The Bank of Tanzania published its mortgage market update showing residential mortgage debt outstanding rose 3.6% quarter on quarter to TZS 683.03bn (USD 255.79m) as of 31 March 2025, bringing annual growth to 11.14%. The outstanding mortgage debt to GDP ratio increased to 0.42% from 0.40%, and 31 banks and financial institutions reported holding mortgage portfolios. Average mortgage debt size increased to TZS 118.66m (USD 44,438.12), and typical mortgage interest rates ranged between 15% and 19%. The market remained concentrated, with the top five primary mortgage lenders accounting for 62% of outstanding mortgage debt led by CRDB Bank Plc (31.99%), followed by NMB Bank (10.95%), Azania Bank (8.34%), Stanbic Bank Tanzania (5.46%), and First Housing Finance Company (5.30%). The update also highlights constraints including high interest rates, inadequate supply of affordable housing, and delays in title issuance, alongside competition from consumer loans (up to seven years and over TZS 150m) that can substitute for mortgage finance. Tanzania Mortgage Refinance Company Ltd (TMRC) had extended TZS 162.70bn (USD 60.93m) in refinancing and pre-financing to 17 primary mortgage lenders, equivalent to 24% of total outstanding mortgage debt, and reported ongoing awareness programmes and an initiative with Habitat for Humanity International aimed at expanding housing solutions for the microfinance segment.

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