₦airaland Forum

The Special Adviser to Lagos State Governor on Housing, Barakat Odunuga-Bakare, has disclosed that the state’s monthly rental scheme will be enforced before the end of 2024 or early next year.

She stated it during a recent press briefing of the Lagos State Real Estate Regulatory Authority in Ikeja, Lagos.

She said, “We all see what is being done in other climes, rents are collected monthly. Hence, we are looking and hoping that before the end of the year, or by early next year, we will be able to implement the policy of monthly rental. Also, the rental would be charged according to tenants’ earnings.

“The good part about it is that we would be test-running it first within the public sector since we can ascertain how much everybody is earning, and once we see that it works in the public sector, we can now push it out to the private sector.”

Odunuga-Bakare reiterated that the N5bn allocated for the monthly rental scheme was still set aside and untouched.

She added that the fact that the scheme was slow to take off showed that the Lagos State Government was still trying to perfect one thing or the other.

DenreleDave:
Not welcome.

Not advisable.

A year payment or 6 month is ideal

UAObi:
Why wait till next year?

And what about those very expensive houses in very expensive estates, while people sleep under bridges. What's the plan?

kcprince:
Na wa o. These people want affect the real estate sector with their negativity.

One of the nightmares of owning rental property in lagos is the long court process to evict tenants.

Making it one month will increase the chance of default unless the landlord will have to increase rent by 60% or more to hedge against the rental income loss incase
* the tenant default in payment
* Of high property idle time while looking for new occupants several times in a year.
* Years of court litigation to remove a tenant especially a stubborn one .

I think they should maintain the one year plan on ground. Instead they should push for agents to collect only 1 year agency and agreement instead of 2 years agency and agreement. Also they should push to reduce agency and agreement fee to 10% from the 20%( 10% agency + 10% agreement) they charge.

Also litigation between tenant and landlord should be concluded within 3 months

jmoore:
Monthly tenant = One month notice to quit.