Getting a mortgage in Nigeria is one of the easiest ways to own a home without paying the full amount upfront. However, many Nigerians are confused about how mortgages work, the requirements, and where to start. This guide explains how to get a mortgage in Nigeria in simple terms, even if you are a first-time homebuyer.
What Is a Mortgage in Nigeria?: Mortgage in Nigeria
A mortgage is a home loan given by a bank or mortgage institution to help you buy or build a house. Instead of paying cash, you repay the loan monthly over a long period—usually between 10 to 25 years—with interest. The property serves as security until the loan is fully paid.
Types of Mortgage Loans in Nigeria
There are two main types of mortgage loans in Nigeria:
1. National Housing Fund (NHF) Mortgage
This is a government-backed mortgage with lower interest rates. To qualify, you must contribute 2.5% of your monthly salary to the National Housing Fund. It is suitable for salaried workers.
2. Commercial or Private Mortgage
These mortgages are offered by banks and private mortgage institutions. Interest rates are usually higher, but the approval process can be faster and more flexible.
Requirements to Get a Mortgage in Nigeria
Most mortgage lenders in Nigeria will require:
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Valid means of identification (National ID, Passport, or Driver’s License)
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Proof of income (salary slips or 6 months’ bank statements)
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Employment letter or CAC documents for business owners
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Tax Clearance Certificate
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Passport photographs
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Equity contribution (down payment) of 10%–30% of the property value
Step-by-Step Process to Get a Mortgage in Nigeria
Step 1: Confirm Your Eligibility
Mortgage banks want to be sure you earn enough to repay the loan comfortably. Your monthly repayment should not exceed 30–40% of your income.
Step 2: Choose a Verified Property
The property must have valid land documents, such as:
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Certificate of Occupancy (C of O)
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Governor’s Consent
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Registered Deed of Assignment
Buying an unverified property is one of the biggest reasons mortgage applications fail.
Step 3: Pay Your Equity Contribution
This is the upfront payment you make. For example, if a house costs ₦20 million and the required equity is 20%, you must pay ₦4 million first.
Step 4: Submit Your Mortgage Application
You apply through a mortgage bank or a professional real estate consultant who understands the process and documentation requirements.
Step 5: Property Valuation and Legal Checks
The lender will assess the property value and verify all documents to ensure the house is worth the loan amount.
Step 6: Mortgage Approval and Disbursement
Once approved, the bank pays the seller directly, and you begin monthly mortgage repayments.
Common Mortgage Mistakes Nigerians Should Avoid
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Buying land without proper verification
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Using unregistered agents
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Overstretching your income
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Ignoring legal and survey checks
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Skipping professional advice
Why You Need Professional Help: Mortgage in Nigeria
Mortgage processing in Nigeria involves land verification, surveys, legal checks, and negotiations. A single mistake can cost you millions. Working with experienced professionals helps you avoid fraud, delays, and rejected applications.
Get Mortgage & Property Support with Tujax
Whether you want to buy land, secure a mortgage, verify documents, or handle land surveys, Tujax provides trusted real estate support across Nigeria.
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Frequently Asked Questions (FAQs) About Mortgages in Nigeria
1. What is the minimum salary to get a mortgage in Nigeria?
There is no fixed minimum salary, but most mortgage lenders require that your monthly repayment does not exceed 30–40% of your income. The higher your income, the higher the loan amount you can qualify for.
2. How much deposit do I need for a mortgage in Nigeria?
You typically need an equity contribution of 10% to 30% of the property value. For example, if a house costs ₦25 million, you may need to pay between ₦2.5 million and ₦7.5 million upfront.
3. How long does mortgage approval take in Nigeria?
Mortgage approval in Nigeria usually takes 4 to 12 weeks, depending on the lender, your documents, and how fast property verification and legal checks are completed.
4. Can a self-employed person get a mortgage in Nigeria?
Yes. Self-employed individuals can get a mortgage by providing business registration documents, tax clearance certificates, and bank statements to prove steady income.
5. What documents are required for a mortgage in Nigeria?
Commonly required documents include:
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Valid ID
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Proof of income or bank statements
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Employment letter or CAC documents
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Tax Clearance Certificate
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Passport photographs
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Property documents such as C of O or Governor’s Consent
6. What interest rate do Nigerian mortgages have?
Mortgage interest rates in Nigeria vary. NHF mortgages have lower rates, while commercial mortgages usually have higher rates depending on the bank and loan duration.
7. Can I use land without C of O for a mortgage?
Most banks prefer properties with C of O or Governor’s Consent. Land without proper documentation is often rejected because it increases legal risk.
8. What happens if I fail to repay my mortgage?
If you consistently fail to repay your mortgage, the lender has the legal right to repossess the property to recover the loan. This is why proper financial planning is important.
9. Is buying a house with a mortgage cheaper than paying cash?
A mortgage makes homeownership easier, but you usually pay more over time due to interest. However, it allows you to own a home immediately instead of waiting many years to save cash.
10. Who can help me with mortgage processing and property verification?
Working with trusted real estate professionals helps you avoid fraud, document issues, and delays.
👉 Tujax assists with land verification, surveys, buying and selling of properties, and mortgage support.
Chat with Tujax on WhatsApp: https://wa.me2348111055633
