How to Buy Your First Home in Nigeria with Only 10% Down Payment (MREIF Guide)

If you’ve been told that buying a home in Nigeria requires 20% down payment, a commercial bank mortgage at 24-28% interest, and three months of waiting for approval — you were given the old rules. As of August 2025, those rules have fundamentally changed.

The Ministry of Finance Incorporated’s Real Estate Investment Fund (MREIF) now requires just 10% down payment and offers a fixed 9.75% interest rate for up to 20 years. This isn’t a marginal improvement. It opens homeownership to income brackets that were previously locked out.

Here’s how it works, who can use it, and where you should look on PropertyPro.

The Old Reality vs. The New One

Before MREIF reforms:

• Down payment: 20% minimum
• Interest rate: Commercial banks typically charged 24-28%+
• Repayment period: Variable, often shorter effective terms
• Funding source: Salary or personal savings only

After MREIF reforms (August 2025 onward):

• Down payment: 10% minimum
• Interest rate: Fixed 9.75% for the full term
• Repayment period: Up to 20 years
• Funding source: Salary, personal savings, OR your Retirement Savings Account (RSA)

To put this in numbers: on a ₦100 million home, you now need ₦10 million upfront instead of ₦20 million. At 9.75% fixed over 20 years versus a 24-28% commercial rate, your monthly payment could be hundreds of thousands of naira lower.

Who Qualifies?

MREIF targets:

• Nigerians both at home and in the diaspora
• Individuals with verifiable income (employed, self-employed, or formal business)
• People who have subscribed to the National Housing Fund (NHF) — though MREIF’s terms are designed to be more accessible than traditional NHF mortgages

The scheme is managed by ARM Investment Managers and backed by ₦250 billion in government capital. As of late 2025, over 700 Nigerians had already secured homes through it, with the fund expanding to all six geopolitical zones.

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How to Access MREIF

The process works like this:

1. Visit the MREIF portal at arm.com.ng/mreif to review current property offerings and eligibility.
2. Choose your property — you can select from properties already approved in the MREIF portfolio or submit a property for consideration (subject to approval).
3. Submit your application with required documentation: proof of income, NHF subscription evidence, and identification.
4. Fund your down payment — this is where it gets interesting. You can fund your 10% from your RSA (Retirement Savings Account), which means you don’t need to have ₦10 million in cash sitting in a bank account.
5. Get approved and close — if approved, the MREIF covers the remaining 90% at 9.75% over your chosen term up to 20 years.

Which Property Types Are Available?

MREIF’s maximum loan amount is ₦100 million. This means it’s most relevant for:

• Affordable to mid-range apartments in Lagos (Ibeju-Lekki, Ajah, Sangotedo corridors)
• Mid-range houses in Abuja satellite towns
• Suburban properties in Port Harcourt, Ibadan, and other secondary cities

If you’re looking at a property that costs more than ₦100 million, MREIF can still cover 90% of ₦100 million — so the remaining balance above that threshold would be your additional cash requirement.

Where to Search for MREIF-Eligible Properties

Not every listing on PropertyPro will align with the MREIF price ceiling, but many do. Here’s where to start looking:

• Lagos properties for sale — Filter by price range up to ₦100 million for maximum MREIF alignment.
• Ibeju-Lekki land and homes — Long-term appreciation play; many plots well within the ₦50-100 million range.
• Abuja properties — Satellite town options (Gwarinpa, Jabi, Lugbe) that fit the MREIF budget.
• Port Harcourt homes — Mid-range inventory where MREIF financing makes ownership viable for middle-income earners.

What You Still Need to Budget For

Even with MREIF covering 90% of the purchase price, factor in:

• Legal fees (approximately 2-3% of property value)
• Survey and valuation costs
• Stamp duty and registration fees
• Any renovation needed on older properties

The Bottom Line

The MREIF reform is the most significant change to Nigerian mortgage accessibility in a generation. If you’ve been waiting for the right financial moment to buy, this may be it — especially if your income qualifies and you have an RSA.

Start by browsing PropertyPro listings in your price range (all Nigeria sale listings), then visit the MREIF portal to check your eligibility and current property inventory. The gap between what you can now afford and what you thought was possible has narrowed dramatically.