Rent Burden: Lagos Charges Estate Surveyors, Developers To Stem Illegal Fees

In a move to tackle rising rent costs and unregulated charges in the real estate sector, the Lagos State Government has called on estate surveyors, valuers, and developers to support its efforts in curbing illegal fees and reducing the financial burden on tenants.

At a stakeholder meeting held at the Ministry of Housing, Alausa, Ikeja, key professional bodies including the Nigerian Institution of Estate Surveyors and Valuers (NIESV), Real Estate Developers Association of Nigeria (REDAN), and Association of Estate Agents in Nigeria (AEAN) were urged to align with the state’s agenda for affordable and transparent housing practices.

The call to action follows reports of soaring rent prices in Lagos. In February, THE WHISTLER highlighted a growing trend of exorbitant rent hikes across the state, with some landlords raising rents by as much as 400 per cent.

The state government expressed concern over the proliferation of unapproved charges such as caution fees, inspection fees, and finders’ fees, describing them as unethical and damaging to both tenants and the integrity of practitioners.

The meeting was jointly chaired by the Commissioner for Housing, Hon. Moruf Akinderu-Fatai, and the Special Adviser to the Governor on Housing, Barrister Barakat Odunuga-Bakare. The duo emphasised the government’s commitment to restoring order to the sector and reinforcing the enforcement of existing real estate laws.

‘’Lagos State Government is concerned about the challenges faced by families in securing and retaining rental accommodation in the State with unpleasant rent increments and illegal estate transaction charges,” Akinderu-Fatai was quoted as saying in a statement issued by the Ministry of Housing Deputy Director, Public Affairs, Ganiu Lawal.

“I want to assure you that the State Government under the leadership of Mr Babajide Sanwo-Olu is compassionate and will leave no stone unturned to ensure sanity in the real estate business in the State.”

The commissioner also reiterated the government’s plan to promote monthly and quarterly rent payment structures to ease the financial strain on residents, in accordance with the state’s tenancy laws.

Odunuga-Bakare highlighted the roles of the Lagos State Tenancy Law (2015) and the Lagos State Real Estate Regulatory Authority (LASRERA) Law, which stipulate that transaction fees should not exceed 10 per cent.

She called on practitioners to register with LASRERA and abide by regulatory guidelines.

Representatives of NIESV, REDAN, and AEAN, including ESV Gbenga Ismail, Dr. Kolawole Tony, and Dr. Adeniyi Tinubu, expressed their willingness to collaborate with the government. They pledged support for advocacy, sensitisation campaigns, and the promotion of ethical standards in property transactions.

The meeting concluded with a resolution to convene a broader stakeholder forum, involving the Nigerian Bar Association and other relevant sectors, to ensure a holistic and enforceable reform of the real estate industry in Lagos.

Rent Burden: Lagos Charges Estate Surveyors, Developers To Stem Illegal Fees is first published on The Whistler Newspaper