The Lagos State Government has announced plans to phase out the traditional annual rent payment model, introducing more flexible monthly and quarterly payment options to ease the financial burden on residents.
The initiative, revealed during the 2025 Ministerial Press Briefing by the Commissioner for Housing, Moruf Akinderu-Fatai, aims to make housing more affordable—particularly for low- and middle-income earners who often struggle to make large, upfront rent payments.
“This policy is part of our broader efforts to create a more accessible and inclusive housing system in Lagos,” Akinderu-Fatai said. He pointed to the state’s earlier rent-to-own scheme—which allows participants to pay just five percent upfront and spread the balance over a decade—as a successful example that laid the groundwork for this new approach.
“That initiative was well-received, and its success has inspired us to explore additional ways to ease the financial stress caused by yearly rent demands,” he added.
The commissioner emphasized that annual rent payments place an undue strain on many households, forcing families to source large sums of money all at once. “We believe monthly or quarterly rent options will provide more breathing room and reduce that financial pressure,” he noted.
To implement the new policy effectively, the government is in active discussions with landlords, real estate developers, and key stakeholders to address potential obstacles such as compliance, secure payment systems, and enforcement mechanisms.
“We acknowledge that there are challenges — landlord cooperation, payment tracking, and enforcement among them — but we are addressing these through ongoing stakeholder engagement,” Akinderu-Fatai said.
A pilot rollout of the new rent payment structure is expected to begin soon in selected areas across the state.
“This is more than a policy announcement,” he concluded. “It’s a commitment to improving the lives of Lagosians. We understand the significance of this shift for many families, and we’re determined to see it through.”
