KNOWLEDGE, ATTITUDE AND PRACTICE OF FINANCING REAL ESTATE PURCHASE THROUGH MORTGAGE IN NIGERIA, A RESEARCH PROJECT TOPIC ON ACCOUNTING
1.1 BACKGROUND TO THE STUDY
Everyone dreams of owning property someday but with the constant rise in Nigerian property prices, saving towards buying some piece of real estate seems almost impossible- particularly for young people in Nigeria. Although saving towards acquiring property is one option, it may often be disheartening because each time a certain amount has been saved, one discovers that the property prices have risen and once again the asset is just out of reach. Mortgaging property may break this frustrating cycle.
Housing has been universally accepted as a very important and essential human need. In fact, world acclaimed American psychologist Abraham Maslow ranked shelter as second only to food in his hierarchy of human needs. This form of security is thus a basic necessity of life which every Nigerian should readily have access to without deprivation. One of the most worrisome features of Nigerian urban centers is the growing level of over-crowding and in some cases outright homelessness. It is common place to see families of eight persons in a single room in a tenement building usually referred to as per room per room or face me I face you. One index used to measure the quality of life is housing, and improving the quality of life is the whole essence of government and governance.
The housing sector plays a more critical role in a country’s welfare than is always recognized, as it directly affects not only the well-being of the citizenry, but also the performance of other sectors of the economy. Adequate housing provisions has since the early 1970s consistently engaged the attention of most countries, especially the developing ones, for a number of reasons.
First, it is one of the three most important basic needs of mankind – the others being food and clothing. Second, housing is a very important durable consumer item, which impacts positively on productivity, as decent housing significantly increases workers health and well – being, and consequently growth. Third, it is one of the indices for measuring the standard of living of people across societies.