NHT Increases Microfinance Loan Ceiling

Qualifying National Housing Trust (NHT) contributors can now access up to $1.95 million under the improved Housing Microfinance Loan programme.

Assistant General Manager for Treasury Management, Lloy Palmer, made the disclosure while addressing the NHT’s housing webinar on December 17.

Mrs. Palmer said the initiative aims to provide more financing options for low-income earners.

Under the programme, only a maximum of $1.1 million can be borrowed at one time, and the remainder accessed throughout the life of the loan.

“The tenure for the loan should not exceed five years. It is for persons who are on the journey [to owning a home] and current homeowners. The loan can be used to make a deposit on a new house, purchase land or for general infrastructure upgrades,” Mrs. Palmer said.

Prior to the increase, NHT contributors could access up to $1.2 million under the programme, which was launched in 2017 in partnership with credit unions.

This assistance is in addition to the $7.5-million loan that is available for purchasing a property on the open market.

Mrs. Palmer also explained that more persons will be benefiting from the programme, as the NHT has more than doubled the income requirement.

The initiative now targets contributors earning $86,000 weekly or less, up from $42,000.

“We also ensured that it is affordable. So, you can either get a secured loan from your credit union at six per cent interest rate, or if it is unsecured, meaning there is no collateral, then that loan is available at a nine per cent interest rate,” Mrs. Palmer explained.

Contributors are encouraged to reach out to their credit union to take advantage of this opportunity.