300% Hike: How Nigeria’s Rental Boom Is Pricing Out the Working Class

• Across major Nigerian cities, angry tenants cry foul as landlords and caretakers cash in on the crumbling economy

• Desperate Tenants Crowdfund and Share Rooms to Survive Rent Hikes

 

While Nigerians battle the high cost of fuel, food, transportation and healthcare, the rising cost of house rents has added a fresh layer to the country’s cost-of-living crisis.

Rising rents, desperate tenants, absentee landlords, aggressive agents and a deepening housing deficit are forcing thousands of people across the country to choose between shelter and survival.

Pinnacle Daily’s findings reveal that rents have soared by between 100 per cent and over 300 per cent within the last two years in major cities across the country, including Lagos, Abuja, Port Harcourt and Enugu, where residents are either being forced out or are grappling with the new reality of the housing crisis.

Abuja’s Rent Explosion

In Abuja, the high cost of rent has forced many desperate residents to flee the city centre, share apartments with strangers, crowdfund for accommodation, and spend more than half their income on housing.

At 8:17 p.m. on 19 June 2026, Chisom Thank God she found herself confronting a reality she had never imagined.

Following a disagreement with the friend she had been living with in Abuja, she was asked to leave the apartment they shared. Within hours, her world had been turned upside down. With little or no savings to fall back on, the prospect of homelessness suddenly became frighteningly real.

Overwhelmed and unsure of where to turn, Chisom took to WhatsApp, posting a heartfelt appeal for help and hoping someone would hear her silent cry.

The response was immediate. Friends reached out with words of encouragement. Some sent financial support. Others offered temporary shelter until she could regain her footing.

Today, Chisom lives in a shared apartment, carefully rebuilding her finances and saving towards securing a place she can call her own.

Her experience is no longer an isolated case. In a city where the cost of accommodation continues to soar beyond the reach of many workers, Chisom’s story has become a reflection of a broader housing crisis unfolding quietly across Nigeria’s capital.

From Kubwa to Karu, from Lugbe to Lokogoma, from Jabi to Wuse, the cost of shelter is rising so rapidly that many residents say Abuja is gradually becoming a city only the wealthy can afford.

Young graduates are struggling to find accommodation. Workers are relocating to distant communities. Families are spending more than half their income on housing. Many residents now fear that the dream of living comfortably in Nigeria’s capital is slipping out of reach.

According to recent findings by Kaija Property in its report, “Abuja Rent Trends (2024–2026): What Tenants, Buyers and Landlords Need to Know”, Abuja’s rental market has experienced dramatic increases over the last two years. The report attributes the surge to a combination of factors, including the removal of the fuel subsidy, naira depreciation, escalating construction costs, population growth and a chronic shortage of housing stock.

Today, the average rent for a one-bedroom apartment ranges from ₦6 million to ₦7.5 million per annum in Maitama, Asokoro and Katampe Extension. It ranges from ₦3.5 million to ₦4.5 million in Wuse 2, Wuye, Jabi and Utako; ₦1.5 million to ₦2.5 million in Kubwa, Lugbe, Lokogoma and Karu; and ₦200,000 to ₦850,000 in Gwagwalada, Kuje and Abaji.

Yet many residents argue that these figures tell only part of the story. Landlords frequently demand up to two years’ rent upfront, on top of agent, legal, inspection, caution and service-charge fees. Before tenants even receive the keys to an apartment, they often end up spending far more than the advertised rent. For many workers, moving into a modest apartment now requires millions of naira before they have unpacked a single box.

Some Abuja residents expressed their frustration about the development. Mr Jordan believes greed has become one of the biggest drivers of the housing crisis. Speaking with Pinnacle Daily, he questioned why ordinary housing features are increasingly being presented as luxury additions.

“What is special about POP?” he asked angrily. “Are houses supposed to be roofed with grass? Why should POP ceilings be used to justify increasing rent?”

Jordan argued that many landlords, realtors and agents have turned basic housing features like tarred roads, gated compounds, tiled floors, wardrobes, kitchen cabinets and running water into selling points.

“These are things every proper house should have. They are not luxury items,” he insisted.

His frustration reflects a growing resentment among residents who believe housing costs have become detached from economic reality. According to him, many young graduates can no longer afford independent accommodation after completing their education.

“People spend four or five years in school and still cannot afford a self-contained apartment after graduation,” he said. “One-room self-contained apartments are going for over ₦2 million in some places. One-bedroom apartments are approaching ₦3 million or more. How is an average young Nigerian supposed to survive?”

Jordan’s concern touches on a growing reality across Abuja.

For Juliana Oluwatosin, a resident of Kubwa Village, the latest rent hike feels less like business and more like exploitation. She said her landlord, who lives overseas, recently informed her that her annual rent would rise from ₦400,000 to ₦600,000 — despite no renovation having been carried out on the property.

“No repairs were done. No renovations were carried out. Nothing changed, yet my rent was increased by ₦200,000,” she told Pinnacle Daily.

Like many tenants, Oluwatosin believes caretakers have emerged as another powerful force behind Abuja’s housing crisis. She explained that many absentee landlords depend entirely on caretakers to manage their properties and set rental values — and that some caretakers push for rent increases regardless of the actual condition of the buildings.

“Many landlords abroad don’t know what is happening here. They depend on caretakers. Some of these caretakers are contributing to the problem because they keep pushing for rent increases,” she said.

Her account reflects a growing perception among tenants that rent increases are no longer driven solely by economic factors. Many now believe middlemen within the housing sector are accelerating the crisis.

Agents, Inspection Fees and Growing Anger

If tenants blame landlords and caretakers, Jordan believes estate agents deserve equal scrutiny.

He criticised the growing trend of charging inspection fees before prospective tenants even decide whether to rent a property.

According to him, some agents charge between ₦10,000 and ₦15,000 merely to show available apartments.

“The person has not even rented the house yet. They are just looking, and they are already paying.”

Jordan further alleged that some agents pressure landlords to increase rents because higher rents translate into larger commissions.

Whether fair or not, such accusations reveal the deep distrust developing between tenants and property intermediaries.

How Abuja Became So Expensive

While many residents blame landlords, economists and property experts argue that Abuja’s housing crisis is rooted in broader economic realities.

According to Kaija Property, the removal of the fuel subsidy in 2023 triggered high costs of things in the country such as transportation, logistics and the cost of building materials.

At the same time, the naira depreciated dramatically, with the exchange rate moving from around ₦460 per dollar in mid-2023 to above ₦1,500 per dollar by early 2024.

For developers relying on imported materials, the consequences were severe as building materials and construction costs surged.

Kaija Property said tenants are increasingly relocating to Lugbe, Karu, Gwagwalada, Kuje, Suleja and Keffi.

For some, the move provides temporary financial relief, but the savings often come at a cost as they endure longer commutes, higher transportation expenses, more time in traffic, and less time with family.

A worker who can no longer afford Wuse or Jabi may spend hours travelling from a satellite town every day.

For many residents, sharing accommodation is now the only way to remain within the city.

Developers Sound the Alarm

Amos Gbadewole, Vice Chairman of the Real Estate Developers Association of Nigeria (REDAN) in the Federal Capital Territory, said developers are struggling as well.

According to him, rising prices of cement, steel reinforcement bars, sand and other construction materials have significantly increased the cost of building homes.

“Nigeria is a capitalist economy, and the cost of inputs determines the cost of output,” he explained.

“Government regulations and incentives are needed to reduce the prices of building materials and make housing more affordable.”

Stakeholders have particularly expressed concern about cement prices, which now hover around ₦12,000 per bag from about ₦5,000 a few years ago.

Gbadewole also identified expensive land acquisition, inadequate access to long-term financing and the shortage of skilled professionals as barriers to housing development.

The result is fewer affordable housing projects at a time when demand is surging.

The Short-Let Effect

The growth of short-let apartments is also said to be affecting the availability of residential homes.

According to Kaija Property, landlords increasingly convert residential apartments into short-let properties because they generate higher returns.

In areas such as Jabi and Maitama, short-let apartments can earn between ₦80,000 and ₦200,000 per night.

As more landlords pursue short-term profits, fewer apartments remain available for long-term tenants.

This further tightens supply and pushes rents even higher.

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Lagos Rent Crisis Deepens as Supply Fails to Match Demand

In Lagos, the cost of renting a home has equally jumped, forcing many residents out of their neighbourhoods and widening the gap between incomes and housing costs.

Rental data shows a sharp divide across the state. Ikoyi remains the most expensive location, with one-bedroom apartments averaging ₦15 million annually and two-bedroom units reaching ₦30 million. Victoria Island follows, where a two-bedroom apartment averages ₦20 million, while in Lekki, one-bedroom and two-bedroom apartments cost about ₦4 million and ₦9 million, respectively.

On the mainland, Maryland, Ikeja, Gbagada, Surulere, Ilupeju, Yaba, and Ojota form the mid-tier market, with two-bedroom apartments averaging between ₦4 million and ₦5 million. More affordable areas such as Alimosho, Ifako-Ijaiye, Ibeju Lekki, and Kosofe offer two-bedroom apartments for about ₦2 million, while Ikorodu remains one of the cheapest locations, with one-bedroom apartments averaging ₦500,000 and two-bedroom units ₦1 million.

The rising rents have triggered widespread frustration among residents, Pinnacle Daily can report.

Media personality and content creator Asherkine reflected the mood on social media when he wrote, X: “So if you’re renting a good 2/3-bedroom flat in Lagos, you’ve got to have ₦12–15 million?” This cannot be my own 20s, God.”

His post quickly went viral, with many young Nigerians saying rents in areas such as Lekki, Ikoyi, and Victoria Island had tripled over the last few years, making decent accommodation increasingly difficult to afford.

Some residents have responded by relocating. James Anozie, who recently moved from Ojodu-Berger to Mowe, said rising rents left him with little choice.

“I could no longer cope with the house rent in Ojodu, and I have relocated to Mowe. At least I can get a comfortable one-bedroom apartment for N400,000. I like it. Going to Lagos from here will not be a challenge since the road (Lagos-Ibadan Motorway) is good and not much traffic except if there are accidents on the road”, he said.

Enugu Residents Protest High Cost of Rent

In Enugu, the story is no different. Residents last week embarked on a protest over what they described as an unprecedented increase in house rents by property owners in recent years.

Videos shared on social media showed protesters chanting songs of lamentation over the high tenancy charges imposed by landlords and agents. Some carried placards with inscriptions such as “Enugu Landlords and Agents of Darkness, Enough is Enough”, “We Need Houses, Not Hardship”, and “No More Money, Rent Must Go Down”.

The protesters marched to Michael Okpara Street, voicing their grievances over what they described as exploitation by landlords and agents, and calling on the Enugu State government to regulate housing fees to check the excesses of landlords and housing agents.

One of the protest leaders, who identified himself only as Choko, said a landlord had woken up one day and increased a tenant’s rent from ₦500,000 to ₦1.5 million, describing the move as outrageous and exploitative.

“We are tired of excessive charges from agents and landlords,” Choko told newsmen during the protest. “The government should step in and regulate the activities of housing agents and landlords.”

On agency fees specifically, he urged the government to peg charges at five to ten per cent of the total rent and called on landlords to charge what they consider a fair value for their properties, rather than quoting whatever amount they feel like.

Stephen Ezeja, a land surveyor, said rents in the Southeast city have risen significantly over the past two years. According to him, the cost of a three-bedroom apartment has climbed to between ₦800,000 and ₦1.5 million, up from roughly ₦500,000 to ₦600,000 previously.

Ezeja corroborated tenants’ claims that many landlords now collect legal fees, agent fees and caution fees simultaneously, even in cases where a tenant approached the landlord directly and no agent or lawyer was involved in the transaction.

While acknowledging that the rising cost of goods and services nationwide is contributing to the increase in rents, Ezeja said some landlords are simply exploiting tenants, raising charges even where no major renovation has been carried out to justify the increase.

Port Harcourt’s Rising Rents

Chikamso Ikediala, a resident of Port Harcourt, said rents vary considerably across different parts of the city. According to her, a two-bedroom apartment now costs between ₦800,000 and ₦1.5 million per year, while a one-bedroom apartment goes for roughly ₦600,000 to ₦700,000 in some areas. The lowest prices, she said, are found in low-cost neighbourhoods, where rents range between ₦400,000 and ₦500,000 per year.

She lamented the rising cost of rent in the city in recent times, noting that it is increasingly squeezing low-income earners out of decent housing.

 

Supply, Inflation Driving the Market

Real estate expert and facility manager Stephen Jagun believes the problem is fundamentally one of supply and demand.

“You have given the answer already. Supply is not meeting demand — that is the key issue,” he said.

According to Jagun, inflation has eroded the value of rental income even as construction costs have continued to climb.

“The ₦2 million rent I collected two years ago does not have the same value today. The rent has been eroded by inflation, so naturally, a landlord wants to catch up.”

He argued that landlords are also contending with higher development costs. “What is the cost of construction today? If I want to replace what I have, I must build at today’s prices, not yesterday’s… If your investment is not generating a reasonable return, then you are operating at a loss,” he said.

Jagun added that the government has failed to expand housing supply, even as it makes development more expensive through high approval costs and other charges.

“One of the major things driving rent increases is that the government keeps talking but is not adding to the housing stock. Instead, it is making it difficult for developers to operate,” he said. “The government is not increasing housing supply, and it is not making investment easier. Approval costs have become extremely high, yet nobody is talking about that.”

To illustrate the market dynamics at play, Jagun cited a Lekki property where a landlord initially proposed raising the rent on a three-bedroom apartment from ₦2.7 million to ₦4 million. After one tenant moved out, the renovated apartment attracted a new tenant willing to pay ₦8.5 million, while another unit in the same property was eventually let for ₦10 million.

He said increases of this scale create a ripple effect across Lagos, as tenants priced out of expensive neighbourhoods move into cheaper areas and offer higher rents there, pushing existing residents further out.

“The market determines rent. The major factors affecting that market are inadequate housing supply, inflation, and the rising cost of building new houses,” he said.

Jagun warned, however, that rent control alone would not solve the problem. “Lagos attempted rent control before, and it created a black market. If the government criminalises rent increases without addressing the shortage of housing, people will simply find ways around the law.”

Instead, he called for policies aimed at increasing housing supply and reducing development costs. “The solution is not rent control. The solution is to address the fundamentals — increase housing supply, reduce inflation, lower development costs, and make it easier for investors to build more houses. Until those issues are addressed, rents will continue to rise, because we operate a market-driven economy.”

The issue has also drawn the attention of policymakers. In October 2025, the House of Representatives urged the federal government to work with the states to regulate house rents, arguing that the difficult economic climate was placing undue pressure on tenants and noting that rents often surge after new infrastructure is built nearby.

Meanwhile, the Lagos State Government says a new tenancy bill before the House of Assembly is expected to address abnormal rent increases, illegal charges and agency fees while also requiring the registration of estate agents as part of broader efforts to improve transparency and accountability in the property market.

Gbadewole said he supports a separate bill currently before the National Assembly that would require estate developers and realtors to obtain licences before operating. The legislation has already passed its first and second readings. Supporters believe it could improve transparency, accountability and professionalism in the sector while reducing fraudulent practices.

What Protection Do Tenants Have?

Under the tenancy regulations applicable in the FCT, yearly tenants are entitled to written notice of any proposed rent increase at least six months before their tenancy expires. Tenants also have the right to challenge unreasonable increases through the FCT Rent Tribunal or the magistrate courts.

In practice, however, many tenants lack the resources or the confidence to pursue legal action. As a result, countless residents simply relocate instead of fighting the increase.