Housing sector stakeholders have called on the Federal Government to declare a state of emergency on rising building costs, warning that escalating construction expenses are making homeownership increasingly unaffordable and slowing housing delivery across Nigeria. They argue that tackling the cost of building, rather than regulating rents, is the most sustainable way to address the country’s housing crisis.

Former President of the Real Estate Developers Association of Nigeria (REDAN), Dr. Aliyu Wamakko, said the sharp increase in the prices of cement, steel, roofing materials, electrical fittings, labour, transportation, and financing has significantly raised the cost of housing development. According to him, developers are finding it increasingly difficult to deliver affordable homes under current market conditions.

Wamakko explained that high rental prices are largely a consequence of expensive housing production rather than the root cause of the housing affordability challenge. He maintained that efforts to control rents without reducing construction costs could discourage investment in the real estate sector and worsen the housing shortage.

He urged the Federal Government to introduce targeted policies aimed at lowering construction costs, including support for local production of building materials, improved access to affordable housing finance, better transport infrastructure, stable energy supply, and incentives for large-scale housing development. He noted that reducing the cost of production would encourage developers to build more homes and improve housing affordability.

Industry stakeholders also emphasised the need for reforms in land administration, mortgage financing, and infrastructure development to stimulate private sector investment in housing. They argued that increasing housing supply through lower development costs would have a greater long-term impact on affordability than direct intervention in rental prices.

Experts believe that coordinated government action to reduce construction costs, strengthen housing finance, and encourage local manufacturing of building materials will be critical to closing Nigeria’s housing deficit, improving access to affordable homes, and supporting sustainable growth in the real estate sector.

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A former President of the Real Estate Developers Association of Nigeria (REDAN), Dr. Aliyu Wamakko, has urged the Federal Government to declare a state of emergency on rising building costs instead of focusing on rent regulation, arguing that the country’s housing affordability crisis is fundamentally driven by the high cost of housing production.

Speaking in Abuja, Wamakko said soaring prices of construction materials, land acquisition, labour, infrastructure, and financing have significantly increased the cost of developing residential properties, making it impossible for developers to offer affordable rental housing. He maintained that high rents are a consequence of expensive housing production rather than the primary cause of the housing crisis.

According to him, the prices of cement, steel reinforcement, roofing materials, electrical fittings, plumbing supplies, and other essential construction inputs have risen sharply in recent years, while labour and financing costs have also increased substantially. He noted that developers cannot recover their investments if rental prices are artificially suppressed without addressing these underlying production costs.

Wamakko called on the Federal Government to prioritise policies that reduce the cost of building materials, expand access to affordable long-term financing, strengthen local manufacturing, improve energy supply, lower transportation costs, and encourage large-scale housing development. He argued that such measures would increase housing supply and naturally reduce rental prices over time.

He warned that attempts to regulate rents without tackling the economic realities of housing development could discourage private investment in the real estate sector and worsen the country’s housing shortage. Instead, he advocated market-driven solutions supported by government policies that lower construction costs and stimulate investment in affordable housing.

Housing experts have consistently maintained that reducing construction costs, expanding mortgage financing, simplifying land administration, and increasing infrastructure investment are essential to improving housing affordability and addressing Nigeria’s estimated housing deficit. They believe that boosting housing supply remains the most sustainable strategy for easing pressure on rental prices while supporting long-term economic growth.

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