LIMITED FUNDS? NO PROBLEM! INTRODUCING THE PWAN STARS EASY PAY SCHEME, OUR LATEST ALTERNATIVE TO THE NATIONAL HOUSING FUNDS (NHF)

Investing in real estate in Nigeria offers several opportunities for investors to build their wealth legitimately. But this requires the implementation of proper planning and sound financial strategies. One of the most popular strategies for real estate investment is home ownership, and due to its high capital requirement, there are several financing options to help a would-be investor achieve his home ownership dreams.

One of the options is the National Housing Fund or NHF, which until now, offers probably the options for Nigerians to own their own properties making installment payment…until PWAN Stars introduced the Easy Pay Scheme, which I will explore in details. But first, let’s start by exploring how you can own properties with the National Housing Fund in Nigeria, especially for those who are open to all options.

The National Housing Fund (NHF) was established in Nigeria to promote home ownership among Nigerians by providing them with affordable housing finance, which allows contributors to access loans for building, purchasing, or renovating homes.

National Housing Fund (NHF) by its design is a scheme to which all public servants and employees in the organized private sector within the country are expected to contribute 2.5% of their monthly salary to Federal Mortgage Bank of Nigeria, managers of the fund. They are then qualified to take loans, which they can pay over a long period of time, to fund their home ownership dreams.

Key Features of the NHF:

The NHF, which was established to encourage home ownership by many Nigerians has the following features:

Eligibility: To be eligible for the NHF loan, a contributor must be above the age of 18 and must have contributed to the Fund for a period not less than twelve (12) months. The applicant must have satisfactory evidence of a regular flow of income to guarantee loan repayment.

Monthly Contributions: Contributors are required to make monthly of at least 2.5% of their monthly salary. These contributions build a savings base that can be leveraged for loans.

Loan Amounts: The NHF provides loans of up to 50 million Naira, depending on the contributor’s savings and the housing project’s requirements.

Application: Individuals can only apply through a duly licensed and accredited Mortgage Bank of their choice and not directly to the FMBN.

Requirements for accessing an NHF Loan

·          Open a savings account with a registered Mortgage Bank

·          Contribution to the fund for at least six months prior to application.

·          Have satisfactory evidence of regular flow of income to guarantee the loan.

·          Submit photocopies of valid title documents (e.g. C of O).

·          Approved survey/site plans

·          Approved building plans

·          Priced Bill of Quantities where applicable

·           Valuation report prepared by a firm of registered surveyors and valuers where applicable

·          Three years tax clearance certificate

·          Letter of consent to mortgage to your chosen PMB

·          Completed prescribed mortgage loan application form

·          Evidence of NHF participation

·          Copy of pay slips for the previous three months

·          Equity contribution of personal stake of 30 percent, on the loan amount applied for; applicants can access up to N50m.

·          Offer letter/Acceptance and Allocation letter (in case of government projects)

·          In case of registered self-employed applicant, a copy of Articles and Memorandum of Association and a copy of Certificate of Incorporation as evidence of employment status must be submitted.

What are the benefits of getting a Federal Mortgage Loan in Nigeria?

There are some benefits you can gain by getting a federal mortgage loan to buy properties in Nigeria. They include:

1. It comes with a housing loan of up to 90% of the cost of the house.
2. They fix the interest on the mortgage loan at 6% p.a. throughout the life of the mortgage.
3. It has a long period of repayment tenure of up to 30 years.
4. Contributions can help provide greater retirement security.
5. You can borrow up to N50 million.
6. Refunds with 2% interest on retirement.
7. The loan repayment is comparable to a regular monthly rent payment.
8. A lifetime registration number, a passbook for personal contribution recording, and an account statement are what they provide for each contributor.

But we have now introduced an alternative option with the PWAN Stars Easy Pay.

What Is PWAN Stars’ Easy Pay Scheme?

The PWAN STARS Easy Pay scheme is a scheme, which allows people to buy a new home by paying just a deposit and the balance is covered by a mortgage from PWAN Stars mortgage partners and also from a special fund known as the Family Homes Funds (Help to Own).

The PWAN Stars Easy Pay Scheme is open to any Nigerian whether in paid or self-employment who is 18 years old and above, especially first-time home buyers that do not own any property anywhere in the world. Such interested Individuals would be able to take a mortgage loan to finance property acquisition to the tune of up to N70m, for a maximum tenure of 20 years at an interest rate ranging from 12% – 17%. Great deal, right? 

Furthermore, the PWAN STARS Easy Pay allows you to buy a home off plan at any time, provided your mortgage offer is valid through the completion of the project. However, such individuals must be able to provide the required deposit and take responsibility for extra fees that would be discussed in the transaction.

Process Flow for Owning your property through the PWAN Stars Easy Pay

Like the NHF, the PWAN Stars Easy Pay Scheme has a clear process of establishment.

➢ Indicate interest in your desired property by contacting the PWAN Stars either directly or through one of our registered realtors

➢ Fill the necessary documentation (including opening an account with PWAN Stars’ partner mortgage bank

➢ Make a deposit as your equity contribution to the Company’s designated building account.

➢ After all conditions have been met, the mortgage partner and FHF will cover the majority of the home’s cost, thereby paying for the home and handing over the keys to you, and voila, you are a home owner!

The Mortgage Provider Partner

Every Easy Pay Scheme transaction has a mortgage provider that carries out the following services:

➢ Works on behalf of FHF to signpost potential buyers towards Easy Pay Scheme.

 ➢ Carry out eligibility and sustainability check on applicants.

➢ Guide buyers through the process of securing mortgage to buy a home and issue the approvals to lawyers on buyers’ behalf.

Acquiring PWAN Stars products through the Easy Pay Scheme

Leveraging on this option, PWAN STARS has made life easier for investors and aspiring home owners who wish to enjoy the convenience of monthly payment to acquire their desired properties. You can acquire any of our properties at PWAN Stars, including The Statement Residences and The Cynosure Apartments, amongst others, if you fulfil the conditions, which include being a Nigerian in paid or self-employment, and 18 years old and above, then you are on your way to acquiring your property.

With the Easy Pay (FHF) you are better placed to invest in, for instance, The Cynosure Apartments by paying as low as N150k monthly, subject to terms and conditions reviewable from time to time by PWAN Stars.

The Cynosure Smart Apartment is a product of PWAN Stars located Off Monastery Road, Sangotedo, Lagos, Nigeria. The apartment, which features state of the arts facilities, is located in a safe and secure environment and designed for optimal ease, comfort and function.

A standout feature of the Cynosure Smart Home Apartments is its smart home automation system. This cutting-edge technology allows residents to control various aspects of their home, such as lighting, heating, and security, through their smartphones or other devices.

Imagine being able to adjust the temperature in your apartment or check on your security cameras from anywhere in the world – that’s the kind of convenience and peace of mind the smart home system offers. This is in addition to the access to fully-equipped gym on-site as well as the 24/7 provision of wifi internet access to residents.

Guess what? All these come at a price that will blow your mind away. For instance, a semi-finished 1 Bedroom Apartments costs N27 million, 2 Bedroom Apartments cost 39 million with negotiable monthly installment payment option.

With the PWAN Stars Easy Pay Scheme, you could be well and truly on your way to fulfilling your home ownership dreams without much sweat.

Do you have more questions or are interested in acquiring one of our products through the Easy Pay, do well to contact us immediately and we shall be glad to guide you.

Frequently Asked Question