Stallion Home is duly accredited by Federal Mortgage Bank of Nigeria (FMBN) to appraise applications for loans by NHF contributors and equally assists its customers to access loans through the NHF scheme by ensuring that the prescribed conditions are duly met promptly.
- The NHF was established by Decree 3 of 1992 to facilitate the continuous flow of low-cost funds for long-term investment in housing for the benefit of all Nigerians.
- The principal aim of the fund is to provide a window through which Nigerian individuals can access with ease, long-term loans for housing development via wholesale lending through to Primary Mortgage Institutions (PMI’s).
- The fund is managed and administered by the Federal Mortgage Bank of Nigeria (FMBN) – a government agency with branches in all states of the Federation.
Features of NHF
- NHF is to be subscribed by mandatory savings contributions as prescribed in the Decree.
- Applicable to every Nigerian, whether self-employed or in paid employment, earning an income of N7, 000 p.a & above.
- Mandatory contribution is fixed at 2.5% of basic monthly salary or income.
- Contributions are Savings and not Taxes, (presently attracting interest at 2%p.a)
- Contributions for a period of six (6) months are required to access loans from NHF.
- Contributions are savings, which may be withdrawn on attainment of Age 60 or on retirement from employment and incapable of further contribution to the fund
Benefits of the NHF Scheme
- Access to fixed-interest long-term loan for housing development, subject to a limit of N15million.
- Cheapest source of funding in Nigeria as of date.
- NHF Loans currently attract fixed interest rate of 6%p.a.
- Amount/Extent of Loan is not determined by extent of contributions to the fund.
- Long-term repayment duration of loan limited to 25 years – recently extended to 30-year period.
- Loan repayment is about the same as the typical monthly house rent.
- Purpose of loan - to build, buy or renovate own house.
Other consideration:
- Opening of an account with a PMI.
- Loan application to be processed through a PMI.
- Amount/Extent of loan is determined by Applicant’s age, Monthly salary, Income and Value of property to be acquired.
- Loans are limited to 90% of the cost of the house
- Loans are limited to the following:
90% (to meet customers’ 10% equity funding),
80% (to meet customers’ 20% equity funding), or,
70% (to meet customers’ 30% equity funding) of the total cost of the house.
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