Mortgage Financing in Nigeria; Issues and Challenges
- Post by: airjournals
- December 4, 2020
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Mortgage financing refers to the process by which property purchasers realize funds to buy real estate. Some procure loans from the bank or from other financial institutions. This article examines different housing policies in Nigeria, illuminates the Mortgage financing Industry, and highlights their objectives with a view to identifying the issues and challenges impeding mortgage financing in Nigeria while identifying solutions. The study found that poor awareness about existing mortgage financing programs and arrangements, low financing capacity of the mortgage institutions, and inefficient title/legal framework among others remain the major impediments to the growth of the sector. It recommended that introduction of innovative sources of financing for mortgage institutions, execution of the revised PMB guidelines, reformation of title/legal documentation structure, and active involvement of the private sector (including cooperative and credit unions) would encourage the optimal performance of the sector and boost the housing economy.