3rd March, 2014
Kazeem Ugbodaga
The first draw for the Lagos Homes Ownership Mortgage Scheme, HOMS, will hold tomorrow at the Blue Roof, Lagos Television, Ikeja, Lagos, southwest Nigeria by 11 am.
Governor Babatunde Fashola had in January 2014 unveiled the HOMS project, announcing that the first 200 beneficiaries would get their homes in March
On the first historic draw, 95 Lagosians will vie for houses in housing schemes in Abijo, Agege, Igbogbo, Odoragunshin, Ojokoro and Shitta.
While 32 people will take part in the draw for three-bedroom flat at Shitta Scheme, another 28 will vie to be owners of two bedroom flats in the same scheme as only two people are contesting for one bedroom in the same scheme.
At the Oba Lateef Adams Iloro scheme, 17 people will slug it out in the draw for three bedroom apartment; two people for three bedroom apartment at CHOIS Garden; one person for the Alhaja Adetoun Mustapha Ojokoro scheme and four people for the Hon. Olaitan Mustapha Ojokoro Scheme.
Before the end of March, 200 new home owners will have emerged in the HOMS project, the first in Nigeria.
The Lagos HOMS is being managed by the Lagos State Mortgage Board, which has the Commissioner for Finance, Lagos State, Mr. Ayo Gbeleyi as the chairman.
The HOMS, which is aimed at aiding Lagosians acquire home, has a 10 years minimum tenor for repayment and a maximum of 20 years for payment.
For each of the scheme, a down payment of 30% of the cost of the property is expected to be paid by the individual who will pay back the remaining 70% within 10 to 15 years period.
Under the HOMS project, there is 70% facility contribution by participating banks with a 9.5% interest rate, while fees of N10,000 will be paid as administrative charge.
Under the scheme, repayment shall be an equal periodic principal repayment (Interest to be paid on reducing balance) or an equal monthly installment of both principal and interest. The Deed of Mortgage shall act as security over the property to be acquired.
Beneficiaries must be residents of Lagos State, under the age of 60 years with a verifiable means of income and must be credit worthy. Successful applicants are expected to pay 30% of the value of the house they intend to purchase. Houses purchased under the scheme must be occupied by the beneficiary and cannot be transferred or rented out until all obligations have been fulfilled.
Beneficiaries are to pay 9.5% interest rate on the mortgage loan and they must have been working for their current employer for at least six months (and must be confirmed by employer), while an applicant to benefit from the scheme must be first time home buyers.