The housing sector and Nigeria’s 21st century economy (2) 

The standard of living and expected life expectancy of people in an economy are directly correlated. This is because sound health is a dependent variable of good living standards. This, of course, relies partly on the level of quality living that a shelter could afford. In Nigeria, wealth and acquired financial treasures by individuals in the society cannot necessarily be evenly distributed in a normal sense. But the actual spread or social inequality does not run in conformity with (or obey) the known or standardized economic indicators (cost of living index/COLI) that determine social stratification among the people that live in particular communities within the economy. This is the major challenge being faced in measuring social class or assessing class distinction among those that live in the country (every individual, big or small appears to be distinctly operating with discordant economic indices, for the expected socioeconomic targets). This observed social challenge within the economy significantly affects the formal mode of tackling the social challenge of the huge deficit existing in the housing sector in the country; resulting from the incoherent individual financial records that are valid data that ease mortgage loan procedures. 

However, with the presence of private investors and developers operating under an association in the organised private sector like the REDAN, a lot can be achieved towards resolving most of these bottleneck challenges facing the housing industry in the country. Reducing the housing deficit through the provision of affordable housing can boost the expected life expectancy in the Nigerian economy. This particular strategy is what REDAN offers among other services the association renders to registered members, representing a great potential to contribute (in her mission) to the 21st century Nigerian economy. It is actually under an organised platform in the housing industry that affordable homes could be efficiently created and delivered to offtakers or consumers that would gradually work out their payment plans over an agreed period with their benefactors or investors (the mortgage bankers) who shall specifically rely on the financial records corporately provided and in conformity with macroeconomic indicators, the indices that directly pinpoint financial information gathered, to help the investors assess both current and future prospects from the overall financial health of the housing sector. It is the responsibility of estate developers creating the houses, to motivate both the financial investors and the eventual/prospective offtakers through product marketing; these developers facilitate, create, and promote the successes inherent in consummating affordable housing in this 21st century.

In today’s Nigeria, the middle class cadre appears to have disappeared from the system, and is (more or less) no longer in existence in the economy. The perceived disappearance is not unconnected to the lingering frustrating, hostile and harsh socioeconomic environment in the country, with very high cost of living (diminishing bargaining power with very weakened disposable incomes of the salary earners), without any hope for a commensurate and matching improved income being earned as monthly salary, by relatively top level, well educated, employed population in the entire economic system. This economic situation is again worsened by consistently rising inflation rates in virtually all the consumer goods and commodities at the local markets. This disheartening economic situation forcefully throws most Nigerian families into confusion and poverty. The frustrations being faced by Nigerian citizens can be ameliorated if the economic pressure that subjects most Nigerians to the low poverty line is lifted off their shoulders. One of the ways to achieve such is through provision of affordable housing that is equipped with modern living facilities; which the home occupier could repay after an agreed number of years through secured mortgage; being one of the packages the home creators or housing developers have worked out and packaged as part of the home ownership procurement procedures and acquisition processes. 

High standard of living may have its cost, but the overall benefits, which include longevity in sound health enjoyed under a roof that is properly built with modern housing facilities, cannot only be achieved no matter the high cost, but also with repayment terms that are suitable for every one that earns a steady and stable salary. This is something that the economic system allows without any form of discriminating criteria. It does not let any individual among all that enjoy such loans to be identified as either rich or poor. They uniformly enjoy all the amenities provided as vital facilities for a balanced lifestyle within the system; and all comfortably settle their mortgages very successfully because of the longer repayment plan, while peacefully utilizing the home. The Real Estate Developers Association of Nigeria (REDAN) needs to be fully recognised as veritable tools in the hands of all states and the federal government; and be jealously protected while they contribute immensely to the economy through provision of affordable houses for civil servants (especially) as their retirement benefits, after active service in their lifetime.             

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