FMBN Reviews Mortgage Lending Conditions to Improve Housing Access

The Federal Mortgage Bank of Nigeria (FMBN) is reviewing some of its existing lending conditions for primary mortgage banks and individual borrowers to improve access to housing finance.

The bank’s Managing Director, Shehu Usman Osidi, disclosed this at the 2026 Mortgage Finance Roundtable 2.0 organised by the Mortgage Banking Association of Nigeria (MBAN) in Abuja.

Osidi said the review is intended to make mortgage lending processes more flexible and responsive to current market realities while maintaining appropriate risk management standards.

He also said the bank is exploring a blended finance framework proposed by MBAN to strengthen mortgage funding and improve access to housing finance.

The FMBN managing director highlighted some of the bank’s existing housing finance products, including the Diaspora Mortgage Loan and its non-interest lease-to-own mortgage product.

He further disclosed that the bank is working towards introducing a Rent Assistance facility to expand its housing support options.

Discussions at the roundtable focused on improving access to mortgages, strengthening housing finance institutions and addressing structural challenges limiting homeownership in Nigeria.

The proposed review comes amid persistent affordability challenges in the housing market. High interest rates, limited access to long-term financing and strict mortgage requirements continue to prevent many Nigerians from accessing formal housing finance.

For prospective homeowners, changes to the lending conditions could make mortgage facilities more accessible, particularly if they result in more manageable qualification requirements and repayment arrangements.

However, the specific lending conditions to be reviewed and the timeline for implementing the proposed changes are yet to be established.