Sterling Bank has partnered with the Ministry of Finance Incorporated Real Estate Investment Fund (MREIF) to launch a new mortgage scheme that allows Nigerians to borrow up to ₦100 million at an interest rate of about 9.75 per cent to buy homes.
The initiative is designed to expand access to affordable housing finance and reduce the barriers that have long prevented many Nigerians from owning homes.
The partnership agreement was formalised at Sterling Bank’s headquarters in Lagos and forms part of broader efforts to address Nigeria’s significant housing deficit by making long-term mortgage financing more accessible.
Under the scheme, eligible applicants can access mortgage loans of up to ₦100 million with a repayment tenure of up to 20 years. The facility is structured with a fixed interest rate of approximately 9.75 per cent per annum, providing borrowers with predictable repayment terms over the life of the loan.
To make the scheme more accessible, the financing will cover up to 90 per cent of the property value, meaning applicants are only required to provide a 10 per cent equity contribution to secure a home.
The mortgage programme is open to a wide range of Nigerians, including salary earners with verifiable income, business owners with documented financial records, and Nigerians in the diaspora. Both existing Sterling Bank customers and new applicants across the country are eligible to apply.
Speaking on the significance of the collaboration, the Vice President of Consumer Banking at Sterling Bank, David Adebayo, said the initiative is aimed at making homeownership more attainable.
“This collaboration reflects our commitment to providing patient capital that enables more Nigerians to own homes sustainably.
“By combining competitive pricing with longer tenors and high loan-to-value ratios, we are lowering the barriers to homeownership and strengthening financial inclusion,” Adebayo said.
Mounir Bouba, Executive Director of ARM Investment Managers, the fund managers for MREIF, said the partnership highlights the role of collaboration between the public and private sectors in expanding access to mortgage financing.
“This MoU aligns with broader efforts to make mortgages more affordable and accessible at scale.
“Through strategic partnerships such as this, we can catalyse private capital, deepen the mortgage market and drive structured solutions to Nigeria’s housing challenge,” Bouba stated.
Bouba also noted that the mortgage facility is expected to expand over time as demand grows, revealing that the fund begins with an initial ₦10 billion commitment designed to support mortgage lending and strengthen housing finance across the country.
