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News

Lagos Govt Warns Against Excessive Tenancy Agreement Fees, Urges Residents to Report Violators

Muhammadu Buhari
By Muhammadu Buhari
Published: May 15, 2025
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3 Min Read
Babajide Sanwo-Olu
Governor Babajide Sanwo-Olu
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The Lagos State Government has issued a fresh warning to landlords and real estate agents demanding more than 10% in tenancy agreement fees, urging residents to report such violations to the appropriate authorities.

Speaking during the 2025 Ministerial Press Briefing held at the Bagauda Kaltho Press Centre in Alausa, the Special Adviser to the Governor on Housing, Barakat Odunuga-Bakare, reiterated that any fee beyond the legally stipulated 10% of annual rent constitutes a breach of the state’s tenancy laws.

“We have been overwhelmed by reports of the activities of these unscrupulous elements making life hard for Lagosians with agreements and commissions that are like asking for an arm and a leg,” she said in a statement issued by the Lagos State Government.

Odunuga-Bakare urged Lagosians not to remain silent, but to report erring landlords and agents, stressing that the state cannot be present in all locations at all times.

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“We are calling on members of the public not to keep silent but to report such agents and landlords to us, for the government cannot be everywhere, every time,” she added.

The Special Adviser highlighted the efforts by the state government to engage with housing stakeholders, including real estate associations, in order to address rising complaints about unethical practices.

“We have met with associations of real estate agents, and they have assured us that the people who are engaging in such practices are not registered agents that identify with their associations,” she noted, pointing out that most of the exploitative actions are carried out by unregistered individuals operating outside official channels.

While acknowledging the growing population in Lagos as a pressure point for housing, Odunuga-Bakare emphasized that the government is committed to making housing fair and accessible for all residents.

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Residents are encouraged to report violations to the Lagos State Real Estate Regulatory Authority (LASRERA) or other relevant agencies, as the government intensifies its monitoring and enforcement actions.

The Lagos State tenancy law caps tenancy agreement fees at 10% of the annual rent, and any collection above this limit is deemed illegal.

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