Namibia’s housing market headache

Namibia’s housing crisis is one of epic proportions, and it is compounded by an avalanche of challenges ranging from slow land delivery, high land prices and overregulation of statutory processes.Official statistics indicate that over 400 000 Namibians are currently living in more than 140 000 shacks across Namibia’s 113 informal settlements.From exorbitant material costs, a discriminatory bank funding regime, high household indebtedness and inflated housing prices, the country’s 300 000 housing backlog continues to be a thorn in the flesh of citizens who want to own a home.These topics were part of an array of topics discussed at the Economic Association of Namibia’s one-day housing symposium that took place in the capital yesterday.There were also repeated calls for government to subsidise local authorities when it comes to making land available at affordable rates as well as discussions on alternative housing technologies.Meanwhile, deputy finance minister Maureen Hinda-Mbuende challenged the private sector to do more when it comes to assisting government to address the housing crisis.She accused banks of adopting discriminatory home loan policies which are detrimental to the average Namibian.“Interest rates on loans are exclusive for certain people only, a situation which pushes up the cost of houses. Banks are drying out their clients,” she charged.Hinda-Mbuende also accused the private sector of failing to implement government policies.The symposium, which ended yesterday, will compile a report containing recommendations on how to tackle the housing crisis, which will be submitted to government for implementation.Losing millionsAccording to the Namibian Housing Institute of Town and Regional Planning, Namibia delivered around 90 000 housing units since independence, at an average of 30 000 per decade.The institute’s head Franciso Neshila, who spoke on the topic of municipal regulations, elaborated on the challenges facing developers.Neshila said the “not-so-good” relationship between central government and the City of Windhoek needs to be worked on as it “contributes to the current crisis”.He also claimed that the Windhoek municipality wants special treatment from government compared to other local authorities.“Developers are losing millions waiting for their plans to be approved due to bureaucratic regulations. We need to work on this,” he said.According to Neshila, the lack of incentives from local authorities for property developers also contributes to the low output when it comes to building houses.Failing to deliverUrban and rural development minister Erastus Uutoni, who was the key speaker at the symposium, admitted that the pace at which land is being made available “is too slow”.“We are busy revising our urban land reform policies because things are not going accordingly,” he said.Uutoni also agreed with calls to subsidise local authorities in order to bring down the cost of land.“I implore the private sector to explore and engage in constructive dialogue so that we can pragmatically and expeditiously find solutions to the many challenges we have in the housing sector,” he said.He added that “government is doing everything possible to resolve the disputes that are holding up the completion of the Mass Housing Projects in Windhoek, Swakopmund and Opuwo”.

Namibia’s housing market headache

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Namibian Sun 2025-09-16

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Namibia’s housing market headache

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Namibian Sun 2025-09-16

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