For many working Ugandans, owning a decent home remains a distant dream. Soaring construction costs, high interest rates, and a complex mortgage process have left most lower-middle-class earners locked out of the property ladder. Despite over 60% of Uganda’s urban population residing in informal settlements, the journey to homeownership remains a steep and challenging one.
Now, Stanbic Bank Uganda, the country’s largest commercial lender, is working to change that.
In a bold step aligned with its ambition to become Uganda’s top private bank by 2028, Stanbic has launched a preapproved mortgage financing solution—offering existing clients up to Shs 500 million without requiring a traditional loan application.
“Homeownership should not be a privilege for a few. It should be an achievable milestone for every Ugandan with a stable income,” said Damalie Kairumba, Head of Mortgage Finance at Stanbic Bank. “If you already bank with us and receive your salary or income through our systems, we can now tell you how much home financing you qualify for—instantly.”
A First in Uganda’s Banking Sector
This innovation—the first of its kind in Uganda—targets both salaried and self-employed individuals. It uses a client’s banking history, income patterns, and KYC (Know Your Customer) data to automate prequalification for a mortgage. The result is a simplified, transparent, and faster path to homeownership, eliminating the delays and guesswork of traditional mortgage applications.
Eligible customers can use the funds for various purposes: buying land or a completed home, starting or completing home construction, refinancing or consolidating existing loans, releasing equity from property, or acquiring land titles for kibanja plots.
“Traditionally, homeownership felt intimidating,” said Israel Arinaitwe, Head of Personal Banking at Stanbic. “But by flipping the script—prequalifying our customers and placing the power in their hands—we’ve made the process accessible, efficient, and dignified.”
The Numbers Behind the Need
According to the Uganda Bureau of Statistics (UBOS), the country faces a housing deficit of over 2.4 million units, expected to hit 3 million by 2030 if trends continue. Across East Africa, urban populations are growing by 4.5% annually, pushing up demand for affordable, quality housing.
Long-term mortgage financing remains scarce, as most banks struggle with limited capital markets and low national savings. Stanbic’s solution aims to address these structural challenges head-on.
With interest rates as low as 16.5% (UGX) and 9% (USD), mortgage amounts up to Shs 3.7 billion (USD 1 million), and repayment terms of up to 25 years, the offering is one of the most flexible and affordable on the market.
Partnering for Impact
To accelerate homeownership, Stanbic is partnering with leading real estate developers.
“We’ve worked with Stanbic to streamline the experience—from property identification to financing. This is how dreams come true,” said Muffaddal Yeolawala of Universal Multipurpose Enterprises Limited.
Sylvia Alal, Sales and Marketing Manager at Pearl Marina Estates Ltd, added: “This kind of financial innovation is exactly what Uganda’s housing sector needs. Buyers now feel more confident and empowered to invest in long-term homes.”
Seamless Process, Fast Turnaround
Once a prequalified customer identifies a property, a valuation is conducted by a Stanbic-approved valuer. A written offer follows, and upon acceptance, the mortgage is registered and funds are disbursed. Depending on customer readiness, the process can be completed in as little as 10 working days.
Stanbic will soon roll out this service on its digital platforms, allowing customers to access the entire process from their homes or offices.
“This is more than a mortgage. It’s part of our broader purpose to drive inclusive and sustainable growth in Uganda,” Arinaitwe emphasized. “It’s about restoring dignity, building generational wealth, and shaping a more equitable future.”
