A few years ago, “affordable housing” in Kenya was mostly associated with political campaigns, full of lofty promises but little to show on the ground. But by 2025, the story is changing.
Across the country, construction cranes are moving, rooftops are rising, and more Kenyans are finally getting access to decent, reasonably priced homes.
A Crisis Decades in the Making
Kenya’s housing shortage has been growing for years. With a national housing deficit of more than 2 million units, cities like Nairobi, Mombasa, and Kisumu are under immense pressure.
Rural-to-urban migration, a growing population, and limited housing supply have led to overcrowded informal settlements and rising rent costs.
For many middle-income earners, buying a home close to the city or their place of work has been out of reach. This reality is what pushed the government to act leading to the rollout of the Affordable Housing Programme (AHP). Its target: deliver 1 million homes in five years, at a rate of 200,000 per year.
Turning Blueprints into Homes
As of April 2025, roughly 140,000 housing units have already been built under the programme, according to the State Department for Housing.
Another 5,000 units are being opened for allocation through the government’s Boma Yangu online platform. The homes are being constructed in key urban areas including Nairobi, Machakos, Nakuru, and Kisii, with future phases planned for other counties.
To fund the programme, the government introduced a 1.5% housing levy deducted from employee salaries and matched by employers. While the tax has sparked heated debate, it has enabled a steady stream of resources for housing development.
When Government Meets the Private Sector
The public sector isn’t building these homes alone. Through public-private partnerships (PPPs), developers are working with the government to speed up housing delivery and share the cost of construction.
These collaborations are crucial in reducing the burden on the state while tapping into private innovation and efficiency.
One example is the National Housing Corporation’s partnership to develop 2,820 affordable housing units in Machakos County. Meanwhile, Tatu City, a private urban development near Nairobi, is also incorporating affordable homes within its larger master plan, showing that the private sector can play a significant role in long-term solutions.
Legal Battles and Public Backlash
Despite the progress, not everything has gone smoothly. Several housing projects have faced court delays due to disputes over land ownership and contract transparency.
These legal issues have pushed the completion dates for some units into mid-2025.
On the financial side, many workers have questioned the fairness of the housing levy.
Some argue it places a disproportionate burden on lower-income earners, especially since they’re contributing without a guarantee of securing a unit. The levy has even been challenged in court, raising concerns about the sustainability of the programme.
Looking Ahead: A Foundation to Build On
The Affordable Housing Programme still has a long way to go, but it’s no longer just a promise it’s becoming a visible part of Kenya’s urban landscape.
The key now is to maintain momentum, improve transparency in allocation, ensureconstruction quality, and continue involving communities in the process.
With a strong balance between state support, private investment, and citizen participation, Kenya has a real chance to transform its housing sector and give thousands of families a place to truly call home
Explore More
To learn about available housing units or start your application, visit the official Boma Yangu platform.
