By Yemi Adedeji, Abuja
The Federal Mortgage Bank of Nigeria (FMBN) has introduced simple building models and innovations that would lower the cost of houses and make them affordable to off takers especially civil servants.
Ahmed Musa Dangiwa, Managing Director FMBN made this disclosure during the 2017 World Habitat Day held in Abuja.
According to him, “FMBN is constantly devising strategies to reduce the cost of houses funded by the Bank through introduction of simple building models that are demand driven, cheap and expandable.”
He added that, “other strategies adopted by the Bank according include the introduction of the new rent-to –own mortgage housing arrangement that allows NHF contributors to own houses through payment of monthly rent which excludes payment of personal equity as against what obtained under the conventional NHF loan.”
Dangiwa further stated that the low interest rate of 6% and tenor up to 30 years of FMBN loans make it the cheapest and lowest in the country.
He noted that the Bank has also given waiver on personal equity for funded estates priced N5.0 Million and below.
Dangiwa revealed that the Bank is presently seeking for ministerial approval for downward review of personal equity of houses above N5.0 Million and N10.0 Million from the current 20% and 30% to 10% and 20% respectively.
The managing director again advocated for the patronage of local building materials by professionals in the built environment as a means of lowering the cost of houses.
Dangiwa also called on State Governments to provide infrastructure to FMBN project sites in their States in order to reduce the cost of houses for their people, while urging them to also reduce the delays associated with issuance of Certificate of Occupancy (C of O).
