Homebase Mortgage Bank has received a major financial injection of N3.5 billion from the Ministry of Finance Incorporated (MOFI) under the Real Estate Investment Fund On-Lending Facility (MREIF). The move is expected to boost access to affordable housing for many low- and middle-income Nigerians.
He described the funding as a strong vote of confidence in the bank’s ability to support the government’s housing goals. According to him, the support from MOFI not only reflects trust in Homebase’s performance, but also equips the bank to scale its mortgage offerings nationwide.
“This recognition shows that the government believes in our competence and commitment to increasing access to affordable housing. With this funding, we will provide flexible mortgage loans to Nigerians, especially those in the low- and middle-income brackets,” Adigwe said.
He explained that with the support from the MREIF, Homebase would offer home loans at 12% annual interest with repayment terms stretching up to 20 years. He added that by combining this fund with the Family Homes Funds, interest rates for qualified homebuyers could drop even further, potentially to single digits—below 10%.
Mr. Adigwe said borrowers would need a 20% equity contribution to access mortgage loans of up to N100 million. He added that the bank would also work on expanding its reach by launching new initiatives that make the mortgage process more accessible.
Part of the plan includes digitising the mortgage application process to make it faster, more transparent, and easier for first-time buyers. The bank also intends to launch homeownership advisory programmes and financial literacy clinics, as well as hold community housing forums in major cities to raise public awareness.
“We are not just distributing loans; we are building lives and communities. Every naira we deploy from this fund will help create sustainable housing and improve the lives of families across Nigeria,” Adigwe said.
He called the MREIF fund more than just a cash injection, describing it as a “call to action” to help reduce Nigeria’s housing deficit through smart financing. He said Homebase Mortgage Bank is fully committed to using the funds to create real, measurable impact in the housing sector.
The Real Estate Investment Fund On-Lending Facility is part of a collaborative initiative from the Federal Government of Nigeria, led by the Ministry of Finance Incorporated in partnership with private sector stakeholders. Asset and Resource Management (ARM) Investment Managers serve as fund managers of the initiative.
The fund is designed to support the construction and ownership of homes through structured, low-interest loans to institutions capable of delivering real estate projects and expanding housing access. It aligns with President Bola Tinubu’s Renewed Hope Agenda, which prioritises affordable housing and improved living standards for Nigerians.
Through the MREIF, the government hopes to stimulate private sector investment in housing, lower the cost of mortgage finance, and improve access to home loans for Nigerians across different income levels. The funding comes at a critical time when the country is battling a high housing deficit, estimated at over 17 million units.
By injecting liquidity into mortgage institutions like Homebase, the government aims to encourage broader participation in real estate financing and reduce bottlenecks that often discourage potential homeowners.
Homebase Mortgage Bank is expected to play a frontline role in executing the goals of the MREIF by ensuring funds are channeled effectively to those who need them the most. Its plans to leverage digital technology, raise awareness, and support first-time homeowners are part of broader efforts to increase trust in the formal mortgage market and reduce Nigeria’s dependence on informal housing solutions.
