Lagos Government Set to End Yearly Rent Payments — Monthly and Quarterly Options Coming Soon

 

In what may become a landmark shift in the way rent is paid across Lagos State, the Lagos State Government has officially announced plans to phase out the traditional annual rent payment model and replace it with more flexible monthly and quarterly payment options.

This bold move is aimed at easing the heavy financial burden that many Lagosians — particularly low-income earners — face when trying to secure a roof over their heads. With the current system, tenants are often required to pay 12 months or even 24 months' rent upfront, a practice that has long been criticized as unfair, stressful, and unrealistic for the average working resident.

Speaking at the 2025 Ministerial Press Briefing, the Lagos State Commissioner for Housing, Moruf Akinderu-Fatai, laid out the details of the initiative, describing it as a natural progression of the state's ongoing efforts to make housing more accessible and affordable for all.

“That initiative was well-received, and its success encouraged us to explore new ways to reduce the pressure of yearly rent payments,”
— Moruf Akinderu-Fatai, Lagos State Commissioner for Housing

The commissioner was referring to the rent-to-own scheme previously introduced by the Lagos State Government. That program allows beneficiaries to pay a small deposit of just five percent and then spread the remaining balance over a 10-year period, making home ownership more achievable for many. The success of this earlier scheme served as inspiration for the new monthly and quarterly rent policy, which is expected to be another game-changer for the housing sector in Lagos.

According to Akinderu-Fatai, the goal is simple — to remove the financial pressure that comes with the current lump-sum payment structure and give people the flexibility they need to live more comfortably.

“We believe monthly or quarterly payment options will offer people more breathing room and reduce the stress of sourcing lump sums,”
— Akinderu-Fatai added.

For countless Lagosians, especially those earning minimum wage or working in informal sectors, saving up one or two years’ worth of rent upfront is almost impossible. Many have to borrow money, go into debt, or move far from city centers just to find affordable housing. The new system is expected to change that reality by breaking rent payments into smaller, manageable portions.

However, as with any significant policy change, there are some practical challenges that must be addressed before full implementation. One of the major concerns is how to ensure that landlords and property developers comply with the new structure, and how to track payments securely so that both tenants and landlords are protected.

“There are issues to resolve — landlord cooperation, payment monitoring, and enforcement mechanisms,” he said. “But discussions are ongoing, and we are listening to all sides.”
— Akinderu-Fatai

This statement suggests that the Lagos State Government is not pushing this policy blindly. Instead, they are engaging in active dialogue with all stakeholders involved in the housing market — including landlords, real estate developers, financial institutions, and tenant advocacy groups — to make sure the system works smoothly for everyone.

To ensure a smooth transition, a pilot phase of this new rent payment structure is expected to begin soon in selected areas of the state. This trial phase will help the government test the model in real-life conditions, identify possible roadblocks, and fine-tune the system before rolling it out across the entire state.

Akinderu-Fatai emphasized that this is not just another policy announcement meant to grab headlines, but a real, actionable plan that is already in motion.

“This is not just policy on paper. We are making real progress. We understand what this means for many families, and we are determined to make it happen,”
— Akinderu-Fatai concluded.

This shift could transform the lives of millions of residents in Lagos who have long struggled with housing costs. If successfully implemented, it would not only improve the standard of living for many but also serve as a model for other Nigerian states facing similar housing challenges.

For now, all eyes are on the pilot phase, and Lagosians are hopeful that monthly and quarterly rent payments could soon become the new normal in Nigeria’s most populous state.