One main reason why the bulk of Zimbabweans are tenants and not house owners is because financial institutions don’t give out many mortgage loans here. This means people who want to buy a house have to finance their own purchase outright. In a country where the bulk of people live below the poverty datum line that is simply not possible.
Banks do give out mortgages now and then and at the moment Steward Bank is giving out mortgages. Not everyone qualifies and it seems they are giving preference to those who work locally and are earning USD or at the very least foreign currency. That is understandable as the Zimbabwean dollar is tainted by mercurial RBZ policies that upend long term deals like mortgages or even sink banks.
Are you locally employed, earning in foreign currency & looking to buy a home?
Get in touch with us today for more information on our Ruwa Fairview mortgages.
WhatsApp: 0771540841
Steward’s Ad
Email: [email protected]
How much do the houses cost?
We got in touch with Steward and we got the following response from them.
HEPII DAY Zimpricecheck. The facility is only confined to the purchase of the Bank’s houses which are in Fairview Ruwa 23km out of Harare. These are units in a confined space ranging between 294 square meters and 682 square meters. The price range for the units is between USD 51, 855.00 and USD 74, 747.00.
Should we start offering mortgages to the purchase of houses other than the Bank’s units, such information will be communicated to you.
The terms and conditions are as follows:
-One must be formally employed and earning foreign currency
•Interest rate: 8%
•Deposit:8% (to be paid upfront)
•Tenure:15 years (180 months)
•Legal fees and establishment fees: 14% (to be paid upfront)For more information kindly email the Diaspora team to [email protected] or send a WhatsApp to +263771540841.
So if you opt for the cheaper US$52 000 house you will have to pay about US$4 200 in advance and make payments of US$300 to the bank. If you default your house will be repossessed by the bank and resold. It’s not a bad deal
Fairview is a relatively new neighbourhood in Ruwa Mashonaland East. Usually, to keep costs down, keep things simple and to reap more benefits, banks often buy the stands, hire constructors and attach their mortgages to these inhouse properties. This makes things easier as they will be aware of all the costs involved and can keep tighter control of things.
If you default they can just kick you out as all properties are in the same place. They can also make sure you don’t misappropriate funds. It’s also easier for clients as they don’t have to worry about the complexities of project management or risk dealing with fraudulent construction companies that make shoddy homes. You just get a mortgage, choose your desired address and move in.
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