Nigerian Government Proposes Reforms to Boost Homeownership

The federal and state governments are considering significant mortgage and land administration reforms to enhance homeownership access for millions of Nigerians excluded from the housing market due to high interest rates, short repayment periods, and slow land processes. Proposed reforms include reducing mortgage interest rates from double digits to single digits, extending repayment periods from 25 to 35 years, and introducing flexible financing for self-employed individuals.

These discussions took place during the 15th meeting of the National Council on Land, Housing and Urban Development (NCLHUD) in Sokoto. Nasiru Aliyu Dantsoho, Sokoto State commissioner for Lands, Housing, Survey and Country Planning, emphasized that cheaper mortgages would alleviate repayment burdens for low- and middle-income earners.

He also highlighted the need for the Federal Mortgage Bank of Nigeria and financial institutions to provide adequate funding for affordable housing. The meeting aimed to develop recommendations to improve housing finance and accelerate urban development nationwide.