Updated 29 October 2026
To get a mortgage in Kenya you need a steady, provable income, a clean credit record, a deposit (Tower Sacco, for example, asks buyers to raise 20% of the property’s value), a valuation of the property and clean ownership documents. Average bank mortgage rates in October 2026 range from 9.6% at NCBA to over 20% at some smaller banks, and on a KSh 5 million, 20-year loan that is the difference between about KSh 47,000 and over KSh 86,000 a month.
This guide walks through mortgage requirements in Kenya, compares what banks charge using their own reported rates, explains where Saccos and the Kenya Mortgage Refinance Company (KMRC) fit, and lists every cost on top of the loan. Rates were checked on October 28, 2026 on the Kenya Bankers Association Total Cost of Credit site (costofcredit.co.ke).
This guide is information, not financial advice. Rates change often, so confirm the full cost with the lender before you sign.
In this guide
Mortgage Requirements in Kenya
Each lender sets its own list, but these are the documents and conditions you will meet almost everywhere:
| Requirement | What lenders usually want |
|---|---|
| Identity | National ID or passport and KRA PIN certificate |
| Income proof | Recent payslips and bank statements (employed), or audited accounts and 6 to 12 months of statements (self-employed) |
| Credit record | A clear CRB report with no current defaults |
| Deposit | Your own contribution towards the price. Tower Sacco’s published rule is 20% of the property value |
| Property papers | Sale agreement or offer letter, copy of title, a fresh valuation report by an approved valuer |
| Security | A legal charge over the property in the lender’s favour for the life of the loan |
| Insurance | Fire and perils cover on the building and usually mortgage protection (life) cover |
Before you apply, check your CRB status so there are no surprises, and do a land search on ArdhiSasa on the plot or flat you plan to buy.
Bank Mortgage Rates in Kenya (October 2026)
Banks report their average mortgage rate to the Kenya Bankers Association’s Total Cost of Credit service. The repayment column is our own calculation for a KSh 5 million loan over 20 years on a reducing balance, interest and principal only.
| Bank | Average mortgage rate p.a. | Monthly repayment on KSh 5m over 20 years | Rate updated |
|---|---|---|---|
| NCBA Bank | 9.6% | KSh 46,934 | 5 Oct 2026 |
| Absa Bank Kenya | 13.32% | KSh 59,722 | 6 Oct 2026 |
| GTBank | 13.5% | KSh 60,369 | 7 Apr 2026 |
| KCB Bank | 13.7% | KSh 61,090 | 11 Jun 2026 |
| Bank of Baroda | 13.8% | KSh 61,451 | 4 Oct 2026 |
| Prime Bank | 14% | KSh 62,176 | 31 Mar 2026 |
| National Bank of Kenya | 14.26% | KSh 63,122 | 5 Oct 2026 |
| Standard Chartered | 15.27% | KSh 66,839 | 2 Oct 2026 |
| Stanbic Bank | 15.44% | KSh 67,473 | 6 Oct 2026 |
| Diamond Trust Bank | 15.56% | KSh 67,918 | 2 Oct 2026 |
| I&M Bank | 16.68% | KSh 72,126 | 6 Oct 2026 |
| Equity Bank | 17.41% | KSh 74,903 | 4 Sep 2026 |
| Family Bank | 18.89% | KSh 80,607 | 31 Mar 2026 |
| HFC (HFCB) | 18.95% | KSh 80,840 | 1 Oct 2026 |
| Kingdom Bank | 20.37% | KSh 86,396 | 23 Sep 2026 |
Source: KBA Total Cost of Credit average mortgage rates, checked on October 28, 2026. Other banks report mortgage rates too; these are the larger and lowest-priced lenders. A bank’s average blends all its mortgage products, so your own quote may be higher or lower, and some low rates apply only to specific schemes such as affordable housing loans. Run your own numbers in our mortgage calculator.
Sacco Mortgages: An Alternative to Banks
Many Saccos lend for buying or building a home against your deposits and the property itself. Two examples from the Saccos’ own sites:
- Stima Sacco Makaazi Poa loan: up to KSh 15 million, repayable over up to 144 months (12 years).
- Tower Sacco mortgage: no fixed maximum (based on ability to pay), up to 120 months, up to 5 times your share deposits, secured by title deed, and you raise 20% of the property’s value.
Sacco loans are often priced on a lower rate, but terms are shorter, so monthly repayments can be higher. Compare both in our bank vs Sacco loans comparison and the Sacco loan calculators.
Where KMRC Fits In
The Kenya Mortgage Refinance Company is a non-deposit-taking institution supervised by the Central Bank of Kenya, incorporated on 19 April 2018. It does not lend to individuals. Instead it gives banks and Saccos long-term funds so they can offer longer, fixed-rate home loans, and it supports the government’s Affordable Housing Programme. In practice you apply at a partner bank or Sacco and ask whether a KMRC-backed home loan is available for your property and income. For the state housing scheme, see Boma Yangu vs Affordable Housing Programme.
Costs on Top of the Mortgage
- Deposit, set by each lender. Ask for the figure in writing with your quote.
- Valuation fee, paid to the lender’s approved valuer.
- Legal fees for the sale agreement and the charge.
- Stamp duty on the transfer, plus registration fees. Our land transfer cost calculator works these out.
- Arrangement fee charged by the lender, shown on its Total Cost of Credit statement.
- Insurance on the building and mortgage protection cover, paid every year.
Tax Relief on Mortgage Interest
KRA allows mortgage interest of up to KSh 360,000 a year (KSh 30,000 a month) to be deducted from your taxable employment income, where the money was borrowed from one of the qualifying financial institutions in the Income Tax Act to buy or improve a home you live in. Give your lender’s interest certificate to your employer or claim it in your annual return.
How to Get a Mortgage in Kenya: Step by Step
- Work out what you can afford. Lenders cap repayments at a share of your pay; Mwalimu National Sacco, for example, applies a one-third salary rule.
- Save the deposit and closing costs.
- Get a free CRB report and clear any listing.
- Ask three lenders for a mortgage quote and Total Cost of Credit statement.
- Get a conditional approval, then agree the sale and do the land search.
- Lender instructs a valuer and its lawyers, the charge is registered and the money is paid to the seller.
- Once the loan is cleared, the charge is discharged and you hold a clean title. See how to get a title deed.
Frequently Asked Questions
How much deposit do I need for a mortgage in Kenya?
It depends on the lender. Tower Sacco’s published rule is 20% of the property value. Banks set their own deposit levels, so ask each one for its figure with your quote.
Which bank has the lowest mortgage rate in Kenya?
On the KBA Total Cost of Credit site, NCBA reported the lowest average mortgage rate, 9.6% (updated 5 October 2026), followed by Absa at 13.32% and GTBank at 13.5%.
What is the monthly repayment on a KSh 5 million mortgage?
Over 20 years at 13% it is about KSh 58,579 a month, and at 15% about KSh 65,839, before insurance and fees.
Can I get a mortgage if I am self-employed?
Yes, but expect to show audited accounts or at least 6 to 12 months of bank statements, and possibly a larger deposit.
Can I claim tax relief on my mortgage?
Yes. KRA allows up to KSh 360,000 a year of mortgage interest as a deduction for a home you live in, if the loan is from a qualifying institution.
Looking for a better-paid role to support a home loan? Browse openings on JobinKenya.
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