Lagos State Government has reiterated its stance on the one-year rent limit for residential properties and warned estate agents against the imposition of illegal fees on tenants and property owners. The government’s stance comes as part of efforts to curb unethical practices in the real estate sector and ensure affordability in housing across the state.
In a statement released on Wednesday, Lagos State Commissioner for Housing, Moruf Akinderu-Fatai, emphasized the government’s commitment to enforcing rent payment schedules, including monthly, quarterly, and yearly payments, with a maximum rent limit of one year. The statement, which was jointly signed by Akinderu-Fatai and Mr. Barakat Odunuga-Bakare, Special Adviser to the Governor on Housing, was issued after an exploratory meeting with executives from the Estate, Rent, and Commission Agents Association of Nigeria (ERCAN).
Akinderu-Fatai expressed concerns about persistent rent increases and the imposition of unwarranted fees by some estate agents, practices he said were in violation of the Lagos State Real Estate Transaction Law. He stated that these unethical actions had contributed to an alarming rise in rent defaults and ongoing frustrations for tenants and property owners alike.
“The government is engaging with stakeholders to ensure a smooth transition and to address the issues surrounding accommodation, including the irregular increases in rent and the illegal fees imposed by some agents,” Akinderu-Fatai said during the meeting. He also urged estate agents to strictly follow the law, which allows for a chargeable fee of no more than 10 percent on real estate transactions.
The commissioner further encouraged professional bodies in the real estate sector to denounce individuals who advise property owners to inflate rents arbitrarily or introduce fees that are not legally recognized. He reassured stakeholders of the government’s willingness to collaborate with them to develop a system that would protect both tenants and landlords while promoting transparency in the sector.
In response, the President of ERCAN, Mr. Godwin Aleke, expressed the association’s support for the government’s efforts to establish a fair rent payment system. Aleke committed to working with other professional bodies and stakeholders to improve real estate practices and ensure that unethical behavior in the sector is eliminated.
With the government’s continued engagement and oversight, the Lagos State administration aims to ensure a balanced and regulated real estate market that benefits both tenants and property owners, while keeping rent affordable and transparent.
