Kenya's housing crisis deepens as shortage scales

President William Ruto lays a foundation stone for Malaha Modern Market in Mumias East. [Benjamin Sakwa, Standard]

Kenya faces a housing deficit running into millions of units, with demand far outstripping supply, particularly in urban centres such as Nairobi.

A large proportion of city residents lives in informal settlements, often without access to basic services such as clean water.

Kenya’s worsening housing crisis has come into sharper focus following the launch of a new global campaign to improve access to affordable homes, even as millions of Kenyans continue to live in inadequate housing.

The campaign, rolled out across more than 60 countries, comes at a time when Kenya is grappling with a significant housing deficit driven by rapid urbanisation, limited access to mortgage financing, and the high cost of construction.

“Housing has been the core of Habitat’s work for 50 years. As a leader in global housing, Habitat for Humanity understands the keys that will unlock our vision of a world where everyone has a decent place to live,” said Jonathan Reckford, chief executive of Habitat for Humanity International.

President William Ruto has repeatedly acknowledged the severity of the crisis, framing housing as a central pillar of his administration’s economic agenda.

“Housing is not just a social issue; it is an economic issue,” Ruto said in a past address on the government’s affordable housing programme, adding that expanding access to decent homes would create jobs and stimulate growth.

In another statement, he noted that Kenya must “bridge the housing deficit to restore dignity and improve the quality of life for millions of citizens”.

Despite these commitments, structural barriers persist. Mortgage penetration in Kenya remains low, locking out the majority of low- and middle-income earners from home ownership.

“Now is the time to get involved. We need finance and community action moving together to open the door to brighter futures and help close the housing gap,” said Mathabo Makuta, Africa Senior Director for Programmes at Habitat for Humanity.

At the same time, regulatory bottlenecks and the high cost of land and building materials continue to slow the delivery of affordable housing units.

The newly launched campaign seeks to draw attention to systemic challenges, positioning housing as a key driver of health, education, and economic resilience. Organisers say the initiative will combine on-the-ground activities and community engagement to push for reforms and increased investment in housing.

In Kenya, stakeholders argue that addressing the crisis will require coordinated action across government, private sector players, and communities.