Buyletlive, an online Nigerian Real Estate platform that promotes properties in Nigeria, says that about 98.5 per cent of Lagos residents live in rented apartments.
The new report stated that with inflation and exchange rates in Nigeria consistently rising, residential occupiers in Lagos are mostly residents interested in renting apartments rather than owning them.
“Our analysis indicates that 98.5 per cent of respondents in Lagos live in rented apartments,” it noted.
It added that economic pressures, including high inflation and a volatile exchange rate, had led to an upward trend in property prices in Lagos State, resulting in a surge in demand for rental properties.
“This demand is particularly strong in affordable areas that offer amenities and proximity to workplaces. The top three residential areas in high demand in Lagos are Yaba, Surulere, and Gbagada. Despite the increasing demand, the supply of housing in these areas remains insufficient to meet the growing needs.
“The current housing deficit in Lagos State is over three million units. This highlights a significant gap between the demand for and supply of residential properties in the state,” the Punch newspaper report on Monday quoted Buyletlive as saying in its report.
According to the Technical Secretary of the Nigerian Society of Engineers, Victoria Island Branch, Babatunji Adegoke, the cost of owning a home exceeds the average worker’s income.
“Furthermore, high mortgage interest rates are not appealing to many. Social housing options are rarely available, and when they are, they are unaffordable for the average income earner.
“Additionally, homeownership continues to rise due to ongoing inflation. As a result, many people are more concerned about meeting their basic needs rather than prioritizing homeownership,” he said.
GIK/APA