Mortgage Lenders Expand Financing Options as Homeownership Costs Rise

By GLEBM News Desk

Mortgage financing options are being expanded for Nigerian workers, self-employed professionals and members of the diaspora seeking to purchase, improve or refinance residential properties.

FirstTrust Mortgage Bank has introduced a broader portfolio covering conventional mortgages, mortgage refinancing, home-improvement finance, diaspora mortgages and short-term loans.

The development comes as rising construction and property costs continue to make outright home purchases difficult for many Nigerian households.

Mortgage finance can allow buyers to spread the cost of acquiring property over a longer period rather than paying the entire purchase price upfront.

The refinancing option is also designed to allow eligible borrowers to transfer existing mortgages from other financial institutions, potentially giving homeowners another avenue for managing their housing debt.

The bank said its products are available to salaried employees and self-employed professionals who meet income and credit requirements.

Diaspora Nigerians are also being targeted through specialised mortgage products, reflecting the significant role of remittances and diaspora investment in Nigeria’s housing market.

Nigeria continues to face a substantial housing deficit, while the cost of land, building materials, labour and financing has increased the overall cost of developing residential property.

Greater availability of mortgage products could support demand for formally financed housing, although affordability will continue to depend on interest rates, income levels, loan tenors and the cost of properties.

For developers, stronger mortgage access could also improve the pool of potential buyers and support the development of formal residential projects.

The expansion of housing finance therefore represents one part of a broader effort to address the financing barriers that prevent many households from moving from renting to homeownership.