This article is the second in a series, you might want to read the
previous one before continuing, Federal Mortgage Bank of Nigeria and You. Application for loan
is made through a registered and duly accredited Mortgage Loan Originator. It is then
forwarded to FMBN(Federal Mortgage Bank of Nigeria). However, there are certain
requirements. Documents required to process a loan includes:
- Completed application form
- Photocopy of title documents
- Current valuation report on the proposed house to buy or bills of quantities(BOQ) for the house to build.
- 3 years tax clearance certificate
- Evidence of NHF participation
- Copy of pay slips for the previous three months.
- Equity contribution or personal stake of 30%(for N15m), 20%(for N10m)
or 10%(for N5m) depending on the loan amount applied for.
The loan is repaid
on monthly installments from the monthly income of the beneficiary.
HOW CAN A LOW INCOME
EARNER GET COLLATERAL FOR A LOAN?
The only collateral
required from the loan beneficiary is the property in question. No other
collateral is needed to secure the NHF loan. And note that the maximum loan
amount is N15Million repayable over a maximum period of 30 years at an
affordable interest rate of 6%.
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