Soaring Property Prices Shut Millions Out of Homeownership

Nigeria's homeownership crisis worsens as soaring property prices and rents outpace ordinary Nigerians' purchasing power, according to real estate experts. Developers, estate surveyors, and professionals blame a confluence of issues for the affordability gap, including expensive land, materials, labor, infrastructure, financing, regulatory costs, and weak income growth.

REDAN President Oba Akintoye Adeoye calls for examining the entire housing value chain, from land acquisition to regulatory expenses, to lower production costs for developers. However, the association warns against arbitrary pricing or consumer exploitation. Adeoye urges improved access to long-term, affordable mortgage finance to enable homeownership over 15, 20, or 30 years.

Meanwhile, Chief M.I. Okoro, an estate surveyor, highlights the disparity between housing demand and supply, attributing the crisis to population growth, urban migration, and limited land availability. He emphasizes the need for increased housing supply, particularly through social housing and local government initiatives. Okoro questions why Nigeria's 774 local governments haven't developed council housing schemes to address the affordability gap, advocating for state support in providing affordable accommodation.