As part of efforts to ensure that Nigerians have easy access to affordable housing, stakeholders in the housing sector have called for the adoption of local solutions to mortgage financing in the country. The call formed part of the recommendations in a communiqué issued by the stakeholders at the end of the recently concluded 2016 Affordable Housing Summit in Abuja.
The summit was the culmination of series of consultations amongst government and non-government stakeholders in the housing industry and is intended to generate the framework for a robust policy for affordable housing delivery in Nigeria. Participants made several recommendations, which are presented on the basis of five thematic issues/pillars, namely: Lands, finance, Concessions and incentives, strategic focus on off-takers and, skills development and technology.
In the communiqué, the stakeholders stressed the need to proffer local solutions to mortgage financing by considering generational mortgage financing where tenor could be extended beyond the original mortgagee for continuity; maintain the single digit interest rate in mortgage loan even if it requires subsidizing for the low income earners; recapitalise the Federal Mortgage Bank of Nigeria (FMBN) and; enforce the National Housing Fund (NHF) contribution as enshrined in the enabling Act.
They also canvassed for investment of a sizeable part of pension funds, dormant assets of banks and unclaimed dividends in primary mortgage products; put in place the appropriate construction financing schemes including funding sources for multilateral schemes; and for the National Assembly to fast-track the amendment of relevant laws such as foreclosure, mortgage, insurance laws etc.
The stakeholders also called on both Federal and State governments to reduce the cumbersome process of land acquisition and land titling with a view to easing housing construction; introduction of tax exemption to developers who build and provide infrastructure at affordable housing sites; targeting Cooperative societies as group off-takers for affordable housing and; mainstreaming energy efficiency measures into the National Building Code through the production of practice notes, planning standards, rules and regulations for the various skills in the built environment
Different speakers at the summit attempted to define ‘affordable housing’ in the Nigerian context. Centre for Affordable Housing and UN-Habitat defines affordable housing as “housing that is accessible, appropriate, and secure for the needs of the low and moderate income households and is priced so as to able them meet their other basic living costs like health, education and feeding. This is usually estimated at about 30 percent of Gross household income”.
The summit was the culmination of series of consultations amongst government and non-government stakeholders in the housing industry and is intended to generate the framework for a robust policy for affordable housing delivery in Nigeria. Participants made several recommendations, which are presented on the basis of five thematic issues/pillars, namely: Lands, finance, Concessions and incentives, strategic focus on off-takers and, skills development and technology.
In the communiqué, the stakeholders stressed the need to proffer local solutions to mortgage financing by considering generational mortgage financing where tenor could be extended beyond the original mortgagee for continuity; maintain the single digit interest rate in mortgage loan even if it requires subsidizing for the low income earners; recapitalise the Federal Mortgage Bank of Nigeria (FMBN) and; enforce the National Housing Fund (NHF) contribution as enshrined in the enabling Act.
They also canvassed for investment of a sizeable part of pension funds, dormant assets of banks and unclaimed dividends in primary mortgage products; put in place the appropriate construction financing schemes including funding sources for multilateral schemes; and for the National Assembly to fast-track the amendment of relevant laws such as foreclosure, mortgage, insurance laws etc.
The stakeholders also called on both Federal and State governments to reduce the cumbersome process of land acquisition and land titling with a view to easing housing construction; introduction of tax exemption to developers who build and provide infrastructure at affordable housing sites; targeting Cooperative societies as group off-takers for affordable housing and; mainstreaming energy efficiency measures into the National Building Code through the production of practice notes, planning standards, rules and regulations for the various skills in the built environment
Different speakers at the summit attempted to define ‘affordable housing’ in the Nigerian context. Centre for Affordable Housing and UN-Habitat defines affordable housing as “housing that is accessible, appropriate, and secure for the needs of the low and moderate income households and is priced so as to able them meet their other basic living costs like health, education and feeding. This is usually estimated at about 30 percent of Gross household income”.
This is dummy text. It is not meant to be read. Accordingly, it is difficult to figure out when to end it. But then, this is dummy text. It is not meant to be read. Period.
ConversionConversion EmoticonEmoticon