Only 31% of Lagos residents own homes as rents surge — Report
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Lagos has a homeownership rate of 31%, with 51% of residents living in rented accommodation, according to a report by Fortren & Company.
Lagos has a homeownership rate of 31 percent, with 51 percent of residents living in rented accommodation, according to a report by Fortren & Company.
The report assessed 10 major African cities selected based on their economic significance, expatriate and mobile professional activity, and rental market maturity, and found significant differences in homeownership and rental patterns across the continent.
The report notes that the 31 percent figure for Nigeria refers to people living in their “personal house”, whether built, gifted, purchased or inherited, rather than only homes acquired through mortgages. Lagos ranked fourth among the 10 cities for high-end two-bedroom rental costs, with average annual rent of $19,379 in 2026.
Nigeria is among markets where tenants typically pay annual or multiple years’ rent in advance, costs that the report says can make the actual cost of securing a rental property significantly higher than the headline rent.
Rising development costs are adding to the pressure, with land prices more than doubling in several parts of the city in recent years and developers reducing unit sizes or moving to cheaper areas. Lagos’ housing deficit stood at about 3.4 million units in 2025, with the state requiring an estimated 227,576 new homes annually to keep pace with population growth.
Some Lagos residents spend between 60 and 70 percent of their income on rent, according to findings presented at the GTI Investment Group housing forum, as limited housing supply and rising development costs continue to put pressure on rents and affordability.