For millions of Nigerians, homeownership has remained an aspiration pushed further out of reach by rising property prices, persistent inflation and high commercial lending rates.
In an environment where borrowing costs can exceed 30 percent, accessing long-term housing finance has been difficult for many households.
However, a new initiative by First Bank of Nigeria Limited is positioning itself as a potential turning point for prospective homeowners across the country.
In partnership with the Ministry of Finance Incorporated Real Estate Investment Fund (MREIF), FirstBank has introduced a mortgage facility designed to expand access to affordable housing finance.
The initiative is backed by the Federal Government’s ₦1 trillion mortgage intervention fund, aimed at providing long-term, low-cost financing to Nigerians seeking to purchase residential properties.
Under the programme, eligible borrowers can access mortgages at an interest rate of 9.75 percent per annum, significantly below prevailing commercial lending rates in Nigeria’s banking sector.
Affordable Mortgage Structure
The facility allows qualified applicants to borrow up to ₦100 million with repayment periods extending up to 20 years.
This structure is intended to reduce monthly repayment pressure on borrowers while providing long-term financial stability compared with short-term commercial loans.
With lending rates in Nigeria frequently exceeding 30 percent, the single-digit interest offered under the MREIF mortgage programme represents one of the most affordable financing options currently available for homebuyers.
Expanding Access to Housing Finance
The mortgage facility has been structured to accommodate a wide range of borrowers.
Eligible applicants include salary account holders, entrepreneurs and Nigerians in the diaspora seeking to invest in residential property within the country.
Industry observers say the inclusive design of the programme could help bridge the financing gap that has historically prevented many Nigerians from entering the housing market.
Nigeria is estimated to face a housing deficit exceeding 20 million units, largely driven by rapid population growth, urbanisation and limited access to affordable mortgage financing.
Strategic Housing Initiative
The introduction of the mortgage programme aligns with broader efforts by the Nigerian government and financial institutions to deepen the housing finance market and stimulate real estate development.
By providing long-term, low-interest funding, the MREIF initiative aims to support property development, increase homeownership and stimulate economic activity across the construction and real estate sectors.
FirstBank said the facility provides Nigerians with a structured pathway toward homeownership, particularly for individuals seeking to exit the cycle of long-term rental payments.
Interested applicants can access more details about the mortgage programme through the bank’s official website.
For many prospective homeowners, the programme represents a rare opportunity to secure property financing at rates significantly below prevailing market levels.