While enrolling in the National Housing Fund program is not a tough procedure, it does need effort and attention to detail to prevent mistakes.
First, you must be a Nigerian to be eligible for the registration. The second need is that you have to be working, either as a freelancer or as an employee (in a private or public business).
According to the legislation, any Nigerian who meets the aforementioned requirements for pre-qualification must contribute 2.5 per cent of their base pay to the National Housing Fund (NHF). This is compliant with 1992’s NHF Act No. 3.
How to Register for the National Housing Fund Program
- Employers can fill out the NHF1, or employer registration form, which is provided by the Federal Mortgage Bank of Nigeria (FMBN), generally referred to as the Nigerian top bank.
- The NHF1 form is filled out by the employer and sent back to the FMBN office.
- While creating the employer’s registration number, the FMBN registers the employer using the information on the NHF1 form.
- FMBN provides the NHF2 form to the same employer, who can have their workers or independent contractors fill it out and return it.
- The workers fill out form NHF2 and send it back to their employer.
- The NHF2 is then given back to the Federal Mortgage Bank of Nigeria by the employer.
- The Federal Mortgage Bank of Nigeria then registers qualified workers using the information in NHF2 and assigns the employee’s participation number to the program.
- After that, a passbook is created and given to registered staff members. The employee’s monthly payment of 2.5 per cent of base pay is tracked and documented in the passbook.
- The employee immediately becomes a member and is eligible to take part in the National Housing Fund Scheme upon receiving the passbook. As a result, the employer will begin withholding the payments from employees’ paychecks every month, which will then be periodically sent to the Federal Mortgage Bank of Nigeria. After receiving contributions from self-employed or employee-owned businesses, the FMBN issues a receipt for each payment received.
What paperwork does the Federal Mortgage Bank of Nigeria (FMBN) require when applying for a loan?
- a completed copy of the NHF1, NHF2, and so on application form
- copies of the title papers for the property (such as the power of occupancy, deed of assignment, and certificate of occupancy). Additionally, building blueprints may be prepared for every scenario.
- Bills of Quantities (BOQ) in the event of a housing construction or redevelopment, or the current value report on the prospective property to be purchased. A registered estate surveyor and valuer must prepare, properly stamp, and sign the valuation report. A licensed quantity surveyor is also required to create the Bill of Quantity.
- To be seen at the FMBN office, a tax clearance certificate valid for at least three years must be submitted.
- It should be easy to verify documentation of National Housing Fund participation from any Nigerian Primary Mortgage Bank that has been certified by the government.
- Additionally needed is a photocopy of the pay stubs from the preceding three (3) months.
- A personal stake or equity contribution, depending on the loan amount requested, is necessary for the procedure.