BY Mashe Umaru Gwamna
Federal Mortgage of Bank of Nigeria (FMBN) said it has introduced the FMBN Homes Renovation Loans (FHRL) as a new product which will affords Nigerians an opportunity to access mortgage loans for the renovation and improvement of their existing homes which are personally owned by the individuals or through family ownership.
The bank in a statement said the new product is specifically designed for Nigerians who are contributors to the National Housing Funding (NHF), desire to renovate and improve existing properties.
The statement further explained that the maximum loan shall be N1, 000,000.00(one million naria) only subject to the income limit of the beneficiary as well as the ultimate cost of renovation.
Consequently, the statement added that the loan tenor is a maximum of five (5) years and employment‘s remaining years of service, whichever is less, monthly repayment shall not exceed 331/3% of the applicant’s monthly salary /income and the interest rate shall be 6%for the duration of the loan and the loan can be taken once in five (5) years among other conditions.
Mean while, the bank stated beneficiaries and eligible to apply for NHF loans for homes purchase after fully liquidating a home renovation loan earlier taken.