New designs for low-cost housing

New designs for low-cost housing - SouthAfrica.info

New designs for low-cost housing Nozipho Dlamini

South Africa's affordable housing market is looking to alternative building materials in a competition designed to foster innovation in the industry.
Seventeen houses have been built in Soshanguve Block XX, near Pretoria, using traditional and modern building technologies other than brick and mortar.
The 17 designs - using materials such as insulated precast concrete, brick and steel, and water-based resin - are all entrants in the National Housing Innovation Competition.
The competition is being run by the Housing Technology Innovation Hub, a joint venture sponsored by the National Homebuilders Registration Council (NHBRC) and Absa Bank.
Housing Minister Lindiwe Sisulu has tasked the NHBRC with building 1 800 houses using new designs, as part of the government's Breaking New Ground social housing programme.
Visiting the Soshanguve site accompanied by provincial housing ministers on Friday, Sisulu said they were "overwhelmed by the beauty, creativity and good quality" of the houses. Sisulu said the provincial ministers had a "great" chance to view the houses and decide which style they could introduce in their provinces.
"What we have seen here today is a typical example of integrated income dwellings that government is always talking about," she said.
NHBRC chief executive officer said the competition was a response to the minister's call to identify new housing products.
"These products have already been judged on all technical aspects, it is now the responsibility of the community to give their opinion of the products," he said.
Sisulu is expected to announce the winner soon.

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Banks eye developing low-cost housing

Banks eye developing low-cost housing

SOUTH African banks are taking the initiative to drive business in the low- cost housing arena by buying land themselves and getting it zoned, but they are being held back by delays of three years in getting plans approved.
While there is a profit motive behind the move – some banks are seeing business of R5- to R6-billion in this area – and they charge interest on loans of about R400000, a quicker move into this direction has an enormous social economic imperative.
First National Bank chief executive Michael Jordaan said 240000 families could qualify for low-cost housing right now, but the problem was a lack of supply – for every one house on sale there are seven potential buyers waiting to buy.
Because of the delays in getting everything approved – from zoning to roads to setting up electricity with Eskom – developers are unable to fund the projects, which is why banks have stepped in to buy, zone and set up bulk services.
Jordaan said unblocking supply was a key to solving many of the country’s ills, as once people owned homes it developed the middle class – the lifeblood of an emerging economy. It then flowed through to ensure better education for children who have roofs over their heads and sustainability of jobs as people want to keep their houses.
“We have to unblock supply,” Jordaan said.
FNB has 22% of new business in this area, behind Standard Bank, but wants to grow if it could it as it is a sustainable business. An interesting fact is arrears at this area of the market are lower than those in higher- earning areas.
The low-cost housing arena is also an area where Absa is looking to play a more active role as well.
Absa entry-level banking managing executive Lawrence Twigg has noted that 20% of personal loans are related to improvements on houses bought through the low-cost housing unit. – BusinessLive

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