The Nigeria Mortgage Refinance Company Plc (NMRC) has signed a N3 billion mortgage financing agreement with the Kaduna State Government and Federal Housing Authority (FHA) Mortgage Bank to provide affordable housing for people in the state.
The initiative is described as first of its kind in mortgage financing in the country designed to provide mortgage and re-financing at single digit with an initial mortgage interest-blended rate investment of N3 billion.
Commenting on the deal after the agreement signing ceremony, Kaduna State Governor, Mallam Nasir El-Rufai, was quoted as expressing his appreciation to the participating institutions for agreeing to work with his administration in establishing the blended rate programme.
The governor hinted further that the state had also enacted the Landlord and Tenant law to encourage, empower and protect property owners and investors.
Mallam El-Rufai listed other initiatives undertaken by the state government to make housing affordable in the state as, the creation of a Mortgage and Foreclosure Authority as well as the passing into law of the Mortgage and Foreclosure Law (MMFL)
Commenting on the deal, NMRC Managing Director, Mr Kehinde Ogundimu, lauded the governor and noted that state today remained at the forefront of public initiatives targeted at achieving housing finance transformation and a model in terms of ease of doing business and mortgage- friendliness.
The creation of the blended financing initiative represents NMRC’s value preposition under the World Bank-sponsored housing finance strategy.
Specifically, the initiative aims at eliminating barriers to housing finance and creating enabling environment for housing development and mortgage through the adoption and passage of NMRC’s MMFL.