- Anyone who is 18 years and over.
- First time home buyers that do not own property anywhere in the world.
- Individuals who can provide a minimum deposit of 10% of the purchase price and take responsibility for any associated fees.
- Anyone who earns between N500k to N1.7m yearly.
Help to Own is a product of Family Homes Funds Ltd that contributes 40% of the total cost of new homes for low-middle income individuals as a loan which requires no repayment in the first 5 years after which monthly payments are made starting from an interest rate of 3% rising gradually to a maximum of 15% in the 20th year.
How it Works
Step by Step Guide
Who can take part in this scheme?
– First-time home buyers.
– Households with income of 500k – N1.7 million per annum.
– Applicants must have access to 10% minimum deposit of full purchase price.
Can I own other homes and still access this mortgage?
– No, Help to Own is applicable to first time home buyers only.
Can I rent out my Help to Own home?
– No, you cannot rent out your Help to Own home as it is expected that you reside there.
What does the Help to Own Mortgage provider partner do?
– Works on behalf of FHF to signpost potential buyers towards Help to Own schemes.
– Carry out eligibility and sustainability check on applicants.
– Guide buyers through the process of securing a mortgage to buy a home and issue the approvals to lawyers on buyers’ behalf.
Can I use my Help to Own home for commercial purposes?
– No, the property must be for residential use
by buyers only
What is the collateral for this loan?
The property for which the loan is sought shall serve as security for the loan.
What is the expected profile of recipients of the Help to Own loan scheme?
– Age profile to meet the requirements of mortgage providers.
– Household size should consist of couple and families ranging from 2 to 8 persons.
– Lower cadre or middle income civil or public servants, low income staff working in the private sector or those working in the informal economy that meet the standards of our partner mortgage institutions.
– Household earning between N500,000 to N1.7 million annually.
Primary first-time home buyers.
– Individuals or households currently renting privately.
Can I renovate my Help to Own home after buying?
– Yes, however no structural changes or alterations should be made to the external structure
Can I buy a home off plan?
– Yes, you can reserve a new home off plan at any time. You also need to ensure that your mortgage offer is valid through to legal completion.
What are additional fees I have to pay?
– There is a requirement that the mortgage advisor and FHF provide you with a schedule of all fees payable prior to the purchase.
Can I sublet my Help to Own home?
– No. Help to Own is designed to assist you to move on to or up the housing ladder. If you wish to sublet, you will first have to repay the Help to Own equity loan assistance.
What if I die after purchasing a Help to Own Home?
– It is recommended where there are two or more owners, that they seek independent legal advice about this.
What are the monthly costs of Help to Own?
Typically, every month, you will be required make payments on the loan which include;
– Repayments of principal and interests to mortgage lenders.
– After five years, interest interest and principal payment on the Help to Own loan.
– Service charges, if you buy a house or flat with shared areas that require maintenance.
– Credit Life and Fire Insurance.