term repayment ability
Pros of 100% Mortgage Financing
✅ No upfront deposit required
✅ Ideal for first-time home buyers
✅ Allows you to own a home without savings
Cons of 100% Mortgage Financing
❌ Higher interest rates
❌ Longer repayment periods
❌ Limited availability
If you’re looking for a home with 100% mortgage financing, Prime Homes Kenya can help you find properties that qualify under this arrangement.
3. Government-Backed Housing Schemes
The Kenyan government has launched several affordable housing programs that allow buyers to own homes without a deposit.
Boma Yangu Affordable Housing Scheme
- Run by the Kenyan government under the Big 4 Agenda
- Buyers can pay for houses in installments without a deposit
- Offers low-interest mortgages for first-time homeowners
Eligibility for Government Housing
- Kenyan citizen above 18 years
- Must register on the Boma Yangu portal
- Must contribute to the National Housing Development Fund
How to Apply:
- Register on the Boma Yangu website
- Choose your preferred house type
- Start making monthly contributions towards ownership
For guidance on government-backed housing, contact Prime Homes Kenya at +254740712579.
4. Rent-to-Own Programs in Kenya
A rent-to-own scheme allows you to live in a house while paying rent, with a portion of the rent going toward ownership. After a few years, you can fully own the property without a deposit.
How Rent-to-Own Works
- Sign a lease agreement with the property developer
- Pay monthly rent with part of it allocated toward buying the house
- After an agreed period (5-15 years), you own the home
Companies Offering Rent-to-Own in Kenya
- Mahiga Homes
- Kings Developers
- Superior Homes Kenya
Pros of Rent-to-Own
✅ No large deposit required
✅ You can move into the house immediately
✅ A portion of rent goes toward homeownership
Cons of Rent-to-Own
❌ Monthly payments may be higher than normal rent
❌ If you stop payments, you may lose ownership
Looking for rent-to-own homes? Prime Homes Kenya can help you find properties under this scheme.
5. Developer and SACCO Financing
Real estate developers and SACCOs (Savings and Credit Cooperative Societies) offer flexible financing options that don’t require an upfront deposit.
Developer Financing
Many property developers in Kenya allow buyers to pay in installments over a period of time (6-24 months).
Popular developers offering financing include:
- Optiven Limited
- Cytonn Investments
- Fanaka Real Estate
SACCO Housing Loans
SACCOs provide low-interest home loans without requiring a deposit. Some of the best SACCOs for housing loans include:
- Stima SACCO
- Safaricom SACCO
- Mhasibu SACCO
With SACCO financing, you can secure 100% home loans with flexible repayment plans.
6. Employer-Assisted Homeownership Programs
Some companies offer employee homeownership programs that allow workers to buy houses without a deposit.
How It Works:
- The employer partners with banks or developers to provide zero-deposit home loans
- Monthly repayments are deducted from salaries
- Employees can own homes while still working
Companies such as Safaricom, KCB, and Equity Bank offer employer-assisted homeownership schemes for their staff.
7. Final Tips for Buying a House with No Deposit
Here are some smart strategies to help you buy a home with no deposit:
✔️ Improve Your Credit Score – A strong credit rating increases your chances of getting full mortgage financing
✔️ Consider a Joint Mortgage – Partner with a spouse or family member to secure financing
✔️ Negotiate with Developers – Some developers offer customized payment plans
✔️ Use Your Retirement Benefits – If you have a pension fund, you can use it to buy a home
Conclusion
Buying a home in Kenya with no deposit is possible through 100% mortgage financing, government housing schemes, rent-to-own programs, SACCO financing, and employer-assisted plans.
If you’re looking for affordable houses with zero deposit, Prime Homes Kenya is here to help!
📍 Visit www.primehomes.co.ke
📞 Call +254740712579
📧 Email sales@primehomes.co.ke
Start your journey to homeownership today! 🚀
