LagosHOMS: Why we introduced Rent-to-Own – commissioner

Lagos State commissioner for housing, Gbolahan Lawal, on Monday explained why the state government was opting for the Rent-to-Own arrangement in the sales of the housing units constructed under the Lagos Home Ownership Mortgage Scheme.

Lawal said the decision was to give low- and middle-income earners the opportunity to also access the housing units, but added, however, that the monthly draws through which winners emerged for the LagosHOMS as was the case in the last administration had been put on hold while the government was increasing the housing stocks to ensure the sustainability of the scheme.

He said the full list of the costs of the different housing units under the scheme would soon be unveiled to the public.

“The rent-to-own policy has come into effect having been approved by the Lagos State Executive Council. The policy is aimed at making housing more accessible and affordable, particularly to low- and medium-income earners in both the formal and informal sectors. Under the arrangement, individuals are required to pay 50 percent of the value of the housing unit as commitment fee and payment is spread over 10 years at 6 percent interest rate,” said Lawal.

Lawal also disclosed another initiative called “Master Craftsmen Project,” intended to redress the dearth of skilled workers, including masons, carpenters and plumbers, among others, in the building industry.

He said about 4,000 craftsmen would be trained over a period of four years and the state government would provide them with basic tools and equipment.

“It will appear that the Nigerian housing and construction industry is becoming more and more dependent on foreigners to fill the gap created as our trained artisans gradually age out and insufficient new ones are being trained to replace them,” he said.

Lawal said that the project was government’s intervention in collaboration with relevant professional bodies.

“Under the programme, a craftsman may be attached to a reputable building construction company or assigned to the numerous housing projects of the state government for a specified period to undertake skill capacity building after an initial training at our centres,” he said.