The Lagos State Government has called on key players in the real estate sector to help reduce the burden of rent on residents and stop the growing issue of illegal charges in property transactions across the state. This appeal was made during a stakeholders meeting with leaders of top real estate bodies, including the Nigerian Institution of Estate Surveyors and Valuers (NIESV), the Real Estate Developers Association of Nigeria (REDAN), and the Association of Estate Agents in Nigeria (AEAN).
The meeting, which took place at the Ministry of Housing in Alausa, Ikeja, was jointly chaired by the Commissioner for Housing, Mr. Moruf Akinderu-Fatai, and the Special Adviser to Governor Babajide Sanwo-Olu on Housing, Mrs. Barakat Odunuga-Bakare. According to the Deputy Director of Public Affairs in the ministry, Mr. Ganiu Lawal, the session was part of a wider effort by the government to bring sanity to the housing sector and protect tenants from unfair treatment.
The state government expressed worry over the rising cost of rent and illegal charges such as caution fees, inspection fees, and finder’s fees that landlords and agents are demanding from prospective tenants. These charges, according to the government, are unprofessional and put unnecessary pressure on Lagosians, especially low-income earners who are struggling to find affordable homes.
Commissioner Akinderu-Fatai said the government is concerned about how difficult it has become for many families in Lagos to secure decent accommodation due to high rent, sudden rent increases, and illegal fees. He added that the government is pushing for a system that encourages monthly and quarterly rent payments, instead of the usual one or two years’ upfront payment being demanded by most landlords.
He said, “The aim of engaging all stakeholders is to strengthen the working relationship between the state government and the professional bodies for the benefit of Lagosians. We will no longer tolerate extortion of accommodation seekers through unwholesome practices.”
The Special Adviser to the Governor, Mrs. Barakat Odunuga-Bakare, also spoke during the meeting. She reminded the stakeholders that the state already has laws in place to regulate the real estate sector. These include the Lagos State Tenancy Law of 2015 and the Lagos State Real Estate Regulatory Authority (LASRERA) Law. These laws clearly state that the total chargeable agency fees on property transactions should not be more than 10 percent.
She encouraged the real estate associations to work closely with the government to enforce these laws and make it easier for Lagosians to rent houses without being cheated. “The state cannot do it alone. We need your cooperation to bring relief to our people,” she said.
Representatives of the professional bodies also spoke at the event. Mr. Gbenga Ismail from the Lagos branch of the Nigerian Institution of Estate Surveyors and Valuers, Dr. Kolawole Tony from REDAN, and Dr. Adeniyi Tinubu from AEAN, all agreed that the sector needs reform. They promised to support the government’s plan to sanitise the industry.
The associations said they are ready to work with the government to reduce rent costs, end the problem of excessive and illegal fees, and promote best practices in the real estate industry. They also promised to support advocacy and public enlightenment campaigns that will educate both agents and tenants on their rights and responsibilities.
As Lagos continues to grow with thousands of new residents arriving daily, the demand for housing keeps increasing. The government hopes that this new collaboration with real estate professionals will help reduce the pressure and make housing more affordable and fair for everyone in the state.
