The Lagos State Government has urged the leadership of major real estate bodies – including the Nigerian Institution of Estate Surveyors and Valuers, Real Estate Developers Association of Nigeria and the Association of Estate Agents in Nigeria – to support efforts aimed at reducing the rent burden on residents and eliminating illegal charges in the industry. According to a statement by the Deputy Director of Public Affairs, Ganiu Lawal, these professional bodies were also encouraged to address the growing trend of agents competing over fees, which inflates the cost of real estate transactions.
The government condemned the introduction of illegal fees such as caution fees, inspection fees and finder’s fees, describing them as unprofessional practices that harm tenants and compromise the integrity of both practitioners and property owners. These issues were discussed at a stakeholder meeting chaired by the Commissioner for Housing, Moruf Akinderu-Fatai and the Special Adviser to the Governor on Housing, Barakat Odunuga-Bakare.
Strategic efforts are underway to curb arbitrary rent charges and excessive agent fees in Lagos State:
The initiative aims to restore order and sanity in the real estate sector.
The Lagos State Government plans to promote monthly and quarterly rent payments in line with the tenancy law.
Professional bodies will partner with the government to support advocacy and public education.
Sensitisation programmes will be conducted to encourage best practices in real estate transactions as there were existing state laws, such as the 2015 Tenancy Law and the Lagos State Real Estate Regulatory Authority Law, which specify a percentage of chargeable fees of not more than 10 per cent on real estate transactions.
The professional bodies will also join the state government in promoting advocacy, public enlightenment as well as sensitisation programmes on the best practices in real estate transactions.
Further resolution is to convene another stakeholders’ forum to be attended by representatives of all practitioners in the real estate business, including the Nigerian Bar Association, for a holistic buy-in of every sector for the benefit of Lagosians.
