A quantitative case study investigated the challenges encountered by low income
earners in Otjomuise in raising finance for acquiring a dwelling. The simple random
stratified sampling technique was used to sample the households, housing finance
schemes and the commercial banks approached for the study. Using a questionnaire,
the study investigated, firstly, the challenges encountered by low income earners in
Otjomuise in raising finance for a dwelling through a housing finance schemes; and
secondly, to understand to what extent do housing finance schemes allow low income
earners in Otjomuise to provide dwellings for themselves. The study found that in spite
of the challenges that the low income earners encounter in raising finance for a
dwelling, they considered the housing finance schemes of being of assistance to them.
The study concludes that the major challenges that low income earners in urban areas
encounter in acquiring a house range from high interest rates on mortgage bonds to
income and collateral requirements of financial institutions.