Minister of Housing and Urban Development, has called on global investors in Saudi Arabia to take advantage of huge opportunities in Nigeria’s housing sector, specifically the Renewed Hope Cities and Estates Programme of the federal government.
A press statement signed by the Special Assistant Media and Strategy to the housing Minister, Mark Chieshe states that Dangiwa while speaking in a Panel Discussion at the Saudi Arabia Real Estate Forum yesterday, disclosed that Nigeria’s huge housing deficit offers enormous business opportunities, and the Renewed Hope Cities and Estates Programme serves as a low-hanging fruit for investors in the Middle Eastern to take advantage of and get good returns.
The Forum themed, “Balance and Innovation in the Real Estate Landscape” was held at the Four Points Hotel in Riyadh featuring esteemed panelists including HE Eng. Abdullah Al-Attiya, Minister of Municipality, Qatar, and HE Dr. Abdulla Muththalib, Minister of Construction, Housing, and Infrastructure, Republic of Maldives.
“Nigeria’s real estate sector contributed around 5.2% to the nation’s GDP in 2024, and will increase in market volume to $2.25 trillion by the end of 2025. Despite this, there is still tremendous opportunity for investment, especially in the Residential Real Estate segment. Nigerians need homes now more than ever and you can partner with the Nigerian government to deliver these houses at scale”.
“Nigeria faces an estimated housing deficit of 28 million units, a situation exacerbated by rapid urbanisation and migration. The government is tackling this by prioritising large-scale housing delivery through public-private partnerships, innovative financing, and government-led interventions. Additionally, efforts are underway to engage state governments in unlocking land for affordable housing projects, as difficulties in land acquisition continue to hinder progress,” he emphasised.
Speaking on the theme, Dangiwa set the context by emphasising that housing is a fundamental driver of economic growth, social stability, and national development. However, achieving a balance in the real estate sector between affordability and profitability means that the challenges of sustainability and cost efficiency, as well as policy and private sector incentives must be addressed.
Addressing the tension between affordable housing and profitability for developers, he acknowledged concerns that affordability often conflicts with commercial viability. “To counter this in Nigeria, the government is using incentives such as bankable offtake guarantees, facilitated land access, and low-interest financing to encourage investment in affordable housing.
The minister also touched on the subject of sustainability, stressing that energy-efficient buildings, the use of local materials, and smart construction techniques ultimately lower maintenance and operational costs. On this note, he said the Ministry is working with international partners like IFC EDGE to integrate green building practices into Nigeria’s housing sector through capacity building, technology transfer, and financial incentives.
He further assured the investors of the government’s commitment and actions towards enhancing the affordability of Nigerians to purchase homes through mortgage. Dangiwa pointed out that high-interest mortgage rates, which can reach up to 30 per cent per annum, have historically made homeownership difficult for many Nigerians. To address this, he said the government is expanding the Federal Mortgage Bank of Nigeria’s reach and recapitalising it with N500 billion to provide more accessible single-digit mortgage products.
“Additionally, collaborations with the Ministry of Finance Incorporated are in progress to leverage the Nigerian Capital Market and mobilise private sector funding for housing development. The Real Estate Investment Fund, targeting 12 per cent mortgage interest rates instead of the market’s 28-30 per cent, aims to provide bankable off-taker guarantees for developers”
“Meanwhile, rent-to-own schemes are being introduced to facilitate homeownership through flexible payment structures, including a rental assistance product that enables qualifying applicants to pay rent in monthly installments rather than upfront lump sums,” he added.
