Mortgage

Abuja, Dec. 11, 2023: Some Retirement Savings Account (RSA) holders in the Federal Capital Territory (FCT), have decried the 25 per cent housing mortgage, saying it is low.

According to them, it won’t be enough to pay for a house, given the current economic realities.

They said this in an interview with the News Agency of Nigeria (NAN) on Sunday in Abuja.

A civil servant, Mrs Angela Ojo, said that the 25 per cent was low and the requirement needed was too much.

“I have about N3 million naira as my total pension savings and 25 per cent of that will be N750,000, which is low because buying a property in Abuja is from N15 million.

“ I am appealing that it should be raised to 50 per cent to encourage RSA holders,” Ojo said.

Another civil servant, Mr Olisa Uzor said a lot of us in my office will need professional explanation on the 25 per cent mortgage,” he said.

However, Amina Aminu commended the the National Pension Commission (PenCom) for setting the 25 per cent housing mortgage but wants it to be increased so that RSA holders with small savings could.

“This policy as it is, will only be enjoyed by the high earners with fat pension accounts,” she said.

A pension expert, Mrs May Uzor, said that the policy would address the housing deficit jn the country.

Uzor commended PenCom for allowing policyholders to use a fraction of their savings to acquire a home through a mortgage arrangement.

“With the new mortgage policy of PenCom, RSA holders can acquire their own homes with 25 per cent of their pension savings, and it will ensure that people acquire properties even before retirement,”

Uzo said that one of the outstanding provisions of the policy was that couples could apply together provided that they were individually eligible.

She said that PenCom had already released N3.1 billion to 187 RSA holders as 25 per cent of their contributions for mortgage.