FMBN Construction Loan

FMBN Construction Loan

Lender

Federal Mortgage Bank of Nigeria (FMBN)

Eligibility

The applicant must be a contributor to the NHF scheme.
The applicant must possess a land title (C of O) which must be in the name of the individual
The applicant must possess approved building plan by the appropriate authority; Drawings and Bill of
Quantity certifies by registered professionals.
The construction work should be phased and documented in a work plan (30-30-40)
Construction period of Six (6) months for bungalow and 8 months for duplex
Personal stake of 10% of the cost of the construction must have been utilized on the project before
applying for the construction loan and must have been confirmed by the Bank’s professionals. Cost of
plot and fence not part of it.

Loan Limit

Maximum Limit: 90% of the cost of the project

Interest Rate

Interest rate on the loan is 7% on annuity basis to the individual applicant

Max Tenor

The repayment period is a maximum of: 15 years

Security Required

Security for the loan shall be the title to the Land of application and insurance policy by the applicant
(letter of consent and undertaking for direct debit to be written by the employer)

Documents Required

Disbursement of the loan shall be done in tranches to the applicant based on the agreed work plan
and BOQ (30-30-40)
Regular monitoring of the project by the designated FMBN staff in the State office in conjunction with
the State Coordinator and report to the Head Office on a weekly basis.
The Project Finance Group is to coordinate the disbursement of the loan and monitor the project.
The applicant is to pay a non-refundable fee of N100,000.00 (One Hundred Thousand Naira) only for
Application form, Legal Search, Valuation & processing fee.

Approval Time

The turnaround time of the loan process is 77 days

Thinking About Repayment Plan?

Calculate the monthly payment and overpayment for the loan
10 00010 000 000
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