Nigeria has one of the world's largest housing deficits — an estimated 28 million unit shortage. The government's answer is the National Housing Fund (NHF), which offers mortgages at just 6% per year to Nigerian workers. Yet most Nigerians don't know it exists or how to access it. This guide explains everything.
NHF vs Commercial Mortgage: Side-by-Side
| NHF (FMBN) | Commercial Banks | |
|---|---|---|
| Interest rate | 6% per year | 20–28% per year |
| Repayment term | Up to 30 years | 5–20 years |
| Max loan | ₦15M–₦50M | Depends on income |
| Eligibility | NHF contributors (6+ months) | Any salaried/business owner |
| Processing time | 3–6 months | 4–8 weeks |
| Down payment | 10% | 20–30% |
At 6% vs 25%, the difference on a ₦10M mortgage is massive
- NHF at 6% over 20 years: monthly payment ≈ ₦71,643 | Total paid ≈ ₦17.2M
- Commercial bank at 25% over 20 years: monthly payment ≈ ₦214,000 | Total paid ≈ ₦51.4M
- NHF saves you over ₦34 million on a ₦10M home loan
Compare all mortgage and home loan options available to Nigerians.
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Disclaimer: CompareMarket NG is an independent comparison service. Information is verified against regulatory databases (NAICOM, CBN, FCCPC, NDIC, NERC, NCC) and updated regularly, but rates and products change frequently. Always verify current terms directly with the provider before making a financial decision. This is not financial advice.
