The Problem Associated With Rural Housing Finance” A Case Study of Alapa Town, Ilorin East Asa Local Government Area.

CHAPTER ONE

1.0     INTRODUCTION

1.1     BACKGROUND OF THE STUDY

Housing finance is one of the basic needs of every individual, the family and the community in general.

          As a pre-requisite to the survival of a man, it refers to security or safety and ranks second in the physiological needs, otherwise called clothing and food in the Abraham  Maslow’s “Hierarchy of need Theory” propounded in (1976)

          The housing which is a unit of the environment, has a profound influence on the health, efficiency, social behavior, satisfaction, and general welfare of the community.

          It reflects the cultural, social and economic values of a society, as it is the best physical and historical evidence of civilization in a country. The importance of providing adequate housing in any country cannot be overstated, hence it is a stimulant of the national economy.

          In most developed countries, housing sector contributes significantly to the performance of their economy. Increase in the housing market activities usually indicates a strong economy, while a decrease in the market portrays weakness in the economy.

          Governments should therefore encourage and foster the establishment of financial institutions to offer credit for housing development and also adopt such fiscal policies as will ensure that a larger portion of the national wealth is made available for housing development. As a specific case, governments should consider the establishment of housing developments funds or the issue of development stocks for housing. If the postulate that housing is a national social problem is accepted, then the private sector should take its share of the responsibility to supplement and reduce the reliance on governmental efforts.