The Federal Government is proposing to increase the maximum mortgage loan available to Nigerians from N50 million to N85 million as part of efforts to expand access to homeownership and improve housing finance.
The Minister of Housing and Urban Development, Dr Muttaqha Rabe-Darma, disclosed this on Thursday at the 15th National Council on Lands, Housing and Urban Development in Sokoto.
He said the government was targeting 2,000 mortgages in 2026 and 5,000 by 2028.
Rabe-Darma said the government was targeting the allocation of between 30% and 40% of mortgage bookings to workers in the informal sector, many of whom face difficulties accessing conventional housing finance because of irregular incomes and limited access to formal lending arrangements.
According to him, the directive is intended to bridge the gap between workers’ contributions to the NHF and the actual delivery of housing finance.
The minister also disclosed plans to establish a National Housing Finance Authority to coordinate regulation and strengthen accountability in the housing finance sector.
Rabe-Darma added that the recently launched Diaspora Mortgage Programme would provide Nigerians living abroad with opportunities to invest in homeownership in the country.
The minister said the government was working towards constructing 100 housing units in each of Nigeria’s 774 local government areas as part of efforts to address the country’s housing deficit.
Abiante called for single-digit interest rates on mortgage loans, a review of housing prices, transparent and efficient land registration processes, effective development control and the introduction of a National Housing Identification Number.
FMBN’s previous collections, lending activity and recapitalisation plans provide further context for the government’s proposed mortgage reforms.
Nairametrics previously reported that FMBN collected N152.4 billion in National Housing Fund (NHF) contributions in 2025, representing a 48% increase from N103 billion in 2024.
The bank also increased its housing loan approvals to N71.5 billion in 2024, up from N39.7 billion in 2023, as it sought to expand access to affordable homeownership.
In February 2026, FMBN said it was targeting N750 billion in recapitalisation to strengthen its capital base and improve its capacity to finance affordable housing. The bank’s managing director, Shehu Osidi, identified undercapitalisation as a major constraint on its ability to address Nigeria’s housing deficit.
