Gov’t Announces $1 Million Increase in NHT Loan Ceiling

Contributors to the National Housing Trust (NHT) will now be able to access an additional $1 million in loan funding towards the construction or purchase of their homes.

The interest rate applicable for all categories of new borrowers will also be lowered by one per cent.

This follows Cabinet’s approval of the increase in the loan ceiling of the NHT from $4.5 million to $5.5 million.

Making the disclosure at a Jamaica House press briefing on November 11, Minister with responsibility for Information, Senator the Hon. Sandrea Falconer, said the increase in the loan amount represents an additional  22 per cent in available financing to NHT borrowers and will narrow the affordability gap for NHT contributors.

She noted that the move is necessary given that the average NHT contributor now requires more money to secure home ownership due to the increased cost of new housing solutions and a 41 per cent increase in housing prices over the five-year period between 2010 and 2015.

In addition to improving affordability, the Minister noted that the new measures will also help to stimulate construction start-ups and generate employment in the important construction industry.

The increased NHT loans ceiling is for new construction type loans or the purchase of units in new developments.

The Minister informed that the NHT will provide further details on this new benefit.