Nigeria needs N14 trillion to effectively address housing challenges, Chairman of the Lagos Home Ownership Mortgage Scheme Committee, Mr. Olasupo Shasore (SAN) has said.
Shasore spoke yesterday in Alausa, Ikeja, at a seminar on Tenancy Laws, Arbitration Rules and Mortgage Bill.
He said approximately 14 million houses are needed across the country and each unit would cost N3.5 million.
Shasore said: “In spite of the adverse effect of housing deficit on the nation’s economy, it is not receiving the required assistance from the mortgage finance sector.
“Mortgage finance contributes just 0.5 per cent to the country’s Gross Domestic Product (GDP). This is relatively low when compared to other developing countries. It contributes 10 per cent in Mexico, 25 per cent in Malaysia and 29 per cent in South Africa.”
Assessing the mortgage scheme of the Chief Lateef Jakande administration, Shasore said it was affordable for residents, but was not sustainable due to the huge debt incurred by the government.
Commissioner for Housing Bosun Jeje said: “Stakeholders are now more willing to invest in housing in Lagos, but the activities of some charlatans in the sector can be exploitative if left unchecked.
“We shall continue to enforce all laws guiding mortgage and tenancy. The housing sector is at the threshold of repositioning, both in terms of mortgage administration and the tenant-landlord relationship.
“Government is working towards institutional and legal frameworks to strengthen the sector.
“These reforms will ensure fairness among tenants and landlords, between the mortgagee and mortgagor, and allow for quick resolution of conflicts that may arise from transactions through the arbitration rules.”
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‘Nigeria needs N14trn to fix housing’