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HOW MORTGAGES WORK IN NIGERIA by Dennis Isong

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Potential borrowers assess their financial status, calculate affordability, and choose a suitable mortgage type.

Mortgages play a pivotal role in the real estate sector, allowing individuals and families to own homes without the need for substantial upfront payments.

In Nigeria, as in many countries, mortgages are a common means of financing homeownership.

This article aims to provide a comprehensive overview of how mortgages work in Nigeria, covering the key aspects, processes, and considerations.

  1. Types of Mortgages in Nigeria
    In Nigeria, there are various types of mortgages available to suit different needs and financial situations. The most common types include:
    a. Home Purchase Mortgage: This is the traditional form of mortgage used for buying a new home or property.
    b. Home Equity Release Mortgage: This allows homeowners to access the equity in their property to meet other financial needs.
    c. Construction Mortgage: Designed for those building their homes, this type of mortgage provides funds in stages during construction.
    d. Refinancing Mortgage: Allows homeowners to replace an existing mortgage with a new one, often with better terms.
  2. Mortgage Providers
    Mortgages in Nigeria are typically provided by banks, mortgage banks, and other financial institutions. Some of the well-known mortgage banks in Nigeria include the Federal Mortgage Bank of Nigeria (FMBN), which focuses on affordable housing, and commercial banks like Zenith Bank, First Bank, and GTBank.
  3. Eligibility Criteria
    To qualify for a mortgage in Nigeria, individuals must meet certain eligibility criteria, which may include:
  • Proof of regular income
  • Good credit history
  • Down payment capability
  • Legal age (usually 18 years or older)
  • Nigerian citizenship or legal residency
  1. The Mortgage Application Process
    The mortgage application process in Nigeria involves several steps:
    a. Prequalification: Potential borrowers assess their financial status, calculate affordability, and choose a suitable mortgage type.
    b. Documentation: Applicants provide necessary documents such as proof of income, identification, and property details.
    c. Property Valuation: The lender evaluates the property’s value to determine the loan amount.
    d. Credit Assessment: Lenders assess the borrower’s creditworthiness by reviewing credit reports and history.
    e. Approval and Disbursement: Upon approval, the mortgage is disbursed, and the borrower takes ownership of the property.
  2. Mortgage Terms and Conditions
    Mortgages in Nigeria typically have terms ranging from 10 to 25 years. Interest rates can be fixed or variable, and the repayment structure can be monthly, quarterly, or annually.
  3. Mortgage Insurance
    Mortgage insurance is often required, especially for mortgages with smaller down payments. This insurance protects the lender in case the borrower defaults on the loan.
  4. Repayment and Default
    Borrowers must make regular payments to avoid default. Defaulting on a mortgage can result in the lender repossessing the property, so it’s essential to honor the repayment schedule.
  5. Government Initiatives
    The Nigerian government has introduced several initiatives to promote affordable housing and increase access to mortgages. The FMBN, for instance, offers the National Housing Fund (NHF) scheme, which provides affordable mortgage loans to contributors.
  6. Tax Implications
    It’s important for prospective homeowners in Nigeria to be aware of the tax implications associated with mortgages. Mortgage interest paid on a primary residence is often eligible for tax deductions, which can help reduce the overall cost of homeownership. Tax laws and regulations may vary, so consulting with a tax professional is advisable.
  7. Benefits of Mortgages in Nigeria
    Owning a home through a mortgage in Nigeria offers several advantages:
    a. Asset Appreciation: Real estate in Nigeria generally appreciates over time, potentially increasing the value of your investment.
    b. Forced Savings: Paying a mortgage every month encourages disciplined saving, as a portion of each payment goes toward building home equity.
    c. Housing Security: Homeownership provides stability and security for you and your family.
    d. Investment Opportunity: Owning property can open doors to real estate investment and rental income.
    e. Access to Government Schemes: Many government initiatives and incentives are designed to make homeownership more accessible, particularly for low and middle-income earners.
  8. Challenges and Risks
    While mortgages offer numerous benefits, they also come with potential challenges and risks:
    a. Interest Rate Fluctuations: Variable interest rates can lead to fluctuations in monthly payments, impacting borrowers’ budgets.
    b. Economic Factors: Economic downturns can affect borrowers’ ability to make mortgage payments, leading to defaults.
    c. Property Market Volatility: Real estate markets can be unpredictable, potentially affecting property values.
    d. Legal and Documentation Complexities: Navigating the legal and documentation requirements of mortgages can be complex and time-consuming.
    e. Default Consequences: Defaulting on a mortgage can result in foreclosure and the loss of the property.
  9. Expert Advice
    Before embarking on the mortgage application process in Nigeria, it’s advisable to seek expert advice. Consult with financial advisors, real estate professionals, and legal experts to ensure you make informed decisions that align with your financial goals and circumstances.

▪︎Dennis Isong is a TOP REALTOR IN LAGOS.He Helps Nigerians in Diaspora to Own Property In Lagos Nigeria STRESS-FREE. For Questions WhatsApp/Call 2348164741041

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Abu-Bilal al-Minuki: Deadly But Harmless Looking – Poison Dart Frog

Positions that used to be dominated by Syrian and Iraqis in the top echelons of the Islamic State leadership are now filled by African veteran jihadists from all over the continent.

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Abu Bilal al-Mainuki was elevated to the position of head of the Islamic State General Directorate of Provinces, replacing Abdul Qadir Mumin (Somali national) only three months ago in February 2026.

This placed him as the second in charge of the Islamic State global organization right after the Caliph Abu Hafs al-Hashimi.

Positions that used to be dominated by Syrian and Iraqis in the top echelons of the Islamic State leadership are now filled by African veteran jihadists from all over the continent.

Before February 2026, Abu Bilal al-Mainuki was head of the al-Furqan regional office which oversees the Sahelian, Libyan and West African Provinces.

Before that he was second-in-command to Abu Musab al-Barnawi, he was a staunch ally of the latter during the split and war against Shekau’s JAS (Boko Haram) and was a significant pillar in consolidating the gains captured from Shekau following his death and the mass defections from JAS to ISWAP.

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Senate Rule Amendment: Debate Should Focus on Institutional Stability, Not Personalities – Eyiboh

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The heated controversy triggered by the recent amendment to the Senate Standing Rules has been dominated by personalities and emotions rather than substantive institutional issues, Rt Hon Eseme Eyiboh has said.

In a strongly worded statement, the Special Adviser on Media and Publicity to the Senate President argued that the core question before the Senate is not about Senator Godswill Akpabio or Senator Adams Oshiomhole, but whether Nigeria’s legislature should strengthen itself through rules that promote continuity, competence, and long-term stability.

Eyiboh noted that every serious institution worldwide periodically reviews and updates its rules in response to practical experience. “The refusal to review procedures in the face of experience is often a sign of stagnation, not democracy,” he said.

The amendment, which sets a minimum legislative experience threshold for senators aspiring to presiding and principal offices, should be examined through the lens of institutional development, he added.

The former House of Representatives member emphasised that the Senate Presidency is one of Nigeria’s most sensitive constitutional positions. It demands more than political popularity — it requires deep knowledge of parliamentary procedures, committee systems, constitutional interpretation, negotiation, and intergovernmental relations.

“Experience matters,” Eyiboh stressed.

He acknowledged that critics have valid concerns that experience requirements could entrench incumbents and create a closed oligarchy. However, he maintained that the proper response is not to reject minimum standards, but to set a reasonable bar — such as one full term or proven committee leadership — and commit to periodic review to prevent the rule from becoming a barrier to fresh talent.

“Experience without openness becomes arrogance; openness without experience becomes amateurism,” he said. The amendment, according to him, tilts towards correcting amateurism while safeguarding institutional stability.

Eyiboh dismissed suggestions that the rule change was merely intended to shrink competition or protect personal interests. He argued that institutions grow stronger by learning from experience and refining their processes, not by freezing rules indefinitely.

On calls for Senate President Godswill Akpabio to resign if the new qualification is enforced, Eyiboh described the argument as fundamentally flawed. He pointed out the well-established legal principle that laws and rules apply prospectively, not retroactively.

“Senator Akpabio emerged under the rules in existence at the time. Applying today’s standards to yesterday’s mandate is neither legally sustainable nor institutionally rational,” he said.

The statement urged Nigerians and senators to elevate the discussion above personal rivalries and chamber politics. While affirming Senator Oshiomhole’s right to hold dissenting views, Eyiboh insisted the debate must centre on whether the amendment strengthens the Senate as a durable institution.

“Institutions outlive individuals,” he concluded. “Senate Presidents will come and go. But the rules and traditions we establish today will shape legislative stability for decades to come.”

Rt Hon Eseme Eyiboh, mnipr, is a former Member and Spokesperson of the House of Representatives and currently serves as Special Adviser on Media/Publicity and Official Spokesperson to the President of the Senate.

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President Tinubu Cheers US, Nigerian troops elimination of ISIS top leaders, Lauds Trump (Video)

“I commend the personnel involved on both sides for their professionalism and courage, and I look forward to more decisive strikes against all terrorist enclaves across the nation.

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President Bola Tinubu, strengthened by the US military Command vows more decisive strikes against all terrorist enclaves across the nation.

President Tinubu was reacting to Saturday’s overnight successful joint counterterrorism operation carried out by Nigerian and United States forces against an Islamic State hideout in the Lake Chad Basin which resulted in the elimination of a wanted Islamic State senior leader, Abu-Bilal Al-Manuki, also known as Abu-Mainok, alongside several of his lieutenants.

In a State House statement issued on Saturday by Bayo Onanuga, the president’s aide, Tinubu said “Our determined Nigerian Armed Forces, working closely with the Armed Forces of the United States conducted a daring joint operation that dealt a heavy blow to the ranks of the Islamic State.

The president stated that early assessments confirmed that the strike targeted the terrorist leader’s compound in the Lake Chad Basin.

Tinubu however expressed appreciation to the United States for supporting Nigeria’s counterterrorism efforts and advancing shared security objectives.

The president also thanked Donald Trump for what he described as leadership and unwavering support in the operation, saying, “I extend my sincere gratitude to President Trump for his leadership and unwavering support in this effort.”

He further commended military personnel from both countries for their professionalism and courage during the operation.

“I commend the personnel involved on both sides for their professionalism and courage, and I look forward to more decisive strikes against all terrorist enclaves across the nation.

Watch Video below:

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