MORTGAGE FINANCING AND HOUSING DEVELOPMENT IN ONDO STATE

Abstract

This study investigates the factors constraining the provision of government mortgage financing for housing development, effectiveness of the private sector participation in housing development and challenges confronting public accessibility to housing loans and funds. Using Chi square statistical test, it was found that mortgage financing has significant effect on housing development in Ondo State. It was also found that the major sources of funds for building houses in Ondo state is savings from personal income followed by cooperatives and mortgage institutions and commercial banks. The results of the study clearly reflect that the housing provision is inadequate as stated by respondents. Chi square statistical test carried out on mortgage financing to determine its significant effect on housing development in Ondo state shows that the null hypothesis is not valid and rejected. The study recommends that the government should source for cheap funds for housing human settlements and infrastructure, finance and allow the PMIs to be active beneficiaries of such funds, lay emphasis on economic development policies that will lead to job creation and economic empowerment and also, assist the cooperative societies particularly the housing type access long term funds through the NHF.