Pan-African real estate development firm, Mixta Africa, has expressed support for the Federal Government’s proposed reforms of the housing sector, saying the measures could strengthen buyer protection and boost confidence in Nigeria’s housing market.

Addressing journalists in Lagos on the proposed National Housing and Built Environment Regulation Policy and National Housing Industry Regulatory Commission, the firm’s Chief Commercial Officer, Tola Akinsulire, said licensing and escrow protection were important interventions in a market where homebuyers had often carried significant risks.

“We welcome the direction of the Federal Government and believe it can materially strengthen confidence in the housing sector,” he said.

Akinsulire, however, stressed that escrow arrangements must be supported by effective project monitoring and independent verification to ensure that funds were released only when agreed construction milestones had been achieved.

He said construction milestones linked to escrow releases should be independently verified by qualified building professionals, with clear certification standards and a verifiable audit trail. According to him, the issue is not only where a buyer’s money is kept, but also the evidence required before the funds can be released.

“Independent verification creates a clear link between construction progress, fund release and accountability,” he said.

Akinsulire said buyer protection should be accompanied by measures to expand access to construction finance, noting that off-plan payments had historically provided part of the working capital used by credible developers to deliver housing projects.

He explained that if access to such funds became more restricted under the proposed regulatory framework, developers would require alternative sources of appropriately structured and competitively priced construction finance.

“Escrow can protect the homebuyer, but escrow on its own does not finance construction. We need to protect buyers while ensuring credible developers can continue to finance and deliver the homes the market needs,” he said.

The firm called for continued engagement among government, financial institutions, developers and professional bodies to establish a regulatory framework that balances strong buyer protection with effective project governance and sustainable construction finance.

Akinsulire said the company supported the ministry’s direction but stressed that translating the proposed reforms into practical and enforceable standards would be critical to their success.

He said such measures could help create a more transparent, investable and sustainable housing sector while ensuring that regulation did not inadvertently constrain the supply of new homes.

“The company supports the ministry’s direction and believes that translating the proposed reforms into practical, enforceable standards will be critical to building a more transparent, investable and sustainable housing sector without constraining the supply of new homes,” he said.