Stakeholders have called on the federal government to revisit home completion loan scheme so as to tap into the abundant opportunities for the housing industry through the mortgage finance sub-sector in the country.
According to them, the scheme supports the new paradigm for unlocking housing microfinance and leverages on incremental development that most Nigerians use in acquiring new homes as well as renovate and upgrades existing structures.
The further contend agreed in a communiqué that the scheme is expected to catalyze the demand side of the equation.
The participants recommended that the state governments should create more access for partnership with the Nigerian Mortgage Refinance Company (NMRC) in order to develop a more enabling environment for housing delivery.
They urged the state governments to restructure relevant ministries in order to minimize bottlenecks that hinder large scale production of housing for Nigerians at N3million and less.
Other recommendations in the communiqué includes mortgage institutions should leverage on the fact that cooperatives can provide off takers, bearing in mind that cooperatives have a pedigree of organized funds collection with assured recovery, encouraging partnership between cooperatives and Real Estate Developers Association of Nigeria (REDAN).
Another recommendation is that Nigerian Builders should take advantage of robust and potent market in the Diaspora. Indigenous companies can strengthen their profiles through strategic World Bank grants targeted at developing companies in the building industry, observing that affordable housing could create jobs as it has a large market in millions.
It added that: “We need measures in place to prevent the rich from buying off potential low income houses. There is need to involve government at all levels of housing provision deliberations.
Government should and need to be involved, because only 54 percent equity contributed has worked. Government can provide land cheaply to reduce cost by 25 per cent.
“Government can provide infrastructure to reduce cost by another 25 per cent. Mortgage loans can be amortized successfully when deducted from source. The role of Government should be limited to creating enabling environment. Take away cost of land, wave charges and focus on the full implementation of the NHF Act. There is need to enhance labour productivity through paradigm shift and building technology with job creation. Everything is not done efficiently.”
