Welcome to the August – September Edition of Mediaage Magazine, published by Mediaage Global Tech Nigeria Limited. Mediaage Magazine is into dissemination of news with the aim of keeping the society informed.
Provision of housing is key and a crucial sector, as compared to other industries that make a striving or booming economy. Buildings define the beauty, quality of an environment and tell the true nature of the living state of the inhabitants, a true indicator of their capacity for planning, health, among others. Housing is therefore, the best indicator of social and economic progress globally.
Challenges faced in the Nigerian housing sector are huge. Many are too poor to build their own houses. One of the problems of affordable housing in the country could be a lack of long-term mortgages, the dominant instrument for procuring new houses in all developed and well managed economies.
The goal of implementing housing policies in Nigeria has not truly seen the light of day. It makes one to ponder – are these policies aimed at making it easier for Nigerians to convert exorbitant prices they pay for rents into their own homes or to assist the poorest live in places fit for humans?
With the introduction of assessing Retirement Savings Account (RSA) balance towards payment of equity contribution for residential mortgage by RSA holders, in line with the provisions of Section 89(2) of the Pension Reform Act (PRA 2014), allows RSA holders to utilize part of their retirement savings as equity contribution for the purpose of securing residential mortgage, purpose of securing residential mortgage with the guidelines issued by PENCOM. It will go a long way in solving the housing deficit in the country.
Also, the Federal Mortgage Bank of Nigeria (FMBN) Rent to Own Scheme should be encouraged or supported as it is an innovation for affordable housing products meant to provide an easy and convenient payment plan towards home-ownership for Nigerian workers. The scheme is designed to make it possible for Nigerians to move into FMBN homes as tenants, pay for and own the properties through monthly or annual rent payment, spread over periods of about 30 years.
Furthermore, the Family Homes Fund Limited (FHFL), known for investing in social housing that provide the platform for hard-working Nigerian families to secure their own homes, understands that affordable houses not only fulfill a fundamental human right, it gifts a family the space with the right environment to thrive in a broader sense of living. It is also a major driver for national growth.
Therefore, the body should be one of the priorities of the existing or incoming government if it desires speedy development in the most important areas of human lives.
For the most challenging areas of improving the country’s growth to be tackled, the government should stand up to housing as an important index to curtail all forms of negative uncertainties slow-peddling the growth of the Nigerian society. All forms of criminality will be reduced and there would be an increase in the rate of employment, including the nation’s Gross Domestic Product (GDP).