Prices of rented accommodation across most parts of southern Nigeria have surged to new highs, with rents in several locations reportedly doubling and pushing housing affordability beyond the reach of many residents. Findings indicate that the pressure is most severe in cities across Lagos, Ogun, Oyo, Ekiti, Osun, Ondo, Akwa Ibom, Delta and Bayelsa, where rising property values are widening housing supply gaps and intensifying socioeconomic strain. Young families and low-income earners, particularly those earning the N70,000 minimum wage or slightly above, are finding it increasingly difficult to meet landlords’ rent demands.
Residents complain that rent increases are often imposed without corresponding improvements in facilities, leaving households caught between deteriorating living conditions and the threat of displacement. Demand for housing has risen sharply in major urban centres, tilting the market in favour of high-income earners and property investors. Meanwhile, state governments have recorded limited success in delivering public housing for civil servants and lower-income groups, even as Nigeria’s housing deficit, estimated at about 28 million units, continues to grow. The World Bank has projected that Nigeria’s urban population could increase by 200 million by 2050, raising concerns about the expansion of slums and a deepening housing crisis.
Despite a recent moderation in headline inflation to 15.15 per cent in December, construction costs remain elevated, sustaining high rents. A 50kg bag of cement sells for between N10,000 and N10,500, while iron rods cost between N9,500 and N12,000 per length, with sand and granite reaching up to N80,000 per tonne. Industry players cite high haulage, energy and production costs, noting that building a two-bedroom apartment in Lekki, Lagos, now costs between N230 million and N270 million. In the South-West, rents have reportedly risen by over 100 per cent in the past two years, particularly in Lagos and Ogun, driven by housing shortages, rising construction costs, unregulated estate agency practices, increased migration and weak enforcement of rent control measures.