The Lagos State Government has taken a firm stance against illegal fees imposed on tenants by property owners and real estate agents, warning that such practices undermine professionalism and exploit accommodation seekers.
At a stakeholders’ meeting held in Alausa, Ikeja, top government officials met with key real estate bodies to address arbitrary rent hikes, excessive agent fees, and other exploitative charges that have made securing housing in Lagos increasingly difficult for residents.
The meeting, jointly chaired by the Commissioner for Housing, Moruf Akinderu-Fatai, and the Special Adviser to the Governor on Housing, Barakat Odunuga-Bakare, brought together representatives from the Nigerian Institution of Estate Surveyors and Valuers (NIESV), the Real Estate Developers Association of Nigeria (REDAN), and the Association of Estate Agents in Nigeria (AEAN).
Akinderu-Fatai expressed the state government’s concern over the growing challenges faced by tenants, including sudden rent increases and illegal charges such as “caution fees,” “inspection fees,” and “finder’s fees.”
“Lagos State Government is aware that demand for housing currently outweighs supply, but this does not justify the extortion of accommodation seekers through unwholesome practices,” he said. “Under the leadership of Governor Babajide Sanwo-Olu, we are committed to ensuring sanity in the real estate sector.”
He emphasized that the engagement with stakeholders was aimed at fostering collaboration between the government and industry professionals to create a fairer housing market for Lagos residents.
Odunuga-Bakare reiterated that Lagos already has laws in place to regulate real estate transactions, including the 2015 Tenancy Law and the Lagos State Real Estate Regulatory Authority (LASRERA) Law, which cap agent fees at no more than 10% of the annual rent.
She urged real estate practitioners to comply with these regulations and work with the government to ease housing challenges in the state.
Representatives from the real estate associations present at the meeting pledged their support for the government’s efforts.
Gbenga Ismail of NIESV, Dr. Kolawole Tony of REDAN, and Dr. Adeniyi Tinubu of AEAN jointly affirmed their commitment to collaborating with the state on public sensitization campaigns to promote ethical practices in real estate transactions.
“We are ready to work with the government to address high rent costs and excessive charges,” they stated. “Our professional bodies will also support advocacy and enlightenment programs to ensure compliance with best practices.”
The meeting marks a continuation of Lagos State’s push to regulate its booming real estate market and protect tenants from exploitation. With housing affordability remaining a critical issue, the government has signalled its readiness to enforce existing laws while engaging stakeholders to find sustainable solutions.
