NHF Mortgage Loan
This facility is granted at 4% interest to accredited Primary Mortgage Banks (PMBs) for on-lending at 6% to NHF contributors over a maximum tenor of 30 years, which is secured by the mortgaged property.
A contributor can access up to ₦15million from the Fund through an accredited and licensed PMB as a mortgage loan to build, buy, improve or renovate their own home after 6 (six) months of continuous contributions.
CONDITIONS FOR NHF LOAN
Any Nigerian above the age of 18 Applicant must be a contributor to the National Housing Fund for a minimum period of six months. Applicant must have satisfactory evidence of the regular flow of income to guarantee loan repayment.
WHO CAN APPLY
The loan shall be for the purpose of the building, purchasing, or renovating a residential accommodation No loan shall be for refinancing PURPOSE
The applicant is to apply through a duly licensed and accredited mortgage loan originator (MLO) of his/her choice and not directly to Federal Mortgage Bank of Nigeria (FMBN). The MLO of the applicant’s choice must be accredited by FMBN to access the NHF facility. Application forms for NHF loans are obtainable from the MLO
HOW TO APPLY
The property for which the loan is sought shall serve as security for the loan. The property shall conform with the existing planning laws and regulations (approved building plan). The property shall possess sufficient value to recover the loan. A mortgaged property shall be insured against hazards.
The loan shall be secured by the first legal mortgage of the property between the applicant and the mortgage loan originator and assigned to FMBN.
A borrower is entitled to a maximum loan of fifteen million naira (N15, 000,000.00) or as determined by the Bank. No individual should be given a loan in excess of 90% of the cost or value of the property to be mortgaged. Equity contribution based on the new loan amounts is as follows:
N15, 000, 000.00 - 30%
N10, 000,000.00 - 20%
N5, 000,000.00 - 10%
HOW MUCH TO APPLY FOR
The interest rate shall be as prescribed by the National Housing Fund Act which is not more than 6% p.a. INTEREST RATE
The maximum repayment period shall be 30 years. The individual borrower shall make repayment through the mortgage loan originator through which they obtained the loan. TERMS AND CONDITIONS FOR OBTAINING NATIONAL HOUSING FUND LOANS (NHF)