The Federal Mortgage Bank of Nigeria has disclosed that at least 17,886 of National Housing Funds contributors accessed the bank’s various loan windows in 2022.
It said funds were distributed to help workers who could afford to build homes of their own or renovate their existing houses.
The PUNCH reports that the NHF is a Federal Government scheme aimed at helping working Nigerians access and own affordable residential houses.
However, over the years, the FMBN has been accused by contributors of failing to live up to its core mandate of delivering affordable and modern houses.
But in an exclusive mail sent to the Group Head of Corporate Communications, Timan Elayo, stated that although the bank was considering alternative funding sources due to paucity of funds, many workers had benefitted from the bank’s innovative programmes.
It read, “948 subscribers got access to the NHF mortgage loan which allows the contributor to purchase a house through a licensed mortgage loan originator at the maximum loan amount of N15 million, at an interest rate of six per cent and the repayment period of up to 30 years.
“1,034 contributors under the rent-to-own arrangement got an FMBN-funded house as a tenant until rental he/she pays qualifies for ownership of the house with a maximum purchase price of N15 million and interest rate is seven per cent of the price of the property on an annuity basis for 30 years.
“Also, 15,836 contributors got home renovation loans, a product that affords Nigerians an opportunity to access mortgage loans for the renovation or improvement of existing homes. While only 68 subscribers got access to the NHF individual construction loan,” it concluded.
Meanwhile, the bank has said it was considering alternative means to boost and diversify its funding mix through its five-year strategic blueprint.
“The strategic imperative is to aggressively grow the NHF contribution, drive the recapitalisation agenda for the bank, raise affordable and long-term capital to fund growth initiatives; and develop innovative commercial products to grow the bank’s funding base.”
