The Federal Mortgage Bank of Nigeria (FMBN) has launched a non-interest mortgage product to help eligible National Housing Fund (NHF) contributors access homes through lease-to-own.
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Known as Ijarah Muntahia Bittamleek, the product was formally unveiled by the Minister of Housing and Urban Development, Muttaqha Rabe Darma, at Tahir Guest Palace in Kano.
The Kano State Government, represented by the Commissioner for Housing, Ibrahim Yakubu Adamu, called the launch a housing finance milestone and pledged state support for FMBN.
The minister urged FMBN to make applications simple, processing swift, transactions transparent and delivery nationwide. He said its success should be judged by the number of Nigerians who become homeowners, rather than the launch itself.
Darma called on the bank to expand the initiative beyond Kano to cities including Lagos, Port Harcourt, Enugu, Ibadan, Maiduguri, Sokoto and Abuja.
At the event, FMBN also commissioned the FMBN-Ijarah-01 Estate in Bichi, Kano State, for the product’s pilot implementation and handed over keys to its first beneficiaries.
Developed by AYAB Construction Company, the estate consists of two- and three-bedroom bungalows with essential infrastructure. The minister said completed houses must reach the people they were built for, saying housing must move beyond announcements.
FMBN Managing Director and Chief Executive, Shehu Usman Osidi, said the product provides an alternative for contributors who prefer financing without conventional interest. Under the arrangement, customers occupy a property through a lease and, subject to agreed terms and fulfilment of contractual obligations, ownership is transferred at the end.
Osidi said the product is not limited to a particular religion or region. It aims to broaden finance options and financial inclusion. It follows the bank’s launch of the FMBN Diaspora NHF Mortgage Loan in August 2026.
Who may benefit?
- Eligible contributors to the National Housing Fund (NHF).
- Informal-sector workers, including artisans, market traders and transport workers, who register and contribute to the NHF.
- Nigerians seeking an alternative to conventional interest-based mortgage financing.
FMBN encouraged eligible Nigerians to register with the NHF and make regular contributions to qualify for housing finance opportunities. It urged contributors to explore its products.
The product’s detailed terms, eligibility conditions, application steps and availability beyond the pilot estate were not specified in the announcement. Prospective applicants should confirm the requirements directly with FMBN before making financial commitments.
The minister urged FMBN to make the scheme accessible to Nigerians across income groups and ensure implementation produces measurable results. He called for stakeholder collaboration to support housing delivery nationwide.
How to apply
- Register with the National Housing Fund through FMBN if you are not already a contributor.
- Make regular NHF contributions to maintain eligibility for housing finance.
- Contact FMBN through its official channels to ask about Ijarah Muntahia Bittamleek, current eligibility criteria, property availability, payment terms and application procedures.
- Confirm all terms and costs with FMBN before signing an agreement or paying any fees.
