When Abimbola Florence moved to Lagos in 2022, she thought her savings would cover the cost of a rental apartment. However, the rent was higher than expected, and additional fees made many options unaffordable. Three years later, she’s had to save up multiple times to secure a home. “Renting in Lagos requires careful planning and savings,” she explains.
In Lagos, property agents are essential to securing a rental, but their services come with hidden costs. Agents typically charge a fee for a form, transport for inspections, and additional costs like commissions, legal fees, and service charges. For example, a ₦750,000 apartment could end up costing ₦1.35 million once all fees are added.
Rents in Lagos are higher than in most other states. In middle-income areas, a two-bedroom apartment can cost ₦1.5 to ₦2 million annually, while prime areas demand ₦3 million or more. For young professionals earning an average of ₦175,000 per month, the cost of rent often requires months of saving, and some landlords demand one or two years’ rent upfront.
Many tenants, like Adeniran Adeyemi, complain that agents inflate rent prices and demand hidden fees. Despite legal limits on agent commissions (set at 10% of annual rent), agents often charge much higher fees, sometimes up to 30% or more.
Olasupo Abideen, a civil society leader, argues that these practices make housing unaffordable for young people. He suggests technology could provide a solution, pointing to systems like the UK’s open rent platform, where renters and landlords can connect directly without hidden fees. Despite efforts by the Lagos government to regulate the market, many renters still face significant financial strain.
Source: The Guardian
