Document background
The Private Home Loan Contract serves as a legally binding agreement between private parties or financial institutions and individuals seeking to finance residential property purchases in Nigeria. This document is essential when providing or obtaining secured financing for home acquisition, construction, or renovation. It must comply with Nigerian banking regulations, the Land Use Act, and relevant financial services legislation. The contract typically includes detailed terms about the loan amount, interest calculations, repayment schedule, property security arrangements, and default remedies. It's designed to protect both lender and borrower interests while ensuring enforceability under Nigerian law. The document becomes particularly relevant in private lending scenarios where traditional mortgage financing might not be available or preferred.
