The Lagos State Government has reiterated its commitment to sanitising the real estate sector by declaring that it is now a criminal offence to operate in the real estate space without proper registration with the Lagos State Real Estate Regulatory Authority (LASRERA). The warning comes amid concerns about fraudulent property dealings and growing reports of unlicensed operators exploiting unsuspecting residents.
The Special Adviser to the Governor on Housing and Head of LASRERA, Barakat Odunuga-Bakare, made this known in Alausa, Ikeja, in a statement posted on the official X (formerly Twitter) account of the state government. She warned that individuals or organisations engaging in property-related business without a valid LASRERA registration certificate would face serious penalties.
“It is an offence to practice real estate business, either as a commission agent, realtor, or property manager, without proper registration with LASRERA,” she declared. “Even dealing with such unregistered individuals or firms is considered illegal.”
LASRERA, which was established to regulate, monitor, and coordinate the real estate business in Lagos, plays a vital role in reducing fraud and building investor confidence in the state’s dynamic property market. Its responsibilities include certifying practitioners, handling complaints, investigating misconduct, and ensuring compliance with real estate laws.
Odunuga-Bakare emphasized that the real estate regulatory body is enforcing strict limits on agency fees, which must remain within the legally sanctioned range of 0 to 10 percent. She further cautioned practitioners against the now-prevalent illegal demand for more than one year’s rent upfront—a practice that violates Lagos tenancy laws and exploits prospective tenants.
“We are urging Lagosians not to pay beyond the approved agency fees. If anyone is asked to pay more than the legal limit or more than one year’s rent upfront, they should report such agents or landlords to LASRERA,” she advised.
The Lagos State Government has also launched awareness campaigns to educate the public on the importance of verifying the registration status of any real estate professional before entering property transactions. Residents are encouraged to use LASRERA’s online portal to confirm the legitimacy of agents and firms, thereby reducing the risk of scams and illegal charges.
This renewed enforcement drive follows increased reports of professional misconduct, inflated agency fees, and unfulfilled real estate transactions involving fake or unregistered agents. In response, the Sanwo-Olu administration, through LASRERA, has vowed to rid the sector of unscrupulous operators and restore order, transparency, and professionalism.
According to the statement, real estate operators must comply with the Lagos State Real Estate Transaction Law and other applicable guidelines or risk losing their licenses and facing prosecution.
Real estate stakeholders have praised LASRERA’s efforts but are calling for improved enforcement and collaboration with local associations to weed out bad actors. “The regulatory drive is commendable,” said Bolaji Adebayo, a property lawyer in Ikeja. “But what’s crucial now is consistent enforcement and public sensitization.”
The Lagos property market, one of the most active in Nigeria, continues to attract investors, developers, and home seekers. With a housing deficit of over 3 million units, transparency and accountability in real estate dealings have become more crucial than ever.
As the state strengthens its monitoring efforts, residents are advised to avoid unlicensed agents, verify LASRERA certifications, and report fraudulent transactions to the agency through its helplines or official website.
