High rent: Hamzat urges young Lagos workers to live with parents, relatives

Lagos State Deputy Governor, Obafemi Hamzat, has advised young workers grappling with high rental expenses to consider living with their parents, relatives, or sharing living spaces instead of straining to afford housing they cannot comfortably manage. Speaking on Thursday during a Q&A session with Nigeria Info FM, Hamzat recommended that young people, particularly those starting their careers, base their housing choices on their earnings and financial capabilities.

Responding to concerns about a 22-year-old earning N100,000 monthly finding it impossible to pay for a self-contained apartment that costs about N1m annually in rent, Hamzat emphasized that young Nigerians should not be compelled to move into independent accommodation immediately after finding a job, especially if their income does not support the cost.

Hamzat highlighted that living arrangements in other countries, such as Turkey, where young people share accommodation or stay with family while establishing their finances, provide a good example. He stressed there is no shame in starting modestly and upgrading one's living conditions as income improves. “If you don’t start from the top self-contained, you don’t start from the top. You start from the average depending on,” he said.

He cautioned against allocating more than 40% of one’s income to rent, as this would leave little room for other essential expenses such as food, clothing, and transportation. Hamzat also introduced Lagos State's mortgage financing initiative, which aims to help residents achieve home ownership without having to pay the full upfront price. The state's mortgage board provides financing options for those who can prove their ability to repay the loan.

To facilitate mortgage approval, the Lagos State Residents Registration Agency (LASRRA) identification system can be used to verify residents' identities, addresses, and workplaces, which helps assess their mortgage eligibility. Using a N7m property in Bisedi as an example, Hamzat explained that a buyer could make a 10% initial payment of N700,000 and spread the remaining balance over a 10-year period. The monthly payments would depend on the buyer’s income and repayment capacity.

Hamzat urged young people to begin with affordable housing options while developing a saving habit, gradually working towards owning property. He acknowledged that housing affordability is closely linked to the overall economic situation and stressed the importance of improving residents’ earning power. "What is important is we must also build our economy in such a way that people earn better, you understand, so that everybody can be uplifted, and that is the bottom line," Hamzat said.