Following the economical crisis and level of hardship in the country, the Association of Housing Corporations of Nigeria has called on the state government to support initiatives aimed at providing affordable rent-to-own housing options for low and medium-income earners.
Dr Victor Onukwugha, the AHCN President, revealed this in Abuja, at a 2- Day workshop combined with the association’s 48th Annual General Meeting and 111th Council Meeting.
He reaffirmed an urgent need to reassess the challenges faced by the group that constitutes the majority of the citizenry and requires housing solutions.
Onukwugha said, these challenges include inadequate housing finance, a sluggish mortgage market, affordability issues, land administration complexities, and inconsistent housing policy implementation.
Rent-to-own is an innovative scheme that enables tenants to transition into homeownership by acquiring their houses and paying rent over a specified period.
The scheme benefits tenants who can not afford a down payment or secure a mortgage but want to work towards homeownership over time.
It provides flexibility and a pathway to eventual ownership while allowing tenants to live in and potentially invest in a property they may eventually own.
Onukwugha declared, “One critical area that is yet to secure adequate attention in the sector is the provision of organised rental housing, which ought to take care of those who are unable to afford outright purchase.
“To tackle the housing needs of the medium and low-income groups that constitute the majority of our citizens that require housing, there is an urgent need to find sustainable solutions to various bugging questions, such as inadequate housing finance to service both the demand and supply ends of the market, crawling mortgage markets, affordability questions, land administration quagmires, and instability of housing policy implementation, among others.”
He stressed the importance of sustainable solutions to tackle those challenges and outlined the need for partnership among stakeholders to address housing deficits and affordability concerns effectively.
He also raised concerns about the unnecessary duplication of duties between state housing agencies and ministries, which could lead to distraction, rivalry, and inefficient use of resources.
“Time and situation are changing, and we cannot afford to be doing things the way we were doing them in the past and expect to get results that will solve emerging challenges. Therefore, it is time to work together as stakeholders to holistically tackle our housing problems.
“The housing sector has potential that can be tapped for driving our economic recovery if only we choose to get our act together to tackle the housing deficit and affordability challenge. It is time to deviate from just talking without matching it with action.
“Stakeholders in the sector must embrace partnership options to help one another with strong advocacy groups to influence decisions at all levels of policy formulation and implementation, Onukwugha asserted.
He advocated for a focus on policy formulation and supervision by housing ministries, with agencies like the Federal Housing Authority empowered to lead mass housing initiatives across the country.
