300% Rent 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 to the 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 forced to evict or grapple with the new reality of the housing crisis.

Abuja’s Rent Explosion

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

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

Following a disagreement with a 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 as she was evicted from the house. 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 accommodation costs continue 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 finding it difficult to get accommodation. Workers are relocating to distant communities, while 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 away.

According to recent findings by Kaija Property in its report titled “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 attributed the surge to a combination of factors, including fuel subsidy removal, naira depreciation, escalating construction costs, population growth and a chronic shortage of houses.

Today, the average rent for one-bedroom apartments 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; ₦200,000 to ₦850,000 in Gwagwalada, Kuje and Abaji.

Yet many residents argue these figures tell only a part of the story.

Landlords frequently demand even two years’ rent upfront, agent, legal, inspection, caution fees, and service charges.

Before tenants receive keys to an apartment, they often spend far more than the advertised rent.

For many workers, moving into a modest apartment now requires millions of naira.

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 transformed basic housing features such as 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 growing resentment among residents who believe housing costs have become detached from economic realities.

According to him, many young graduates who complete university education can no longer afford independent accommodation.

“People spend four or five years in school and still cannot afford a self-contained apartment after graduation.

“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 is more like exploitation, not business.

She said her landlord, who lives overseas, recently informed her that her annual rent would increase from ₦400,000 to ₦600,000. The increase came despite no renovation 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 that caretakers have emerged as another group of a powerful force behind Abuja’s housing crisis.

She stated that many absentee landlords depend entirely on caretakers to manage their properties and determine rental values.

According to her, some caretakers encourage landlords to increase rents regardless of the condition of their 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.”

Her allegations reflect 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 fuel subsidy in 2023 triggered high cost of things in the country such as transportation, logistics and 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 on X: “So if you’re renting a good 2/3 bedroom flat in Lagos, you gotta 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 Expressway) 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 not different, as residents last week embarked on a protest over the unprecedented increase in house rents by property owners in recent years. Videos shared on social media showed protesters chanting some songs of lamentation over high tenancy charges imposed by landlords and agents. Some displayed placards with inscriptions such as: “Enugu Landlords and Agents of Darkness Enough is Enough,” “We need Houses not Hardship,” “No More Money, Rent must go Down.”

The protesters marched to Michael Okpara, expressing their grievances over what they deemed as exploitation by landlords and agents.  They called on the Enugu State government to regulate housing fees to check the excesses of landlords and housing agents.

One of the leaders of the protest, who identified himself as Choko, said a landlord woke up one day and increased the rent of his tenant from N500,000 to N1.5 million, describing it as outrageous and exploitative.  “We are tired of excessive charges from agents and landlords,” Choko stated in an interview with newsmen during the protest.

“The government should step in and regulate the activities of housing agents and landlords,” he added. For the agency fee, he urged the government to peg it at 5 to 10 per cent of the total rent.

He urged landlords to charge what they consider a fair value for their properties, rather than quoting any amount they feel like.

Stephen Ezeja, a land surveyor, said rents in the Southeast city have increased significantly over the last two years. According to him, rents have increased to about N800,000 and N1.5 million for a three-bedroom apartment from about N500,000 and N600,000 previously.

Ezeja corroborated claims that many landlords now collect both legal fees, agent fees, and caution fees even when they were approached directly by the tenant, and none of these third parties were involved.

While noting that the high cost of things in the country is triggering the increase in house rents, he said some landlords are simply exploiting tenants even when they have added no value to their old houses in terms of major renovations that should warrant high charges.

Chikamso Ikediala, a resident of Port Harcourt, said rent varies in different parts of the city. According to her, rents range from N800,000 to N1.5 million for a two-bedroom apartment, while a one-bedroom apartment goes for about N600,000 and N700,000 per year in some parts of the city. She said the lowest price found in low-cost neighbourhoods is between N400,000 and N500,000 per year.  She lamented the rising cost of rents in the city in recent times, noting that it is affecting low-income earners.

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 reduced the value of rental income while construction costs have continued to rise.

“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 dealing 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 stated.

Jagun said the government has failed to increase housing supply while making 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 added, “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, Jagun cited a Lekki property where a landlord initially proposed increasing 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 rented for ₦10 million.

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

“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 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 that increase housing supply and reduce 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 states to regulate house rents, saying the difficult economic climate was placing pressure on tenants and that rents often surge after new infrastructure is built.

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 requiring the registration of estate agents as part of efforts to improve transparency and accountability in the property market.

Gbadewole said he supports a bill currently before the National Assembly that would require estate developers and realtors to obtain licences before operating.

The legislation has already passed first and second readings.

Supporters believe it could improve transparency, accountability and professionalism while reducing fraudulent practices.

What Protection Do Tenants Have?

Under the tenancy regulations applicable in the FCT, yearly tenants should receive written notice of proposed rent increases at least six months before their tenancy expires.

Tenants also have the right to challenge unreasonable increases through the FCT Rent Tribunal or magistrate courts.

However, many lack the resources or confidence to pursue legal action.

As a result, countless residents simply relocate.