The year 2018 has been rife with calls from the Mortgage Bankers’ Association of Nigeria to the National Pension Commission (PenCom) and the Central Bank of Nigeria on the need to invest part of the N7.5 trillion pension funds in mortgaging. This scores well for mortgage trends.
Such an investment, according to the Mortgage Bankers’ Association of Nigeria is expected to allow home seekers entry into a mortgage with a single digit interest rate.
The MBAN has made it clear that the there is access to such funds in other countries. This makes it easy and explains why people there have mortgage loans with single digits.
According to MBAN, the goal is to encourage home ownership and reduce housing deficit across the country. You should also know that this move is different from the stipulated 25 percent pension Retirement Savings Accounts (RSA) for mortgage loans.
Mortgage banks in Nigeria will market the benefits of mortgage loans to eligible borrowers. They will also learn from the microfinance banks that have a wealth of experience working with the informal sector of the economy. This is healthy and interesting for mortgage trends in the country.
The end goal here is to provide mortgage loans to Nigerians as highlighted by the President of Mortgage Banks Association of Nigeria (MBAN), Mr Niyi Akinlusi at a workshop for mortgage banks.
The CBN launched the NHFP in 2017 with the aim of increasing access to housing finance and home ownership for Nigerians.
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