The Sunday Mail
WITH an estimated 1,2 million people on the national housing waiting list, demand for land in urban centres continues to soar as the urban population grows.
Owning a house in the urban set-up has therefore largely remained a pipedream for most low-income earners.
But Government, through the ambitious economic blueprint Zim-Asset, plans to construct more than 125 000 housing units by 2018.
This would be attained through the provision of housing stands, strengthening of public-private sector partnerships and recapitalisation of the National Housing and National Guarantee Fund. Local authorities, traditionally responsible for the off-site infrastructure, have limited capacity and have since given the green-light to housing cooperatives and private developers to establish the much-needed infrastructure.
As a result, there has been an explosion of cluster home complexes of late as most of the financial institutions face a high demand for housing mortgages.
But it has since emerged that banks, building societies, pension funds and insurance firms who took up most of the mortgage licences are still pricing their properties beyond the reach of the ordinary people.
According to local property developers Vantage Affordable Housing Company, the need to balance rising demand from the market and affordable prices has spawned the off-plan model, where buyers pay for units before construction is completed.
The company is presently using the model for the Nyavira View Park, which is being developed in Spitzkop along Harare-Norton highway and will comprise 5 000 three- and five-bedroomed housing units when complete.
The estate will be constructed by Growth Points Development Company.
Vantage Affordable Housing Company acting general manager Ms Nancy Nyachowe said their plan had made their pricing competitive, with three-bedroomed housing units fetching US$15 000, while the five-bedroomed houses are being sold for US$25 000.
“Home buyers will attend the open houses planned for Saturdays and Sundays and we are now taking reservations with a deposit of 15 percent to 20 percent,” said Ms Nyachowe. It is understood that the site will be developed in phases, with each new phase consisting of 1 000 housing units.
“In previous projects, the company has built and sold houses in partnership with other developers,” said Ms Nyachowe.
The estate, which is expected to be a green and environmentally friendly dwelling, is set to have multiplier economic and social activities, a self-sustaining set of health services and education facilities.
“This is a great model that will enable more ordinary Zimbabwean to own homes.
“And it will have a trickle effect on other sectors as the estate will need shops, health services, transport, education, communication and utility services as well as banks and garbage collection,” she said.
Vantage Affordable Housing Company, which was founded in 2011, plans to invite Government to take up a stake so that it assumes a national outlook.
Private international investors will also be courted so that mega infrastructural projects are rolled out.
The company is presently working with the Millennium Development Goal Trust Fund to contribute towards increasing access to decent and affordable housing in Zimbabwe through the Nyavira Housing Project. Of late, most institutions are hedging their portfolios by investing their resources in property, but this has failed to influence prices of housing units.
Mortgages are believed to be beyond the reach of many, while housing co-operatives have been able to provide some relief.
Government, which has actively encouraged local authorities, pension funds and local financiers to invest in housing projects, is expected to meet its Zim- Asset housing targets.
Currently, building society Cabs is in a tie-up with Harare City Council to provide low-cost housing, while other financial institutions such as ZPI, FBC Building Society and Fidelity are pursuing various projects.
Various local authorities around the country have also replicated such major projects.
