The new housing policy by the Federal Government to encourage the growth of a profitable mortgage system and planned construction of 1 million houses per annum has been described as a possible projection if all stakeholders come on board.
This was confirmed by the Chairman, Ministerial Sub-Committee on Low-Income Housing, Architect Nya-Etok Ezekiel on Sunrise, where he enjoined the private sector, state and local government to all come on board and make the project a collective success.
The Architect who was a participant at the last retreat on housing organised by President Goodluck Jonathan, revealed that a mortgage company with an initial capital base of N5billion will soon be launched to provide mortgages at affordable interest rates.
According to him, “there are currently just about 20,000 mortgages in the country right now and the company will create about 200,000 mortgages at affordable interest rate in the next two years.”
The company – Mortgage Re-Financing Company (MRC)-he noted is expected to be launched by mid-2013.
The building experts also revealed plans by the federal government to harness funds from financial accounts that have been dormant for ten years and above, into a pool fund that will be utilised to create social homes at single-digit interest rate.
Another guest on the program, Mr Wale Bamiro, a Development Consultant, decried the nation’s mortgage system saying “what obtains in Nigeria is Home Loans and not Mortgages because paying interest rate at 16-20 percent is not mortgage.”
He however revealed an indigenous mortgage plan which will incorporate low income earners and probably jobless people to become part of a mortgage system that will provide employment through the construction of the buildings.
Architect Ezekiel noted that further information on the coming overhaul of the nation’s mortgage system can be gotten on www.socialhousingnigeria.com