Lagosians React As Government Opens Channels To Report Housing Agents For Exploitation

Lagosians React As Government Opens Channels To Report Housing Agents For Exploitation

  • Housing challenges in Lagos state continue to dominate conversations on social media, with a lot of appeal to the government to step in
  • The Lagos state government has opened up online platforms and handles where people can report incidences of arbitrary charges
  • The platform has raised several other issues in conversations, as Lagosians offer suggestions as to how it can be better implemented

Legit.ng journalist Ruth Okwumbu-Imafidon has over a decade of experience in business reporting across digital and mainstream media.

Nigerians have complained severally of exploitation, overcharging, and other problems within the housing sector.

To address the challenges, several state governments including Lagos and Enugu states have put laws and structures in place to tackle the excesses of overbearing housing agents.

The Lagos state government recently shared reporting channels for residents to report agents and property owners who engaged in practices contrary to the law.

Lagosians rejoice as the government moves to resolve housing challenges, caps fees at 10%.
FG has signed a policy to ensure estates, and buildings left unoccupied will attract extra ground charges. Photo credit: Gerard Puigmal
Source: Getty Images

What does the law say about housing fees?

According to the Lagos State Tenancy Law of 2011 and LASRERA Law, estate agents can charge no more than 10% of the total annual rent as their agency fee.

The law also declared that it is the responsibility of the party engaging the agent, typically the tenant, to pay the agency fees unless otherwise agreed.

The law does not recognize the imposition of arbitrary charges like caution fees, inspection fees, and finder's fees, and the Lagos state government has declared such charges illegal.

Lagosians react as government opens reporting channels

Legit.ng reported that the Lagos state government opened up online and physical reporting channels for residents to use.

The post triggered reactions from many social media users, and many Lagosians have expressed doubts that the reporting and penalizing system would work in the state.

A few called on the government to engage with law enforcement agents like the Police Force in the state to make it work, as people are already relocating out of the state due to the high housing-related costs.

One Facebook user, Shankar Ademola, complained that the attitude of the housing agents is very discouraging to young people who are only starting out and want to get a roof over their heads.

Another Lagosian, Ndubuisi Eze, called on the government to extend it to commercial areas like markets. He said;

“Please, you people should come to our aid, agents and landlords are making life so hard to people now more especially in Alaba International market. Please let it be implemented”

One user, Salihu Enebi Haruna, urged the government to step in and do something about the high cost of building materials.

Another facebook user, Rotimi W. Badia, urged the government to also look at the incidence of tenants exploiting landlords.

Lagos state residents rejoice as government opens platform to report agents and houseowners
The real estate law of Lagos state provides that not more than 10% of the rent is to be charged as agent fees. Photo credit: Pius Utomi Ekpei/Benson Ibeabuchi
Source: Getty Images

He said;

“I'm a landlord.......What about tenants exploiting landlords ??? I've three (3) tenants with 2-3 years non payment of rents and due to their financial situations I find it difficult to evict them. The government should protect us too from abuse. Nothing more to add.”

Ohanogu Nelson called the government’s attention to another rampant issue of property owners increasing rent by up to 100% or more, without any renovations or corresponding increase in the value of the property.

LASG threatens houseowners could lose properties over extortion

Recall that the Lagos state government has also listed out sanctions against houseowners found to be extorting their tenants through exorbitant fees.

The government warned that the sanctions could include forfeiture of said properties to the government.

Lagos state caps agent fees at 10%

In related news, the Lagos state government stressed that it will no longer tolerate real estate agents charging more than what the law allows.

This follows a similar move from the Enugu state government to cap agent fees at 10%, and penalise defaulters with up to 6 months imprisonment.

The government has also unveiled plans to accelerate the implementation of a monthly and quarterly rent payment system in Lagos State.

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Source: Legit.ng

Authors:
Ruth Okwumbu avatar

Ruth Okwumbu (Business Editor) Ruth Okwumbu-Imafidon is a business journalist with over a decade's experience. She holds both a Masters' and B.Sc. degrees Mass Communication from the University of Nigeria, Nsukka, and Delta State University. Before joining Legit.ng, she has worked in reputable media including Nairametrics. She can be reached via ruth.okwumbu@corps.legit.ng

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