Lagos State Governor, Mr. Babatunde Fashola, (SAN), on Tuesday introduced a “rent- to -own” scheme, under the Lagos Home Ownership Mortgage Scheme, (LagosHOMS).
Fashola, who announced the development at an interactive session with tradesmen and artisans, held at the Blue Roof LTV 8, Agidingbi, Ikeja, said the development was geared to accommodate artisans in the scheme.
He explained that under the new scheme, intended home owners do not need to pay the 30 percent down payment before they can move into their apartment.
He said, “We have initiated a rent-to-own scheme. The scheme will allow artisans and traders to access Lagos Homs. The artisans do not have to pay 30 percent down payment before they move to their apartments. The moment they are qualified for the scheme, they will be allowed to move in under the rent-to-own scheme.”
He explained that the beneficiary will be paying rents, which eventually lead to mortgage at last.
“But in an instance where a beneficiary loses his job and cannot continue with the scheme after some years, such a person will get back all he has paid. Already, another person is waiting to buy the apartment,” he stated.
The governor said investigations carried out recently revealed that most people in the informal sector could also afford the mortgage scheme, going by their monthly income and profit.
He urged the artisans to take advantage of the development and apply for their choice homes in the scheme,
“The artisans and traders are always a part of our policies and programmes. Perhaps, I think people might not know what role they have to play when a programme was newly introduced.
“We sent people to the artisans’ work places. There are so many issues; especially the challenges of security have made it auspicious to deal with everything together. We have done a lot of research also to find out if our pricing was what artisans and traders can afford.
“We have found that many of them are within the same income bracket that enables them to own a home. What we need to do is how to help them order their record keeping in such a way as to qualify because artisans and traders do not earn their money monthly on the same scale employees do,” the governor said.[The Nation]