Complete Breakdown of Payment Options for Nigeria's Renewed Hope Cities and Estates Program.

1. Outright Payment: the word outright means you are paying for the property outrightly. This one is if you have all the money (property cost) at the point of application or you can get it within 7-10 days of generating your offer letter.

2. Installment Payment: Subscribers who chose this payment method will be given a grace of 12 months to pay for the property cost and it will be installmentally payable every quarter(four installments).

3. NHF Loan: this can only be subscribed by people who contribute to the National Housing Fund (NHF) at the Federal Mortgage Bank of Nigeria (FMBN). It’s a concessionary loan at a 6% interest rate and for up to 30 years (depending on remaining years in active service) with an equity contribution of at least 10%. You chose the property, paid for the equity and waited for approval from FMBN before obtaining the final allocation and release letter on the property for full ownership.

4. Rent-To-Own: this too can only be subscribed by people who contribute to the National Housing Fund (NHF) at the Federal Mortgage Bank of Nigeria. It’s a concessionary loan at a 6% interest rate +1%(insurance cover) and for up to 30 years (depending on remaining years in active service) with an equity contribution of at least 30%. Under this loan, you will pay equity and move into the house with a partial allocation letter and continue paying rent and for homeownership until you liquidate before taking full ownership of the house. Renting and at the same time owning the house. That’s why you pay for insurance in case of eventualities because it’s the bank’s property.

5. Commercial Mortgages: these are obtainable at commercial banks and primary mortgage banks. They usually come with high interest rates (up to 25%) and with very short tenors. This doesn’t require a contribution to the National Housing Fund (NHF). It only requires regular income that can accommodate the mortgage loan.

NOTE:

-Both employed and self-employed Nigerians can apply and contribute to the National Housing Fund. A Monthly Contribution of N1-10k will eligible you to get a loan of up to N15m. A Monthly Contribution of N10k-25k can give you N25m while N25k and above can give you 50m depending on your monthly income.