A studio apartment in Abuja now costs ₦15 million. Nigeria’s minimum wage is ₦70,000 a month.
Put those two numbers together and you get the affordability problem in one line: the cheapest unit in a government-backed Abuja scheme costs more than 21 months of gross earnings for a worker on the minimum wage – before tax, food, transport or rent.
And the repayment is worse than the price.
The arithmetic
| Amount | |
|---|---|
| Studio apartment, Abuja | ₦15,000,000 |
| Required deposit (10%) | ₦1,500,000 |
| Balance financed | ₦13,500,000 |
| Monthly repayment, 6% over 30 years | ₦80,900 |
| Nigeria’s monthly minimum wage | ₦70,000 |
The repayment is ₦10,900 more than the wage. A worker on the minimum wage cannot service the loan even if they spent every naira they earned on it and nothing else.
The figures come from the Abuja Property Development Company’s scheme, reported this week, with the 6% / 30-year terms applied as an illustrative amortising loan. The repayment is calculated, not quoted: ₦13.5 million at 6% over 360 months.
What income would actually be needed
Lenders typically want a mortgage payment to sit at or below about 30% of income. At that rule, servicing ₦80,900 a month needs an income of roughly ₦270,000 a month – about 3.9 times the minimum wage. At a stricter third-of-income rule the requirement falls to about ₦243,000.
That is the gap. The scheme is aimed at low-income buyers and priced such that only someone earning several multiples of the minimum wage can carry it.
And that is with the subsidy
The 6% rate is the subsidised Federal Government-backed rate. At a commercial rate – above 23%, given the monetary policy rate – the same ₦13.5 million over 20 years would cost about ₦261,500 a month.
So the subsidy cuts the payment by roughly ₦180,000 a month and still leaves it above the minimum wage. Without the subsidy, this unit is not a low-income product at all.
Why the deposit is the second wall
₦1.5 million is the entry ticket, and it is required before any financing. A worker on ₦70,000 a month saving 20% of gross – ₦14,000 – would need about 107 months, or nine years, to raise it, assuming nothing else went wrong.
Schemes that lower the monthly payment but leave the deposit untouched have not solved the affordability problem; they have moved it.
What ₦15 million buys elsewhere
For context, the same money buys a plot in Ibeju-Lekki at ₦8–25 million, or part of a mid-market flat in Lagos at ₦25–60 million. A studio in Abuja at ₦15 million is not obviously poor value – it is a serviced urban unit in the capital – but it is not a starter home for someone earning ₦70,000.
What would have to change
The price. At ₦8 million, the same 10% deposit and 6% terms produce a repayment of about ₦43,100 – inside the reach of a two-income household on modest wages. Price is the lever that moves fastest.
The term. 30 years is already long; stretching it further lowers the payment but raises total interest and does nothing for the deposit.
The deposit. A 5% deposit would halve the entry cost to ₦750,000. That is the single change most likely to convert an enquiry into a sale.
Rent-to-own. The Federal Mortgage Bank’s rent-to-own scheme exists precisely for this gap – a tenant builds equity instead of finding a deposit. Where it is available, it is a better fit for this buyer than a mortgage.
Frequently asked questions
How much is the cheapest apartment in Abuja?
In this scheme, ₦15 million for a studio. Older stock in outer districts trades below that, but without the same servicing or title.
Can someone on minimum wage buy a ₦15 million house?
Not on a standard mortgage. The repayment at the subsidised 6% rate is ₦80,900 – more than the ₦70,000 wage before any other living cost.
What salary do I need for an ₦80,900 monthly mortgage?
About ₦270,000 a month at 30% of income (about ₦243,000 at a third), and more if you have other debts.
Is 6% the real mortgage rate in Nigeria?
Not commercially. 6% is the subsidised National Housing Fund rate. Commercial mortgages are quoted above the 23% monetary policy rate.
What is rent-to-own and is it better?
A scheme where part of your rent accumulates as equity toward purchase. For a buyer who cannot raise a deposit but can pay rent, it is usually a better route than a mortgage.
Last updated: 22 October 2026. Studio price, minimum wage and deposit terms from reporting on the Abuja Property Development Company scheme (Independent, October 2026). Monthly repayments are calculated on standard amortisation: ₦13.5m at 6% over 360 months = ₦80,900; the same sum at 23% over 240 months = about ₦261,500. Excludes fees, insurance and service charge. Not financial advice.
