By Abraham Eita
Let’s talk about the housing and rent market, the question is no longer about whether one prefers to rent or buy.
It has become a deeper economic question: who is the housing market really designed to serve? In Windhoek, urban land is scarce, serviced plots are limited, and property prices continue to rise faster than incomes, home ownership is drifting further away from ordinary resident.
A house in upper-income suburbs such as Auasblick and Klein Windhoek can cost around N$4 million.
To qualify for a mortgage of that size, an individual would need a level of monthly income that is far beyond the reach of most Namibians.
The affordability gap is severe when compared to the recent income data. The 2025 Namibia Financial Inclusion Survey reported that 54.1% of adults earn N$2,000 or less per month, while only 8.1% earn more than N$11,000 per month.
The implications are clear, home ownership is increasingly becoming a market for the rich and those with substantial wealth.
Windhoek’s housing problem is not only a demand issue, but also a supply-side constraint. The shortage of serviced land, the slow pace of land delivery, high construction costs and limited affordable housing development have combined to push prices upward.
Recent housing market reports placed Namibia’s average house price at about N$1.46 million during the first quarter of 2026. In the central region, Windhoek has the most expensive housing market at around N$1.82 million to N$1.83 million.
These figures confirm what most residence already feel, income growth is not keeping pace with the cost of shelter.
The affordability challenges have become even more serious when viewed against the broader economy.
Namibia’s economy may be expected to recover gradually, but household purchasing power remains under pressure. If population growth continues to outpace the delivery of affordable housing, the backlog will deepen, and more households will be pushed into rental dependency or informal settlements.
At independence, it was estimated that Namibia inherited a modern housing stock of about 50,000 units. By March 2025, estimates placed the stock at roughly 273,000 units. The government made a commitment to deliver 50,000 houses over five years, equivalent to about 10,000 houses per year.
However, when measured against urbanisation, population growth and the existing housing backlog, the scale of intervention still falls short of the demand for houses.
The rental market
For most ordinary residents unable to buy, renting is supposed to provide flexibility and temporary relief, yet in Windhoek, the rental market has become very expensive.
One-bedroom flats are being advertised at N$12,000 to N$15,000 per month, excluding utilities. Nowadays, the monthly rent for a small flat is comparable to what one might pay on a mortgage for a larger unit elsewhere.
The rise of Airbnb accommodations has also changed incentives in the market, these daily rentals are more profitable than long-term leases, some property owners now prefer short-stay tenants over residents seeking stable housing. This has reduced the supply of long-term rental units and place further pressure on tenants.
Voices from Windhoek tenants, students and landlords
Behind the statistics are real households making difficult choices every month.
Mr. Makando, a tenant in Otjomuise, said: “Windhoek is becoming expensive. I live in a two-bedroom flat, and I am the only breadwinner. My rent is close to N$8,000, excluding utilities. Electricity and water costs are also high. It is really tough man.”
Ms. Nelago, Kleine Kuppe, said she was asked to vacate a backyard flat after three years. “I went to view a one-bedroom flat that was being leased for N$12,000, excluding utilities. That price for a one-bedroom is daylight robbery, but as tenants we are often left with no choice,” she said.
Mr. Amupadhi, a homeowner and landlord, argued that rising municipal bills are also affecting property owners. “A house is an investment, but with the increase in municipal costs, homeowners are left with no choice but to adjust rent in line with the market. The burden cannot be carried by the landlord alone,” he said.
Ms. Silas, a student living in Academia, described a different form of pressure: overcrowding. “We are two students sharing a single room, and each of us pays N$ 3000. We share everything and there is no privacy,” she said.
Ms. Endjala, said she was told to vacate because the landlord wanted to renovate, only to see the same flat advertised shortly afterwards at double the price. “I still had a year left on my lease. Without stronger tenant protection, many of us remain vulnerable because lease agreements often favour landlords,” she said.
The experiences above point to a market under stress. Tenants are spending more of their income on rent, students are accepting overcrowded living arrangements, and landlords are passing rising municipal and mortgage costs to tenants. Meanwhile, those who want to buy, face house prices that require incomes far above the national average.
Windhoek’s housing market reflects a structural imbalance, demand for urban housing is strong, but the supply of serviced land and affordable units is too slow to respond.
When supply is inelastic, prices rise. When incomes are low and credit access is limited, the market becomes exclusionary. The result is not merely a property market issue; it has now become a social and developmental challenge.
Solving Windhoek’s housing crisis requires faster land servicing, transparent land allocation, affordable housing finance, incentives for mixed-income developments, and stronger tenant protection.
A balanced approach protecting tenants from abnormal rent increases and unfair evictions while recognising that landlords also face rising municipal and maintenance costs. Ultimately, shelter is not only an asset class; it is a foundation for dignity, and inclusive economic development.
If Windhoek is to remain a city for all, housing policies must shift from serving the few who can afford the market to enabling many more households to participate. The closing question is therefore unavoidable: will a Rent Control Board ever materialise in this country?
*Abraham Eitais an Economist.You may engage him further by email: abrahamheita100@gmail.com
