Lagos to Implement Monthly Rental Scheme for Income-Based Charges

The Lagos State Government has recently announced that it will be implementing a monthly rental scheme by the end of this year or early next year.

The Special Adviser to the Lagos State Governor on Housing, Barakat Odunuga-Bakare, made this announcement during a press briefing of the Lagos State Real Estate Regulatory Authority in Ikeja.

Under this new policy, tenants will be required to pay their rent on a monthly basis, rather than the current model that requires them to pay a year’s rent in advance.

This change is aimed at making the rental system more affordable and in line with current realities in the housing sector.

In addition to the monthly rental scheme, property owners will be required to charge their tenants according to their earnings.

This income-based approach is expected to make the rental system more equitable and accessible to low- and middle-income earners.

The implementation of the monthly rental scheme will first be tested within the public sector, where the earnings of tenants can be easily ascertained.

Once the success of the scheme is demonstrated in the public sector, it will then be pushed out to the private sector.

The slow start of the monthly rental scheme is indicative of the Lagos State Government’s efforts to perfect the system before its full implementation.

Governor Babajide Sanwo-Olu has been a strong advocate for a monthly rental system, believing that it would ease the pressure on low- and middle-income earners who currently struggle to pay annual rent.

As the implementation of the monthly rental scheme draws closer, it is expected to bring significant changes to the housing sector in Lagos, making it more affordable and accessible to a wider range of people.