News
Understanding Mortgage Options in Nigeria’s Real Estate Market by Dennis Isong

For Nigerians considering a mortgage, thorough research and preparation are essential.
As more Nigerians aspire to become homeowners, understanding the available mortgage options becomes essential.
This article discusses mortgage financing in Nigeria, exploring the various options available to prospective homeowners and investors..
The Nigerian MortgageNigeria’s mortgage industry, while still developing, has made considerable strides in recent years.
The Federal Mortgage Bank of Nigeria (FMBN) and the Nigeria Mortgage Refinance Company (NMRC) play pivotal roles in shaping the mortgage sector.
These institutions work alongside commercial banks and primary mortgage banks to provide various mortgage products to Nigerians.
The mortgage-to-GDP ratio in Nigeria remains relatively low compared to more developed economies, indicating significant room for growth.
However, challenges such as high interest rates, limited long-term funding, and stringent lending criteria have historically hindered widespread mortgage adoption.
Despite these obstacles, recent government initiatives and private sector innovations are gradually making mortgages more accessible to a broader segment of the population.
Types of Mortgage Options
Nigerian homebuyers and investors can choose from several mortgage options, each with its unique features and requirements.
The most common types include:Federal Mortgage Bank of Nigeria (FMBN) Loans:
These are government-backed mortgages designed to provide affordable housing finance to Nigerian workers.
The National Housing Fund (NHF) scheme, administered by the FMBN, allows contributors to access loans at favorable interest rates for home purchase or construction.
Commercial Bank Mortgages: Many commercial banks in Nigeria offer mortgage products to their customers.
These loans typically have higher interest rates compared to government-backed options but may offer more flexibility in terms of loan amounts and repayment periods.
Primary Mortgage Bank Loans: Specialized mortgage institutions provide various home financing options, often with more competitive rates than commercial banks.
These institutions focus exclusively on mortgage lending and may offer more tailored products to meet specific needs.
Rent-to-Own Schemes: Some developers and financial institutions offer rent-to-own arrangements, allowing tenants to gradually build equity in a property while paying rent.
This option can be particularly attractive for those who may not qualify for traditional mortgages.
Cooperative Society Loans: Many Nigerians participate in cooperative societies that pool resources to provide housing loans to members.
These loans often come with lower interest rates and more flexible terms compared to traditional banking options.Eligibility and Requirements
Securing a mortgage in Nigeria typically requires meeting certain eligibility criteria and fulfilling specific requirements. While these may vary depending on the lender and the type of mortgage, common factors include:
Income and Employment:
Lenders generally require proof of stable income and employment. The debt-to-income ratio is a crucial factor in determining loan eligibility and amount.Credit History:
Although Nigeria lacks a comprehensive credit scoring system, lenders may review an applicant’s credit history and repayment record on previous loans.
Down Payment: Most mortgage options in Nigeria require a significant down payment, typically ranging from 20% to 30% of the property’s value.
Some government-backed schemes may offer lower down payment requirements.Property Valuation: The property being purchased or used as collateral must undergo a professional valuation to determine its market value and ensure it meets the lender’s criteria.
Documentation: Applicants must provide various documents, including identification, proof of income, tax clearance certificates, and property-related documents.
Age Limit: Many lenders impose age restrictions, often requiring the mortgage to be fully repaid before the borrower reaches retirement age.
Challenges and Opportunities in Nigerian Mortgage Financing.
While the Nigerian mortgage market continues to evolve, several challenges persist. High interest rates, often in double digits, make mortgages unaffordable for many Nigerians.
The lack of long-term funding sources limits the ability of lenders to offer extended repayment periods, which could make monthly payments more manageable.Land tenure issues and the complexities of property registration in some parts of the country also pose significant hurdles.
The time and cost associated with perfecting property titles can add to the overall expense of obtaining a mortgage.
However, these challenges also present opportunities for innovation in the mortgage sector. Fintech companies are entering the market with digital solutions that streamline the mortgage application and approval process.
Some lenders are exploring alternative credit scoring methods to assess creditworthiness, potentially opening up mortgage access to a broader population.
The government’s ongoing efforts to address housing deficits through initiatives like the Family Homes Fund and the National Housing Programme are creating new opportunities for affordable mortgage financing.
Additionally, the gradual development of the secondary mortgage market through the Nigeria Mortgage Refinance Company (NMRC) is expected to increase liquidity in the sector and potentially lead to more competitive mortgage rates.
Navigating the Mortgage Process.
For Nigerians considering a mortgage, thorough research and preparation are essential.
Prospective borrowers should:
● Compare offerings from multiple lenders to find the best rates and terms.
● Understand all associated costs, including processing fees, insurance, and potential penalties for early repayment.
● Seek professional advice from financial advisors or real estate experts to make informed decisions.
● Consider the long-term implications of the mortgage, including how it aligns with future financial goals and career plans.
● Stay informed about government policies and initiatives that may affect the mortgage market or provide new opportunities for home financing.
As Nigeria’s real estate market continues to grow and evolve, so too will the mortgage options available to its citizens.
By understanding the current landscape and staying informed about new developments, prospective homeowners and investors can make the most of the opportunities presented by mortgage financing in Nigeria’s dynamic real estate sector.
For personalized assistance with your property needs, contact Dennis Isong, a top Lagos realtor specializing in helping Nigerians in the diaspora own property stress-free.Contact: +2348164741041
Crime
Plateau: Military Operation Neutralizes Bandits

Troops of the 3 Division of the Nigerian Army in conjunction with the Operation Safe Haven (OPSH) under Operation Lafiyan Jama’a have neutralized several bandits during joint operations in Bokkos Local Government Area of Plateau State.
A statement issued on Friday by the Defence Headquarters (DHQ) stated that the clearance operation which took place on Thursday, July 3, led to the killing of scores of bandits.
The statement reads: “In continuation of ongoing efforts to rid the Joint Operations Area (JOA) of criminal elements, troops of 3 Division/Operation SAFE HAVEN under Operation LAFIYAN JAMA’A have sustained aggressive kinetic operations in Bokkos Local Government Area of Plateau State, yielding commendable outcomes.
“On 3 July, 2025, troops carried out a clearance operation in the rugged terrains of Tulus and Hokk Communities, located along the Plateau–Nasarawa State border.
“During the mission, contact was made with armed militias in Hokk, leading to a brief but decisive firefight. Several bandits were neutralised, while others fled into surrounding forests.
“Troops conducted a thorough exploitation of the area and, though no further contact was established, have maintained control through mobile and static patrols to disrupt any regrouping attempts.
“These successful actions reaffirm the resolve of security forces to dismantle criminal syndicates and prevent the proliferation of illicit weapons threatening peace and security within the Joint Operations Area.”
Crime
JUST IN: Kidnapped Bayelsa Judge, Umukoro, regains freedom

After 13 days in captivity, Justice Ebiyerin Omukoro, a Bayelsa State High Court Judge, who was kidnapped by gunmen, has been released.
The judge was abducted on June 21, 2025, around 7pm by gunmen dressed in combat fatigue in front of a popular eatery at the Ekeki suburb of Yenagoa.
It was gathered that Justice Omukoro was released on Thursday evening and is still with security operatives.
News
Masobe Books to Publish Groundbreaking Essay Collection by Dr. Dakuku Peterside on Nigeria

Masobe Books, a leading publisher of Nigerian literature, today announced the upcoming release of a highly anticipated essay collection by Dr. Dakuku Peterside, a prominent figure in Nigerian public life.
The collection, which is titled: Beneath the Surface: Essays on Nigeria’s Chequered Journey, a powerful new work by renowned columnist and public policy expert, Dr. Dakuku Peterside.
Dr. Peterside, known for his contributions to policy, economics, and thought leadership, has compiled a series of essays exploring a range of critical issues facing the nation.
The collection is expected to delve into topics such as governance, economic development, social justice, national unity, security challenges, the future of democracy, and the role of youth.
“We are incredibly excited to be publishing Dr. Peterside’s work,” said [Name and Title of a Masobe Books representative, ideally the publisher].
“His deep understanding of Nigeria, combined with his clear and articulate writing style, makes this collection essential reading for anyone interested in the country’s present and future.”
Masobe Books anticipates that the collection will appeal to a broad audience, including policymakers, academics, students, and the general public.
Slated for publication in October 2025 under the publisher’s Makere imprint, the book promises to spark critical conversations about Nigeria’s past, present, and future.
Further details, including the title of the collection and planned promotional events, will be announced in the coming weeks.
Dr. Dakuku Peterside has a distinguished career, having served as a former Director-General of the Nigerian Maritime Administration and Safety Agency (NIMASA), a former member of the House of Representatives.
He is widely respected for his expertise and contributions to national discourse.
The essay collection offers a panoramic exploration of Nigeria’s complex landscape—its economy, governance, youth energy, leadership challenges, and international standing.
Described as a “360-degree perspective” on the country’s evolving narrative, the book digs deep into the nation’s layered experiences and contradictions.
The book has already received high praise from thought leaders. Renowned Kenyan scholar, Professor P.L.O. Lumumba, hailed it as “a manual that every conscientious person in authority should read.”
Bishop Matthew Kukah called it “a window for future exploration of the options for a new Nigeria,” while Prof. Kyari Mohammed declared it “a must read for policy makers, academics and the general reader.”
Masobe Books has announced plans for formal launch events in Lagos and Abuja to accompany the book’s international and local release.
This marks Dr. Peterside’s third major publication, following Strategic Turnaround and Leading in a Storm.
For inquiries and updates, the public is encouraged to contact Theresa Ominiabohs at Masobe Books or visit www.masobebooks.com.
The publisher can also be followed on Instagram and Twitter via @masobebooksng.
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