FMBN will launch “Rent-to-Own” scheme before end of the year

As a solution to the country's housing issues, the Federal Mortgage Bank of Nigeria(FMBN) will soon start it's “Rent-to-Own” scheme.

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The Managing Director, Mr Gimba Ya’u Kumo, revealed this among other things.

“For Nigerians that cannot afford mortgages, the way it is going to work is that houses will be built in conjunction with other agencies, either state government agencies or Federal Government agencies. FHA, for example, which is a Federal Government agency or FCT, will build the houses and will be taking rent on those houses up to a time you will be the one to decide how much rent you will be paying. If you think you will pay the cost of the house in 10 years as your rent, by the time you finish paying the rent, the house becomes your own. That is what we call “Rent to Own.”

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This new scheme is expected to begin before the end of the year and in highly populated states.

“We will start the pilot project in Lagos and Abuja only, because these areas are where you will see landlords harass Nigerians and that’s where we have high rate of tenancy. We hope to launch it before the year runs out because the templates are ready and some houses are ready for the take-off of the programme.’’