KABANDA CHULU, Lusaka
ZAMBIA National Building Society (ZNBS) says the housing units being constructed by the institution in partnership with some district councils will not become ‘white elephants’ as prospective owners (buyers) will sign off-take agreements for mortgage financing.
Recently, ZNBS proposed to the Ministry of Local Government and Housing on prospects of financing housing construction in newly-created districts in the quest to address the country’s housing deficit, which stands at about two million.
In an interview recently, ZNBS public relations officer Mubanga Chanda said the society has structured a financing model that will reduce the cost of housing construction in the country.
“Councils are providing land and ZNBS is providing finance but we have also partnered with utility companies [water and sewerage, electricity] to service the areas before construction starts. Thereafter, we will engage developers, who will come up with various designs for people to choose from,” he said.
People intending to buy houses will be required to register with ZNBS to access the mortgage facility.
“It is this mortgage that will finance construction of the houses so ZNBS will not be looking for buyers but prospective owners will make contributions through the mortgage to enable the developer build the houses,” he said.
Mr Chanda said ZNBS intends to build resilient cities in the areas to be acquired from the councils.
So far, Nyimba District Council has allocated 27.5 hectares to ZNBS, where 300 houses will be built over a three-year period.
Chikankata District Council has also allocated 70 hectares while Chilanga has offered 20 hectares with Kabwe and Luanshya councils showing an interest to engage ZNBS on the construction of housing units.