At some point in life, we all want to sleep in a house we can call our own and this was exactly what Dr Godfrey Habomugisha was dreaming of.
For a number of years, he went home to a government house in one of the flats in town. But as his family expanded, he realised that he needed more than a two-bedroom house and a place he could call his own.
The gynaecologist had saved some money in anticipation of acquiring a house. But because of his demanding job, he could not have the adequate time to look for land, supervise its levelling and be at the site to monitor the construction.
To settle his worries, he moved around looking at the offers that the different local real estate companies offered in regards to buying houses. He settled for Akright Property Consultants Limited.
“I found that Akright was offering a better deal. We had been putting some money aside. When we talked to Akright, we found we could buy land from them and then have them build for us.
We could pay for the plot of land and start paying for the house as our property later on,” the medic explains.
He adds that before settling for that option, Akright gave them two choices.
There was the option of either buying an already finished house or buying a plot and have the company construct for them a house of their choice. “We opted for the latter.”
HOW TO BUY FROM REAL ESTATE DEALERS
Dr Godfrey Habomugisha a gynaecologist explains, “The terms Akright gave us were flexible. We could deposit some money and pay the balance over a period of time.
We bought the plot of land at Shs30m which covered 30 decimals (slightly more than quarter an acre of land) in their Kakungulu Estate. We felt that was good enough. The whole structure was valued at Shs270m. I initially paid a quarter of that amount.”
The medic says he is still paying and Akright is very understanding. He says that it is common for people to take long to acquire decent accommodation because of money issues.
However, real estate companies are one way to acquire a home especially when you have some money but not enough to build a house at once.
“Obviously, because you are going to pay over a long period, there will be some interest but by and large, if you think of it critically, it is more advantageous,” he advises.
Instalment payment basis
Anatoli Kamugisha, the Managing Director at Akright Projects Limited says people have a chance to acquire land and a house through real estate companies like Akright on an instalment payment basis.
He explains, “When you contact us, you describe the kind of house you want and what your budget is. We agree on the terms of payment. After other few modalities, you start on the payment, either the full amount or installment payment.
“Upon completion of the payment, the title is issued to the owner, along with the transfer forms. Six months later we check on you to see how you are enjoying the property. This is for people who want to buy an already built structure.”
Florence Nasaka, a front desk operator at Zion Estates explains that their three-bedroom houses in Matugga on 50ft by 100ft plots of land cost Shs50m.
“If you want any of these houses, you deposit 30 percent (Shs15m) of the Shs50m, we give you the keys to the house and a year to complete the payment,” she says, explaining that you can do this by either paying personally or getting a mortgage from Microfinance with an initial deposit of 30 per cent.
Nasaka says you will have to pay the balance in a period of one to five years with a 30 per cent interest rate per annum.
Having the house constructed
However, if you want to buy land and have Akright build you a house of your choice, Kamugisha explains that they ask you to pay half of the value of the house.
“But we can negotiate and come to a common payment plan. Many people prefer to finance their houses through the bank and these mortgages can be financed between 15 to 20 years.”
He adds that the marketing team at Akright can help you acquire a house through a bank mortgage which can be arranged through Barclays, KCB, Housing Finance, dfcu and Stanbic.
David Dansor Ninyikiriza, Head Mortgage and Development Finance Business at Housing Finance Bank Ltd explains how you can use mortgage financing to buy a house.
He says, at Housing Finance Bank Ltd, they provide a wide range of mortgage products used for either purchasing or construction of both residential and commercial property.
“One is able to acquire a house nowadays without having to save all the money needed. With our mortgages, you are given a period of up to 20 years to pay back with manageable periodic payments,” Ninyikiriza explains.