NB: This Press Release is archived and should be used for reference only
Effective July 1, 2023, the National Housing Trust (NHT) will be increasing its loan ceiling for most loan benefits. The increase will see an additional $1 million dollars available to contributors. This represents a 15% increase in the general loan ceiling from $6.5 to $7.5 million. These policy changes will improve contributors' ability to afford homes in keeping with increases in construction inputs and the consequent rise in the cost of housing units.
With this increase, Open Market and Build On Own Land (BOL) Loans will see a rise from $6.5 million to $7.5 million, while House Lot, Home Improvement, Ten Plus (10+) and Fifteen Plus (15+) Loans will see an increase from $2.5 million to $3.5 million.
Contributors will also be able to benefit from the introduction of a new loan limit, when purchasing a unit on the Open Market costing $12 million or less. The NHT will make up to $8.5 million dollars available to a single applicant (subject to affordability).
Meanwhile, the NHT's lowest earning contributors can expect a greater subsidy come July 1, 2023 as well. Contributors, earning between minimum wage and $15,000 weekly, will have access to an increased Home Grant, which moves from $2.5 million to $3.5 million. In addition to making purchases, Home Grants may be used to construct starter homes or make improvements to existing units under certain conditions.
The organisation continues to make significant progress in the way we do business, in order to deliver more housing products and services to our contributors.
In the last three months, key NHT services have been automated providing greater access and efficiency. The Trust upgraded the NHT Online platform, allowing customers to generate eligibility letters in a much shorter processing time. In addition, customers are able to share their eligibility status with their realtor and mortgage institution of choice from within the platform.
Other improvements to the financing arrangements at the NHT include the introduction of a new joint financing mortgage model, the External Financing Mortgage Programme, EFMP in April 2023. It replaces the Joint Finance Mortgage Programme, JFMP on a phased basis, and allows contributors to have access to an expanded list of mortgage institutions through which they can access their NHT loans. The list will now include credit unions along with commercial banks. To date, two institutions (National Commercial Bank, NCB, and COK Sodality Cooperative Credit Union) have signed on to the programme.
With these changes in policy and improvements in services and partnerships, the NHT will be able to focus on its core mandate of providing affordable and accessible housing units for all contributors.
