Letshego Holdings has partnered with the Ongos Valley Group to provide financial assistance to aspiring homeowners, including those who do not qualify for housing bonds with other commercial banks.
The cooperation targets low to middle income earners and is not limited to men and women in uniforms.
The cooperation begins with the Ongos Valley development, which will see thousands of houses built in the next 20 years to ease the housing shortage in Windhoek and will extend to other towns where Ongos is set to undertake similar projects.
Letshego Namibia, Chief Executive Officer Dr Ester Kali said the bank has expanded its business model and now provides soft loans to whoever qualifies, and is no longer limited to government employees as has been the case before.
“This partnership is not as simple as offering a home loan with lowest interest. But it is about understanding the demographics and unique needs of our local community, and then creating a solution that includes a multifacet structure that offers a choice approach that suits the customers. This is an all-in-one solution with land and customisable houses. Or provide capital to purchase materials from trustable suppliers for renovations of existing homes or structures located anywhere else,” she said during the agreement signing on Friday.
“This partnership with Ongos Valley will provide all Namibians with an opportunity to build a home and have a better future. The cooperation will further help enhance our business and provide newer services, which Letshego seeks to address the challenges experienced by individuals in accessing funds.”
Other benefits to be offered as part of the agreement according to Kali, will be competitive pricing, labour, construction and advisory services.
“When we started this journey nine years ago to provide 28 000 housing units, we knew we needed people and organisation to join us as we could not do it alone, hence the resolute join hands with Letshego. The country has been in dire need of affordable housing for many years, and access to finance has mainly been the problem, which is equally very important in addressing the dire situation,” said Ongos Valley Group Chairman Reagan Graig.
“That is why we at Ongos devised means to offer rent to own, as one of the solutions that elevates human dignity and decency in the pursuit of home ownership, and that is our philosophy. Therefore, we have to solve this together as a nation by working together.”
Rent to Own Housing Managing Director, Inocencio Verde, said the initiative,” is crucial and innovative in a sense that has never happened in an independent Namibia where a tenant is able to rent and own the place at the same time. This is not only a Windhoek initiative; it will also be rolled out to other towns as well.”
Over 350 houses will be handed over to new homeowners later this year as the first batch of the 4500 units envisaged to be built in the next five years, while in 20 years the project aims to have a total of 28 000 housing units.
Ongos Valley is a mixed-use township that is located 14 kilometres away from the city centre, and will have shopping malls, 22 schools as well as government and key institutions, including a fully-fledged private hospital.
“We have got the approval where we shall upgrade the Monte Christo Road all the way from NamPower power station through Havana into a dual carriageway. Arrangements are being made to compensate households to be affected,” Graig said.
