The Top Mortgage Institutions in Nigeria You Need to Know

Acquiring a house, land, or any form of real estate in Nigeria can seem like a very big challenge for many people. A number of factors, such as high prices of property, limited access to financing, and a complex mortgage process, make it difficult to get a house or any form of real estate.

Individuals in developed economies globally do not save up or use their own funds to buy homes. Rather, they secure mortgage loans to make these purchases and repay the lender in a way that is convenient for them.

Mortgage institutions in Nigeria act as the bridge between your dream to own a house or any form of real estate and the reality of your dream. In this article, you’ll learn of the top mortgage institutions in Nigeria.

To start with, the term “mortgage” is used to refer to a loan that is used to either purchase or maintain a home, land or other forms of real estate. Mortgage institutions, on the other hand, are institutions or banks that offer you a mortgage. They simply provide loans to people specifically for the purchase of real estate properties. In Nigeria, some of the top mortgage institutions that you need to know are:

1. Federal Mortgage Bank of Nigeria (FMBN)

The Federal Mortgage Bank of Nigeria (FMBN) is the apex mortgage institution in Nigeria. The institution plays a big role in the housing finance sector of Nigeria. The bank was established in 1956 and is dedicated to increasing access to affordable housing through its National Housing Fund (NHF) scheme.

This government-backed initiative offers single-digit interest loans to contributors and makes it easier for many Nigerians to buy homes. Also, the Federal Mortgage Bank of Nigeria’s Rent-to-Own program allows tenants to transition into homeowners.

Furthermore, the bank also provides home renovation and estate development loans.

READ ALSO: The Top 5 Cities in Nigeria for Real Estate Investment

2. Abbey Mortgage Bank Plc

The Abbey Mortgage Bank Plc has established itself as a leader in the Nigerian mortgage market in the last three decades. This mortgage institution was originally founded as Abbey Building Society. The institution provides a variety of mortgage products designed to meet the diverse needs of its clients.

Abbey Mortgage Bank Plc stands out as the largest, most profitable, and leading non-aligned primary mortgage bank in Nigeria. Also, it is one of the seven national Primary Mortgage Banks (PMBs) that have been licensed by both the Central Bank of Nigeria and the Federal Mortgage Bank of Nigeria (FMBN).

Abbey offers competitive interest rates starting around 15% and repayment periods extending up to 20 years. Their innovative savings programs, like KidzSave, encourage parents to save for their children’s future homes and also provide access to National Housing Fund loans.

3. Infinity Trust Mortgage Bank Plc

Infinity Trust Mortgage Bank Plc has been committed to facilitating homeownership across Nigeria since its inception in 2002. As a publicly traded company with robust capitalization, Infinity has financed numerous homeownership dreams of many through its competitive interest rates ranging from 6% to 14% with a repayment period of up to 15 years.

The institution is known for its customer-centric approach and strong involvement in the National Mortgage Refinance Company.

4. FirstTrust Mortgage Bank Plc

FirstTrust Mortgage Bank Plc was established in 2019 from the merging of First Mortgages Limited and TrustBond Mortgage Bank. The mortgage institution brings together decades of experience in the industry.

FirstTrust is dedicated to leveraging technology to improve mortgage services for Nigerians and has assets exceeding N20 billion. They offer concessionary rates under the NHF scheme (approximately 6-8%) and repayment terms that can extend up to 30 years. Their focus on innovation positions them as a forward-thinking choice for those looking to secure a mortgage.

5. Platinum Mortgage Bank Limited

Platinum Mortgage Bank Limited was established in 1992 and has since transformed into a formidable player in Nigeria’s mortgage sector. Platinum offers flexible repayment terms of up to 25 years, with its market-based rates starting around 6-10%.

Also, the bank has embraced strategic recapitalization and advanced technology to enhance its service delivery. This has made it easier for Nigerians to realize their dream of owning a home or form of real estate.

Conclusion

With the support of reputable mortgage institutions such as the ones mentioned above, it will be easy for you to own a house, land or any form of real estate. These institutions not only provide financial assistance but also empower individuals with the knowledge and resources necessary for making informed decisions about their real estate investments.