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From Uche Usim, Abuja
With a population of over 200 million and a housing deficit of 28 million units, owning a home or at least renting a decent accommodation is one of the greatest desires of the average Nigerian. In fact, it is a necessity, as shelter is listed next to food as man’s most basic need.
But the road to acquiring a home or leasing a facility is littered with criminals masquerading as estate developers and property managers.
Many unsuspecting property renters and buyers have inadvertently burnt their fingers because the housing market in Nigeria has literally been hijacked by a predatory cartel that exploits their desperation.
The sector, for many decades, remained an uncharted and unregulated space where anyone felt he could play in.
Apart from the fact that the government and private estate developers have not been able to bridge the housing deficit gap, Nigeria has one of the fastest-growing populations globally and has been projected to rise to 400 million by 2050, making Nigeria the third largest population after China and India.
While rapid population growth may be an asset, it can also be a recipe for poverty, inequality and deprivation, if efforts are not made to fumigate the property sub-sector and allow meaningful developments germinate therein.
Drawing strength and credence from the above, the Institute of Mortgage Brokers and Lenders of Nigeria, (IMBLN) has embarked on an aggressive reformation of the mortgage brokerage and real estate ecosystem to unlock its enormous potential capable of solving the insufficient housing nightmare and ultimately growing the nation’s economy.
The Institute, incorporated under the CAP 59 of 2004, was established following the passage of its Bill by the House of Representatives on March 23, 2021, and a concurrency by the Red chamber on September 28, 2022. The Act was signed into law by former President Muhammadu Buhari on December 6, 2022 and gazetted in 2023.
Its primary objective is to regulate and promote professionalism, ethics, and best practices within the mortgage brokering and lending sector.
The Institute serves as a professional body for mortgage brokers and lenders, providing education, training, and resources to its members. It aims to enhance their knowledge, skills, and expertise in order to better serve their clients and the wider community.
Members of the Institute benefit from access to a range of resources, including industry updates, research, and networking opportunities. The organization also works towards establishing and maintaining high standards of professionalism and integrity in the mortgage industry.
Through various initiatives, the Institute of Mortgage Brokers and Lenders strives to foster consumer confidence and trust in the mortgage brokering and lending process. It aims to ensure that its members adhere to a code of conduct and uphold the highest standards of ethical behavior.
Overall, the Institute plays a crucial role in promoting excellence and professionalism within the mortgage industry, benefiting both industry professionals and the individuals and businesses they serve.
It is the only organisation legally mandated to carry out the aforementioned duties.
Riding on that power, the Registrar/Chief Executive Officer of IMBLN, Dr. Jasper Adeleye, has read the riot act to unlicensed operators in the mortgage and real estate sector to obtain the necessary certification and licenses of practice from the regulatory body or be weeded out of the system.
He said the sector totally outlaws uncertified players as they will be decisively sanctioned for breaking the law.
Adeleye recently told journalists that the 2020 Act establishing the institute solely empowers it to sanitise the mortgage space beginning with the elimination of unlicensed practitioners.
“Any practitioner or professional who does not comply with the provisions of the bylaws of the institute will be forced to face sanctions with possible financial implications and in cases where necessary, they will be banned from the industry as the aim of the institute is to attain a sustainable level of professionalism”, he said at a recent media briefing.
Adeleye further called on all stakeholders to ensure compliance with various regulations or risk legal proceedings and other sanctions as stipulated in the Act (2022) as gazetted.
The Registrar described the Institute’s mandate, which includes aiding access to mortgage facilities, regulating the practices of all corporate or incorporate bodies, societies, firms, companies or persons as sacrosanct, saying it will stick to rules of engagement.
He said the Act remains a very important document and operational compass of the Institute, which is very vital in unshackling the sector from the stranglehold of quacks and fraudsters.
He said: “The real estate sector is a fragile and very vital part of our economy. However, before the establishment Act, it was without regulations guiding its practice. There is a need to coordinate the affairs of the many agencies registered practicing under different conditions and systems. The Institute provides the regulatory framework and capacity building for professionals in the area of mortgage brokerage, estate brokerage, mortgage-backed security, mortgage lending and financing. This is in addition to regulating the activities of individuals, and organizations in the mortgage sector”.
He said the functions of the Institute in accordance with the Act are legion.
“The Institute is to determine the standards of knowledge and skills to be attained by persons seeking to become members of the profession and reviewing such standards as may be required.
“The Institute is to secure and maintain a register of members and the publication of said register; promote research and development of curricula of training of mortgage brokers and lenders; provide consultancy services in appropriate cases; arrange conferences, seminars, symposia and meetings and perform all other functions conferred on the Council under the provisions of this Act”, Adeleye explained.
On the current situation of the mortgage industry and the challenges therein, the IMBLN Registrar/Chief Executive Officer said the greatest one was lack of access to affordable housing in Nigeria.
“Shelter is one of the basic human needs alongside food and clothing. Such is the importance of shelter that it has been recognised as a fundamental human right for everyone to own or inhabit a house, which ensures access to a safe, secure, habitable, and affordable home with freedom from forced eviction.
“This Right is enshrined and protected in several international conventions and treaties which Nigeria is a signatory.
“Another issue is inadequate knowledge and skill by professionals of the sector
“As I mentioned earlier, the sector has such great possibility in contributing to the Nigerian economy. However, some guidelines must be put in place and some technicalities observed. Professionals must be re-educated and trained to achieve this.
“Another challenge is the lack of sufficient employment opportunities for graduates in the country and we shall address that as well.
“You asked for the processes and requirements for registration of members. Well, there are requirements for every membership category and membership will only be granted once all requirements have been met.
“For online registration, we have a website which was created in a very simple language for ease of understanding and use. Required documents are be scanned and uploaded as prompted by the website.
“For on-site registration: forms can be downloaded and filled then submitted to the head office or the branch office in the states if the applicant is not in Abuja. Forms are available for purchase at specific points with contact addresses provided on the website”, he explained.
On what the government and other stakeholders must do to ensure the success of the Act and by extension the industry, Adeleye noted that all corporate or incorporate bodies and includes a federal, state or local governmen department, parastatal, public board or corporate local government authority, any society, firm, company or person are obligated to domesticate the law within their jurisdiction of power as well contribute to increasing the awareness level amongst their constituents.
According to its Act, the Institute has power to do all things necessary and convenient to be done in connection with the performance of its functions.
The administration and management of the Institute shall consist of the President, elected by members of the Council amongst themselves; the Vice-President, elected by members of the Council amongst themselves; two persons to be appointed by the Minister; six persons to be appointed by the Institute; and an immediate past President of the Institute who is entitled to serve for a further maximum term of three years from the expiration of his tenure as President.
The Act also states that the President and the Vice shall hold office for a term of two years from the date of their elections.
“The President shall preside at meetings of the Council, and in his absence, the Vice-President shall preside.
“The provisions set out in the Schedule to this Act shall have effect with respect to operation, qualification, tenure of office of members of the Council and other matters mentioned in it.
“The Council shall appoint the Registrar who shall be the chief executive officer of the Institute. A person appointed as the Registrar must have served the Institute for a term not less than two years preceding the date of his appointment”, the Act states in part.
The enabling law also allows the Institute to enter into contracts, charge fees for its services, make regulations for the conferment of charter, make penal regulations and have the power to award honorary membership of the Institute to persons it deems worthy of such honour on terms and conditions prescribed by the Council and approved by the Institute in a general meeting.
