The high cost of securing rental property in Lagos has long been a burden for many residents, and recent criticism by media personality Stephanie Coker Aderinokun has reignited calls for reform.
Her social media post detailing an experience with a real estate agent who demanded ₦20,000 just to view a property, in addition to the 20% agency fee demanded by some agents, paints a troubling picture of exploitation in the city’s housing sector.
To address this problem, the Lagos State Government must step in with clear regulations and stronger enforcement mechanisms to protect tenants.
1. Enforce a Cap on Agency Fees
One of the most immediate steps the government can take is to set and enforce a legal limit on agency and legal fees. Currently, no uniform pricing structure exists, allowing agents to charge arbitrarily high percentages, sometimes up to 20% of annual rent. A reasonable and enforceable cap, such as 10% for agency fees and 5% for legal fees, could bring much-needed standardization to the market.
2. Introduce Licensing and Accreditation for Agents
The real estate industry in Lagos remains largely informal. By creating a licensing system for property agents and requiring accreditation to practice, the state can weed out fraudulent and exploitative individuals. Only registered and vetted agents should be allowed to operate, with strict penalties for unlicensed activity.
3. Create a State-Regulated Real Estate Portal
An official government-managed digital portal listing verified properties and licensed agents would help eliminate the need for intermediaries and reduce exploitation. Tenants could view properties directly, access accurate pricing information, and avoid unnecessary fees.
4. Public Awareness and Complaint Channels
Public education campaigns can help tenants understand their rights and know when they’re being overcharged. Additionally, setting up a dedicated complaint and mediation unit within the Lagos State Real Estate Regulatory Authority (LASRERA) can provide redress for aggrieved tenants.
In Conclusion,
By implementing these measures, the Lagos State Government can make housing more accessible and fair, protecting residents from unnecessary financial strain in an already challenging economic climate.
