Lagos to Phase Out Annual Rent Payments, Introduce Monthly, Quarterly Options
Commissioner for Housing, Moruf Akinderu-Fatai, has disclosed that the Lagos State Government plans to phase out annual rent payments in favour of more flexible monthly and quarterly options. He made this known during the 2025 Ministerial Press Briefing, highlighting the state’s commitment to making housing more affordable and accessible.
According to Akinderu-Fatai, the proposed policy is aimed at easing the financial burden on residents, particularly low-income earners who often struggle with lump-sum rental payments.
“The traditional annual rent model places an undue financial strain on many Lagosians,” he said. “We believe monthly or quarterly payment options will offer people more breathing room and reduce the stress of sourcing lump sums.”
He noted that the new rent structure builds upon the success of the state’s rent-to-own scheme, which enables beneficiaries to make a five percent down payment and spread the remaining balance over ten years. The positive reception of that initiative, he said, inspired the government to explore more flexible rental systems.
“That initiative was well-received, and its success encouraged us to explore new ways to reduce the pressure of yearly rent payments,” Akinderu-Fatai stated.
To ensure effective implementation, the state government is currently engaging landlords, property developers, and other stakeholders. Key areas under discussion include landlord cooperation, enforcement mechanisms, and secure payment tracking systems.
“There are issues to resolve — landlord cooperation, payment monitoring, and enforcement mechanisms,” he noted. “But discussions are ongoing, and we are listening to all sides.”
He assured residents that this is not a mere policy on paper but a concrete step toward housing reform. A pilot phase of the new rent structure is expected to roll out in selected areas of the state soon.
“This is real progress. We understand what this means for many families, and we are determined to make it happen,” the commissioner concluded.