GDL seeks to finance 1.5 million new homeowners in 15 years
![Executive Vice Chairman Growth & Development Limited, Kola Ayeye, left; Former Chairman, Access Bank Plc; Dr Dere Awosika; Divisional Managing Director, GDL Finance and Leasing Ltd, Ofonama Joshua; General Overseer, Guiding Light Assembly, Wale Adefarasin; Management Consultant; Adedotun Salaiman; Board Chairman, GDL, Dr Nadu Denloye; Executive Director, Federal Housing Authority Ezekiel Nya-etok and Immediate Past Managing Director, Wema Bank Plc. Ademola Adebise at the GDL launch of the HouseMoni Homefinance Plan in Lagos…recently.](https://guardian.ng/wp-content/plugins/ventra-lazy-load/images/1x1.trans.gif)
SET to revolutionise home ownership financing in Nigeria, a renowned financial institution committed to providing innovative financial solutions to Nigerians, Growth and Development Limited (GDL), has rolled out HouseMoni, a rent-to-own homeownership scheme.
The financial services group said this scheme was designed to address the dearth of appropriate financing for homeownership in Nigeria, offering a financially sustainable path to owning a home. With a goal of financing up to 1.5 million new homeowners over 15 years, the group wants to make homeownership a reality for more people.
Head, GDL’s Impact Business and Divisional Managing Director, GDL Homes, Yemi Adekoya, said the scheme has two categories, Classic and Community. Under the Classic option, customers can save for 42 months and get three times the amount saved to purchase the house of their choice. “For the community option, customers save for 60 months and after meeting certain criteria, we would build a community of houses for between 10-25 people. When you save for a period of time, you can access it after a fixed date. Savings start from N80,000 and go up to 1.2 million,” he divulged.
He said as soon as payment is completed, the title transfers immediately to the customer. “We offer a competitive, low interest rate of 9.9 per cent fixed for the entire 15-year term, ensuring financial stability and predictability. HouseMoni has a payment plan of 15 years comprising three years and six months of savings after which financing is provided by us and is repayable over a maximum of 11 years and six months.”
He said subscribers can utilise their regular income, Retirement Savings Accounts (RSAs), windfall income or even rent payments to contribute towards ownership. “Homeowners are insured against incidences like death or job loss and if you change your mind or lose your job and cannot meet up payments, we will charge a small administrative fee of 10 per cent and return your contribution to you,” he said.
Lagos State Commissioner for Housing, Moruf Akinderu-Fatai, said they wish to collaborate with more players in the private sector like GDL, in financing affordable homes for residents. Adding that they have delivered 19 schemes in the last five years with some ongoing projects, he said their goal is rent-to-home for first-time buyers and wish to work with the private sector to deliver this. He said they are working with financial institutions to provide housing at 10 per cent interest.
Executive Vice Chairman, GDL, Kola Ayeye, said to foster growth and prosperity, “we must ensure capital is equitably distributed among all contributors and HouseMoni represents our commitment to creating a financial system that works for all. Financial institutions have a crucial role to play in deploying capital for shared prosperity and this role cannot be achieved without an adequate home ownership financing system.”
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