In Nigeria today, a middle-class person does not need to bear the burden of having to own a home all by himself. He can choose to leverage on his equity or share of ownership by applying for a mortgage from financial institutions available in the country. Virtually all banks in Nigeria have a mortgage arm with branch outlets all over the country.
Some of the mortgage institutions available in Nigeria now have the minimum salary requirement for any applicant to be N300,000 per annum as a benchmark to be eligible for the loan facility. It is also possible to get a facility up to N200 million and a minimum facility of around N5million.
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The basic requirements for accessing a mortgage facility are as follows;
- An application form
- An introduction letter from your employer is needed to ensure that you are indeed an employee of the company.
- Copy of documents of the property you want to purchase
- You are required to present the paychecks or pay slips of the last three months depending on the institution’s policy. This is needed in order to verify that you have a steady income and you can afford to repay the loan you are requesting for.
- Your bank account statement for the last six to twelve months should be presented as well, depending on the requirements of the financier
- A means of identification such as International passport, National ID card, Driver’s license should be presented
- Letter of employment as well as confirmation, and confirmation can be used on jobs from jobs of 2years or up to 7years working experience
- Utility bills should be provided
- An approved building plan should be presented
- Domiciliation of the applicant salary accounts with the bank or mortgage institution
Asides these requirements, any loan facility to be granted always follows three steps which are;
- Processing and approval
However, keep in mind that upon commencement, some fees might be required such as perfection fees, processing fees ranging from about 0.25%
A lot of Nigerians, mostly never give into the use of mortgage institutions based on the belief that mortgage institutions are profit oriented and not customer oriented while others are simply afraid of ‘debts’. Some have ended up getting defrauded, paying wrong parties or building on lands involved in a legal tussle or owned by the government. With all of these in mind, asides making finances available, mortgage institutions carry out due diligence on the property or land during the process of assessment to find out if the buyer can go ahead with the purchase or otherwise inform the buyer about any trace of ingenuity or doubt to discourage the purchase.
All in all, once the above requirements, as well as any other additional necessities, based on the mortgage institution of your choice, have been met, you can get your dream house with ease.