Tinubu Commends Housing Fund for Providing Affordable Mortgages at 9.75% Interest

Tinubu Commends Housing Fund for Providing Affordable Mortgages at 9.75% Interest
Hails N128bn Mortgage Scheme
1,859 Families Become Homeowners

President Bola Ahmed Tinubu has praised the Ministry of Finance Incorporated Real Estate Investment Fund (MREIF) for providing N128 billion in affordable mortgages to 1,859 families across 25 states, describing the achievement as a major step towards expanding homeownership in Nigeria.

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Eko Hot Blog reports that in a statement issued on Tuesday by his Special Adviser on Information and Strategy, Bayo Onanuga, the President said the initiative demonstrates how effective policies and strong institutional partnerships can help millions of Nigerians gain access to housing finance.

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According to the statement, beneficiaries from all six geopolitical zones secured mortgages with repayment periods of up to 20 years at a fixed interest rate of 9.75 per cent per annum, alongside a minimum equity contribution of 10 per cent.

Tinubu noted that such mortgage terms had been largely unavailable to Nigerians for decades, making homeownership difficult for many working families.

“For years, many Nigerians could afford monthly rent but could not access the type of financing required to purchase a home. That reality kept countless families out of home ownership and limited their ability to build lasting assets,” the President said.

He added that the progress recorded by MREIF shows that the right policy environment can unlock opportunities for citizens to acquire homes and build long-term wealth through asset ownership.

Beyond the mortgage disbursements, the fund has reportedly unlocked N221 billion in total property value and facilitated the delivery of 475 housing units through off-take guarantee arrangements.

The President highlighted that the average age of mortgage beneficiaries is 42 years, which he said reflects strong demand for accessible housing finance among working-age Nigerians who have historically faced challenges accessing long-term mortgage facilities.

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MREIF is a N1 trillion housing finance platform, with an initial pilot phase comprising N250 billion in concessionary and commercial funding. The initiative is sponsored by the Ministry of Finance Incorporated and managed by ARM Investment Managers.

Its Series 2 commercial issuance has received AAA and AA ratings from Agusto & Co. and GCR Ratings, respectively.

Tinubu noted that the fund complements other housing initiatives under his administration, including the Renewed Hope Cities and Estates Programme and interventions by Family Homes Funds Limited, all aimed at increasing access to affordable housing and transforming Nigeria’s housing sector.