Lagos State Unveils New Tenancy Bill to Curb Rent Hikes and Fraud

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The Lagos State Government has introduced a new tenancy bill aimed at tackling arbitrary rent increases, excessive agency fees, and fraudulent practices in the real estate sector. The proposed legislation is currently before the Lagos State House of Assembly.

Mandatory Registration for Estate Agents

One of the key provisions is the mandatory registration of all estate agents with the Lagos State Real Estate Regulatory Authority (LASRERA). Commissioner for Housing, Moruf Akinderu-Fatai, stated that agents operating without registration will face legal sanctions once the bill becomes law. The move targets fraudulent activities like multiple sales of properties, fake listings, and excessive charges.

Rent and Agency Fee Caps

The bill also focuses on regulating rent and agency fees. Akinderu-Fatai reiterated that agency charges should not exceed 10% of the total rent paid by tenants. The government aims to strengthen enforcement against arbitrary charges that increase the cost of securing accommodation.

Faster Dispute Resolution

The proposed law seeks to speed up landlord-tenant disputes. Tenancy cases could be heard on weekends and public holidays to reduce delays. Tenants initiating legal action must provide evidence of rent payments and up-to-date utility bills before proceedings begin.

LASRERA Recovers N270 Million from Fraudsters

The commissioner disclosed that LASRERA recovered over N270 million from fraudulent estate agents between 2025 and 2026. This highlights the scale of malpractice in the sector. The Sanwo-Olu administration remains committed to making housing transactions more transparent and affordable.

If passed, the new tenancy law will apply across all parts of Lagos State. It is expected to reshape relationships between landlords, tenants, and estate agents while promoting greater accountability in the real estate market.

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