Lagos Govt warns in opposition to lease exploitation, reaffirms 10% restrict in tenancy charges 

The Lagos State Authorities has reiterated its place in opposition to the exploitative rental practices, warning landlords and brokers that tenancy settlement charges should not exceed 10% of the annual lease.

The Particular Adviser to the Governor of Lagos State on Housing, Barrister Barakat Odunuga-Bakare, made this recognized on the 2025 Ministerial Press Briefing held on the Bagauda Kaltho Press Centre, Alausa.

She highlighted the readability of the Lagos State Tenancy Regulation, stating that any demand above 10% for settlement or authorized charges is a direct violation of the state’s housing rules.

“The Lagos State Authorities has reiterated its stance in opposition to the imposition of extreme tenancy settlement charges, reminding all stakeholders inside the state that the stipulated most stays 10% of the annual lease. 

“Barr. Odunuga-Bakare underscored the readability and unambiguous nature of the Lagos State Tenancy Regulation, stating unequivocally that any landlord or agent discovered demanding or accumulating greater than 10 per cent of the annual lease as settlement or authorized charges is in direct violation of the state’s tenancy rules,” the supply learn partly

Bakare mentioned the federal government has been overwhelmed with experiences of landlords and brokers charging exorbitant settlement and fee charges, making life more durable for Lagosians.

She urged members of the general public to not stay silent however to talk up and report any landlord or agent demanding unlawful charges, emphasizing that the federal government can not at all times be current in all places.

The Particular Adviser acknowledged that Lagos’ rising inhabitants and rising migration have created alternatives for some to take advantage of renters, however affirmed the federal government’s dedication to cleansing the housing sector and defending residents’ rights.

She additionally identified the continued collaboration between the federal government and acknowledged associations of actual property brokers, noting that most of the offenders usually are not licensed professionals.

The Lagos State Authorities urges all residents who encounter calls for for tenancy settlement charges exceeding the legally mandated 10% to report such incidents via the Lagos State Actual Property Regulating Authority (LASRERA).

What it is best to know  

The housing state of affairs in Lagos continues to deteriorate, with tenants going through relentless strain from rising rents and under-regulated fees. In lots of neighborhoods, rents have greater than doubled over the previous few years.

• In January 2025, Nairametrics reported that the price of short-let residences in Lagos skyrocketed by over 200% final 12 months alone, following a 12.95% enhance in 2023 and a 46.4% rise earlier in the identical 12 months.

The Lagos State Authorities’s latest reaffirmation of the ten% cap on tenancy settlement charges goals to deal with these challenges and defend tenants from exploitative practices. By imposing this regulation, the federal government seeks to foster a clear and extra accessible housing market within the state.