LAGOS TARGETS ESTATE AGENTS, ILLEGAL FEES IN CRACKDOWN ON RENTAL ABUSES
Amid escalating rental costs and widespread complaints from tenants, the Lagos State Government has summoned key stakeholders in the real estate sector to address the growing burden of illegal transaction fees and arbitrary rent charges.
At a stakeholders meeting held in Alausa and chaired by Commissioner for Housing, Moruf Akinderu-Fatai, and Special Adviser to the Governor on Housing, Barakat Odunuga-Bakare, estate practitioners were warned to desist from collecting unapproved fees such as caution fees, inspection fees, and finder’s fees, which have become common across Lagos.
“The prevalence of these illegal charges undermines public trust and harms the integrity of your professions,” Akinderu-Fatai said. “We want a system where tenants are protected, and property owners and agents operate within the boundaries of professionalism and law.”
The meeting included representatives of the Nigerian Institution of Estate Surveyors and Valuers (NIESV), Real Estate Developers Association of Nigeria (REDAN), and the Association of Estate Agents in Nigeria (AEAN), all of whom pledged their commitment to reforms. They expressed readiness to collaborate with the state government on advocacy campaigns, public enlightenment, and compliance monitoring.
Odunuga-Bakare highlighted the existence of laws such as the Lagos State Tenancy Law (2015) and the Lagos State Real Estate Regulatory Authority Law, which limit agency fees to 10% of annual rent and prohibit the collection of unrelated charges. She urged the associations to uphold these laws and help the government protect vulnerable renters.
The commissioner also reiterated the state’s push for a transition to monthly and quarterly rent payment options, which could ease financial pressure on tenants. “We understand the challenges of supply and demand, but we won’t allow Lagosians to be extorted,” he said.
A follow-up meeting is scheduled, expected to include the Nigerian Bar Association and other stakeholders, to harmonize regulatory frameworks and improve transparency in the sector.
