We believe that monthly or quarterly payment options will give people more breathing space and reduce the stress associated with sourcing lump sums.
In a significant move aimed at alleviating the financial burden faced by residents, particularly low-income earners, the Lagos State Government has announced plans to introduce monthly and quarterly rent payment systems. This initiative is part of broader efforts to enhance housing accessibility and affordability in Nigeria’s commercial capital.
The Commissioner for Housing, Moruf Akinderu-Fatai, made this disclosure during the 2025 Ministerial Press Briefing held to commemorate the second year of Governor Babajide Sanwo-Olu’s second term in office.
Akinderu-Fatai highlighted the financial strain that the traditional annual rent payment model places on tenants, noting that a more flexible payment structure would significantly ease the pressure.
This new initiative builds upon the success of previous housing interventions by the state, notably the rent-to-own scheme, which allowed participants to move into state-owned housing units after paying a modest five percent initial deposit, with the balance spread over a 10-year period.
The Commissioner cited this scheme as a model that demonstrated the positive impact of innovative housing solutions and confirmed the government’s commitment to building on that success.
“That initiative was well-received, and its success encouraged us to explore new ways to reduce the pressure of yearly rent payment,” Akinderu-Fatai said.
The annual rent model, which typically requires tenants to make large lump-sum payments upfront, has long been a source of stress for many residents in Lagos, especially those living on limited incomes. The proposed monthly and quarterly rent payment options aim to provide more manageable and sustainable payment structures.
“We believe that monthly or quarterly payment options will give people more breathing space and reduce the stress associated with sourcing lump sums,” the Commissioner explained.
The proposed system, if successfully implemented, could transform the rental landscape in Lagos, providing tenants with greater financial flexibility and reducing the risk of homelessness or housing instability due to inability to pay large sums at once.
Despite the positive outlook, Akinderu-Fatai acknowledged that implementing the new rent system is not without challenges. Critical to the success of the initiative will be the cooperation of landlords, developers, financial institutions, and other stakeholders in the real estate sector.
“Of course, there are issues to resolve — things like landlord cooperation, payment tracking, and enforcement. But discussions are ongoing, and we are listening to all sides,” he noted.
The government is actively engaging these stakeholders to address potential barriers, such as ensuring payment reliability, building trust among landlords, and creating systems for dispute resolution and enforcement of agreements.
To test the feasibility and identify potential pitfalls, the state government plans to launch a pilot phase in select areas of Lagos. This controlled rollout will provide data and feedback that will be instrumental in fine-tuning the policy before a broader implementation.
“This is not just policy on paper. We are making real progress. We know what this means for many families, and we are determined to make it happen,” the Commissioner affirmed.
The pilot program is expected to include both private and government-backed housing projects and may involve the use of digital platforms to streamline payments and tracking.
By allowing monthly or quarterly payments, the government hopes to reduce housing-related financial stress and create a more inclusive rental market.
If successfully implemented, Lagos could serve as a model for other Nigerian states and cities facing similar housing affordability challenges. With strategic planning, stakeholder collaboration, and sustained political will, this initiative could significantly improve living conditions for thousands of residents across the state.
