By Adaobi Rhema Oguejiofor
Terra Developers Ltd, providers of trusted and unique homes, have disclosed that individuals earning around N500,000 as monthly income can now own homes in Nigeria through mortgage schemes.
The General Manager, Sales and Marketing at Terra Developers, Emmanuel Ekwe, highlighted this while expressing that many Nigerians still struggle to afford homes. He stated that government-backed mortgage programmes are helping to address the housing challenge.
Ekwe spoke about the development during the unveiling of the Olivia Gardens at Ogudu GRA, Lagos State.
He said that the main issue driving the housing affordability crisis in urban areas has been affordability itself, and to this effect, the mortgage system in Nigeria is improving.
He explained that the Ogudu GRA is known for its solid infrastructure and security, and the Federal Government, through the Ministry of Housing, is committed to making home ownership more accessible.
In his words, “Today, if you earn between N500,000 and N600,000 monthly, you should be able to obtain a mortgage and own a home. Previously, people had to pay cash upfront, but now you can pay a small equity contribution and spread the balance over 20 years.”
Speaking on inflation, Ekwe added that at the start of this project, inflation and foreign exchange rates were very high, with the naira moving from about N750 to over N1,500 per dollar. But things are gradually stabilising, and the outlook is improving.
Similarly, the Managing Director of Terra Developers Ltd, Kola Ashiru-Balogun, identified inflation as the biggest challenge but noted that recent reports indicate stabilisation.
Balogun said that home ownership is all about affordability, which depends on income and the payment structure. He also added that mortgages are now available.
“With programmes like the MRIF, FHF, and NHF, opportunities are much better,” he said. “NHF rates are around 6.5 per cent, FHF about 10 per cent, and MRIF within that range. So, this is actually a good time to buy a home in Nigeria.”
“Of course, not everyone will buy a house, even in developed cities like New York. Government’s role includes providing affordable rental options and ensuring rent stability.”
He added that although infrastructure in Lagos is still catching up, expansion is ongoing. “The more housing units we produce, the less pressure there will be on prices,” he said.
On his part, the Chief Executive Officer of Imperial Homes Mortgage Bank, Ayodele Olowookere, noted that mortgages help hedge against inflation and support long-term asset growth.
He explained that the Ogudu GRA is known for its solid infrastructure and security.