FG Loan: How Nigerians Can Apply to Buy, Build a House with 6% Interest Rate and 30-Year Repayment Plan

The Federal Mortgage Bank of Nigeria (FMBN) provides a pathway for eligible citizens to finance homeownership through its National Housing Fund (NHF) Mortgage Loan. This facility allows contributors to purchase, build, improve, or renovate a home with a current maximum loan amount of ₦50 million.

The loan comes with a concessionary interest rate of 6% per annum, significantly lower than commercial rates, and offers a repayment period of up to 30 years. The FMBN facilitates this through accredited Primary Mortgage Banks (PMBs), with the property itself serving as security for the loan.

To qualify, applicants must be Nigerian citizens aged 18 or older and have made continuous NHF contributions for at least six months. A stable source of income is essential, with loan affordability assessed based on a maximum of one-third of the applicant's income. The property's value also plays a role, with individuals typically not receiving more than 90% of its cost or value.

While older documents might reference a ₦15 million limit, the FMBN's current product page states up to ₦50 million is accessible, subject to affordability and lending conditions. Applicants are advised to rely on the latest terms provided by FMBN and their chosen mortgage institution. The loan is designed to offer longer repayment terms and a favorable interest rate compared to conventional commercial mortgages.