Affordable housing

The delay of construction and supply of houses have been ongoing and is stressing the process when it comes to homebuyers purchasing houses, especially first-time homebuyers.

The company stressed that as a supplying company, several setbacks also include a Long process of housing loans, ongoing deductions by banks and delays on acquiring building permits by NCD.

This follows discussions with the International Finance Corporation (IFC) to provide a commercial project, constructing affordable and market rate housing in NCD. 

The project aims to provide around 1500-2000 dwellings, with 75 percent of them provided on an affordable basis to Papua New Guineans.

“I am very happy to be able to have made some substantial progress towards realising this initiative today,” said the Treasurer after conducting land inspections.

Nasfund has partnered with City Pharmacy Limited Group, through its Hardware Haus brand, to provide affordable housing options for its members.

The agreement was signed in Port Moresby.

Through the Fund’s Membership Discount Program (MDP), active Nasfund contributors are now able to benefit from discounts on selected two to three bedroom kit-homes, from Hardware Haus outlets.

According to Nasfund Chief Officer Ian Tarutia, this partnership is another way the Fund is adding value to its membership.

This is according to a recently published Issues Paper by the National Research Institute (NRI).

The report reveals that housing prices are generally high and many people may find it difficult to meet the requirements to access the First Home Owners Scheme (FHOS), especially the initial 10 percent housing loan amount as well as the 4 percent interest rate on the loan.

Furthermore, there are few economic incentives to attract private developers to provide affordable housing and a shortage of secure land for development, which increases housing costs.