Whether it’s a bungalow, a maisonette or an apartment, everyone needs a place they can call their own. However, Britam reports that Kenya’s property market can only provide 30,000 houses a year despite a demand for more than 200,000 units annually. What’s more, the number of people taking housing loans currently stands at a depressing 20,000, based on research from one of the county’s biggest real estate firms, Hass Consult.

With this in mind, those that couldn't afford to take up a mortgage before now have the chance to apply for full funding courtesy of Britam’s Collateral Replacement Indemnity (CRI) package. But before you go jumping the gun, there are a number of things you should consider.

1. Get the Money

The first thing potential home owners need is money. You need to know just how much capital is needed to bank-roll your project. On rare occasions, some people can purchase a housing unit in one lump sum. Kenyans prefer paying rent but those with a little bit of foresight will opt for a mortgage. With a steady income and a good credit rating, anyone can get a housing loan from any of the countries mortgage providers.

2. Choose the Type of Housing

Before you rush into buying a stone structure or a studio apartment, know that there are less expensive alternatives in the market. Assuming that you’ve already established a particular location, the next step would be to choose a specific housing model.

You can always choose from a variety of pre-fabricated units that could take only a few weeks to assemble. Another option would be to take a 40 foot crate and fit it with doors, makeshift walls and windows. An empty container costs about KES 170,000 but you can always negotiate for less. Some of the world’s most beautiful housing units were built from shipping crates so think outside the box.

You can also purchase earth-rammed houses or choose to build a chic bamboo structure. Ujenzi Bora, a local real estate developing firm, is currently designing such units that will cost between KES 1 million and KES 3 million once they hit the market.

3. Hire a Professional

Different mortgage lenders have different rates. It therefore pays to have a real estate agent by your side to give you some concrete advice. I & M Bank may be the country’s cheapest mortgage lender with a current rate of 19%, but secondary housing loans go for as little as 14%. A real estate agent will be able to give you advice based on such market trends. On top of this, professional brokers have access to the latest deals within the housing sector.

4. Weigh the Pros and Cons

Even after consulting with a real estate agent, the final decision is yours. Lump sum payments should not be made until the buyer is satisfied with what he has. On the other hand, mortgages are long term investment that could last up to 25 years.

No one wants to be stuck paying for a house after deciding that they don’t actually want to live in it. For such situations, the home-owner can lease it to a third party as long as they pay their mandatory land rate taxes.

If you choose to settle for a house in a remote location, be prepared for limited returns on property value. Areas set for development, however, will most likely yield higher returns. A house along Thika Road's super highway will be worth more in the future than if it were located in West Pokot (if current development projects remain constant).

A housing unit in Donholm, for instance, will triple in value within a span of 10 years, according to data from Hass consult.

5. Fill in the Paper-Work

Before you can actually say a house is yours, you need to fill in a set of documents. City Hall demands at least 6 basic requirements before either buying or building a house. If it’s a lump sum purchase, the seller already has most of the documents ready. If it’s a construction project, you need registration certificates from the architect and the structural engineer. You also need application forms from City Hall, the house blueprints and the latest land rates receipts. A real estate agent can procure most of these items with ease.

Given the recent boom in luxury and low-cost housing, potential home owners should note that market trends are seasonal. This means that a house from this day and age may not cost the same 5 or 10 years down the line.