Housing corporations across Nigeria have raised fresh concerns over stringent financing conditions imposed by lenders, warning that restrictive requirements are undermining efforts to deliver affordable housing to millions of citizens.
The concerns were expressed during the 113th Council Meeting and strategy session of the Association of Housing Corporations of Nigeria held in Abuja, where stakeholders described current funding structures as largely inaccessible to government-backed housing institutions.
Delegates noted that conditions such as sovereign and bank guarantees have significantly limited access to construction finance, making it difficult for housing corporations to execute projects, particularly those targeted at low-income earners.
They argued that unless financing frameworks are restructured to reflect local realities, the country’s housing deficit will continue to widen, leaving vulnerable populations without access to decent shelter.
The meeting called on financial institutions and development partners to design more flexible and inclusive funding models capable of supporting large-scale housing delivery across different income segments.
Participants emphasised the need for stronger collaboration among key institutions, including the Federal Mortgage Bank of Nigeria and the MOFI Real Estate Investment Fund, to expand mortgage access and improve housing affordability nationwide.
They also highlighted the exclusion of the informal sector from formal housing schemes, noting that irregular income patterns have prevented many Nigerians from qualifying as off-takers in structured housing projects.
To address this gap, stakeholders advocated the adoption of cooperative housing models that would enable low- and middle-income earners to participate more effectively in housing programmes.
The session, themed “Redefining Affordable Housing for Low-Income Earners and the Role of Housing Corporations in Emerging Real Estate Markets,” also drew attention to the growing mismatch between housing supply and affordability.
Delegates observed that many completed housing units remain unoccupied, not due to lack of demand, but because they are priced beyond the reach of those who need them most.
In a communiqué issued at the end of the meeting, AHCN President Eno Obogha called on state governments to strengthen support for housing corporations through improved access to land and financing mechanisms.
The association warned that weak institutional structures and policy inconsistencies have eroded the capacity of housing agencies, further worsening Nigeria’s housing challenges.
Concerns were also raised over the practice of merging housing corporations with government ministries, a move stakeholders said undermines their operational independence and contradicts the National Housing Policy.
Delegates stressed that restoring the autonomy of housing corporations is essential to improving efficiency and boosting public confidence in government-led housing initiatives.
They further pointed to macroeconomic pressures, including inflation and foreign exchange volatility, as key drivers of rising construction costs, which continue to hinder affordable housing delivery.
According to stakeholders, heavy reliance on imported building materials has made the sector more vulnerable to economic shocks, calling for increased investment in locally sourced alternatives.
The meeting identified innovative building technologies such as hydraform as viable solutions for reducing construction costs and accelerating housing delivery across the country.
Participants also acknowledged the progress made under the MOFI Real Estate Investment Fund, which has disbursed over N97.6 billion for housing acquisition, urging housing corporations to leverage the fund for mass housing development.
While commending the Federal Government’s Renewed Hope Housing Initiative, stakeholders expressed concern over the unclear role of state housing corporations within the programme.
They urged the government to assign defined responsibilities to these agencies, noting that their proximity to local communities positions them to deliver affordable housing more effectively.
The stakeholders concluded that urgent reforms, stronger partnerships, and innovative financing models are critical to closing Nigeria’s housing gap while also driving economic growth and job creation.
