Housing Deficit: Tenants groan under frequent, astronomical rent increases

Housing Deficit: Tenants groan under frequent, astronomical rent increases

NEW TELEGRAPH

Reports from different parts of Nigeria indicate that most residents are battling between losing their apartments and paying rents. Tenants generally have expressed worries over the astronomical hike in rent. In this report, Isioma Madike, who went to town to gauge the mood of many in this respect, reports that neither landlords nor tenants are smiling at the moment

Preamble

In Nigeria, like in many other developing nations of the world, housing problems are multidimensional. The problems of population explosion, continuous influx of people from rural to the urban centres, and lack of basic infrastructure required for good standard of living have compounded housing problems over the years.
The uncontrollable rise in the country’s population, particularly in urban areas, has resulted in an unimaginable demand for housing. Access to this basic need by the poor, who constitute the largest percentage of the population, has remained a mirage. This may be the reason most landlords take advantage of this and see themselves as “mini gods”.
However, many of the home occupiers in Nigeria today are largely tenants, who pay for accommodation yearly. At present, a good number, who live below the poverty level, can no longer afford the high cost of house rent.
Across the country, low-income earners are still in a quagmire, regarding continuous payment of rent and possessing their own houses. This may be the reason stakeholders are worried that despite government claims of formulating policies to provide shelter for an appreciable percentage of the citizenry, there are no indicators to justify the claims.
The overall cases of landlord-tenant palaver over the years are alarming and mind boggling. Most of the landlords today, who hitherto were tenants, do not care about the laws or rules guiding landlords and tenants relationship. The thinking is that the house belongs to them and they are free to make their decisions anytime.
Though the government at various levels had come up with different landlord/tenancy laws, they have only achieved very little in addressing the problem due to poor implementations of these laws.

The unending war
Tenants, especially those living in the cities, have one tale of woe or the other to tell about their ordeal in the hands of landlords. Many of them have had terrible experiences in the hands of landlords whose power seems to be growing unchecked.
Across the country, tenants are struggling to cope with the frequent and astronomical increases in rent. Shylock landlords, taking advantage of the demand for housing, are hiking prices unchecked, leaving many tenants in a precarious situation.

Lagos
Mrs Mary Igwe is a widow. She lived in a mini-flat apartment at Ajayi Road, Oke-Ira in Lagos State with her four children. They have been in the house they rented with N200,000 after she lost her husband, sometime in 2020. She told one of our reporters that the landlord has this “terrible” habit of increasing the rent each year at the expiration of the previous rent. At present, she added, her annual rent has been raised unjustifiably to N800,000.
After the burial rites and the mandatory mourning period of her husband, Mary returned to Lagos with her four children, to face new challenges of life without the breadwinner. Her landlord, sensing that it could be difficult for her to continue with the payment of rent, decided to issue a quit notice to her. She pleaded for time, which she thought the landlord had consented to. But she was wrong.
Unknown to Mary, her landlord had a different game plan. The man, according to what later played out, might have decided to test the tenancy law in the state. He ejected her, along with other tenants with the aid of thugs, a few months after. This action of the landlord forced the widow to start negotiation of a new rent.
In the end, they agreed at N800,000, which she now pays. Mary had reckoned that renting a new apartment would cost her much more because of the add-ons like agency/agreement fees and damages.
Like Mary, many Nigerians, especially those living in the cities, have had terrible experiences in the hands of landlords whose power seems to be growing unchecked. Since shelter is one of the basic necessities of life, many are determined to acquire this essential need through building their own apartments.
Another tenant, who gave his name only as Kosochukwu, lives at Bode Thomas in Surulere area of Lagos State. He was initially paying N320,000 for a single room self-contained, until his landlord raised the rent to N760,000 per annum (over 100 percent increase) after just one year in the apartment.
Alarmed by this increase, Kosochukwu decided to look for another apartment bigger that the one room self-contained so he could accommodate his two younger siblings. So, he went for a mini-flat apartment. However, the least he could get was N1.8 million per year, which is giving him sleepless nights considering his pay package.
Adeola was paying N600,000 yearly for a 3-bedroom apartment he lived at Omojuwa Estate in Kosofe area of Mile 12, Lagos, but said that his landlord recently served the occupants a notice increasing the rent to N1.9 million. He questioned the justification for rental fees for a 3-bedroom apartment being that high in an area which he said cannot be classed as a highbrow part of the Lagos metropolis.
An Agriculturist, Bamidele Adelakun, told one of our reporters that he was once a victim where increment comes every December or January without options. “It’s either you pay or you park out and no amount of begging changes that, except you want to face lawyers’ wahala.
“But, I am no longer caught in landlord’s web and I want to be grateful to two persons here, the first is my landlord, who forced me out and second, my wife, who suggested the way out, that we should move to our site even if it is a room apartment so long as it has a roof. And that was how I became a landlord with a farm in my backyard; I went into rabbit husbandry.
“I could have remained a tenant today if my landlord didn’t give us so much trouble to drain our savings. Many are still in their landlords’ bondage as we speak.
“However, on the other hand, looking at the increase in prices of building materials today, with the information we are getting about the astronomical increase in rents, I think tenants would still bear the brunt even with poor salaries and wages of today.
“To put sanity to the crazy rents all over the place, I would suggest that relevant government agencies in charge of regulation should step up enforcement of existing laws right from landholdings, cost of building materials and the careless practice of arbitrariness in rent imposed by some shylock landlords.
“To me, regulation is key in this sector and government officials should sit up to save the struggling population, especially in our big cities like Lagos, Abuja and Port Harcourt.”

Abuja
In Abuja, the Federal Capital Territory, only the well-to-do can afford to rent an apartment in the metropolis as the costs are not to be for small salary earners.
Judith Nmakwe, a civil servant said: “The rate of accommodation in this city has assumed an alarming dimension; you cannot see a beginner, I mean someone who is trying to start life, settle down in Abuja. A room apartment at the boys’ quarters is what most people can afford here.
“Some of these landlords are quite ‘heartless’; It’s understandable when landlords request huge rents for newly developed properties because of the galloping inflation on the prices of building materials. My quarrel is on houses built many years ago when the economy was a bit stable. What is the rationale behind landlords of such houses pricing their properties out of the reach of the poor masses? It is most unfair,” she said.
The latest information gathered from house agents who link tenants to landlords, shows that caretakers in charge of houses in Abuja are the ones forcing landlords to raise their rent prices to between 70 and 90 per cent over the past year alone, with some areas experiencing even more drastic hikes.
An Abuja house agent, Victor Ochege, said: “I have been an agent for over 10 years in Abuja; the house situation is indeed getting out of hand in the FCT. The rate at which landlords are increasing rents now is alarming, especially in Kurudu, a suburb in the FCT. The increment is between 70 and 90 per cent.
“A one bedroom flat that my client rented at the rate of N180,000 in 2021 is now N350,000 without renovation. This is a serious issue, and it is time the government looked into this case. The high increase of rent has resulted in many tenants being forced to allocate an unsustainable portion of their income to rent, leaving them with limited funds for other essential expenses.”
Alifa Blessing, a tenant, also said: “We are in Abuja working for landlords. We can’t even feed well because of high rent rates. I had to change my children’s school from private to public; yet, house rent won’t make us live a good life. It’s crazy and income can’t even take care of it anymore.
“Despite the widespread outcry and pleas for intervention, governments have refused to take decisive action to rein in these rogue landlords. The lack of effective rent control measures has allowed landlords to continue exploiting tenants, unchecked.”
“It’s like they’re taking advantage of us,” said Julius Okinya, a tenant, who recently received an 80 per cent rent increase notice. “We’re not asking for much, just a fair price for a decent place to live.”
Salisu Ameh, a housing advocate, argues that the government’s inaction in the sector is exacerbating the problem. “The lack of rent control is allowing landlords to charge exorbitant prices, pushing many tenants to the brink of homelessness.”
Ameh calls on the government to take immediate action to address the issue, saying that implementing effective rent control measures and increasing the supply of affordable housing, would go a long way in nipping the festering problem in the bud. Until then, he added, tenants would not only continue to bear the brunt of the crisis, but be forced to choose between paying astronomical rents and facing homelessness.

Ibadan
Adegoke Salisu, a tenant, has been living with his family of five in a 3-room wing apartment at Adekile, Ibadan, the Oyo State capital since 2022. He got the place through an agent with N54,000 per annum at the rate of N1,500 per month, excluding the agency fee. In 2023, his Landlord increased the rent to N72,000.
“We fought but he asked me to pack out if I could not pay it. Eventually, I paid it at that rate of N2,000 per room. Just last December, he said he would increase it to N90,000. I asked what repairs or renovation he had carried out on the house to justify such abnormal increases every year, but he pointed to the economy, saying the country is hard and the cost of living hitting the roof. I told him we are all facing it.
“I have decided not to pay it and through my lawyer, I have told him I will spend three months at least without paying a dime, pending when I will secure another accommodation. He has threatened to make life uncomfortable for my family,” Salisu said.

Landlords Speak
A landlord, Chief Tola Thompson, has said that there will always be an increase in rents because the economy of the country is not stable. Cost of maintenance of houses and the cost of building materials, he added, are increasing yearly.
“So, as a landlord, I have to keep within my means to make profit. Yes, you may say that I don’t do renovation every year, but what of when I have to do so? I have to live on money from the rents I am collecting. I am a retiree and I had laboured to build my two houses; so, why will I not enjoy the profit therefrom?” he asked.
Adewale Thomas, a landlord in Lagos, blamed the hike on rent on what he called the increase in the prices of building materials and the excessive charges by the government regulatory agencies.
He said: “Those blaming landlords for rent increase should visit the market and price building materials. Apart from that, enquire on what it takes to buy a plot of land in Lagos or in any state capital across the country, start excavation and see the army of the government and community agents that would be visiting your site.
“People should direct their anger to those in authority. They have the power to make the economy work again. If that happens, everything else in the economy will align; it’s a natural course.”

Reactions
Prince Babajide Akran, a Senior Civil Servant believes the issue of exorbitant rents and the government’s response to it are a pressing concern that affects Nigerians from all walks of life. The astronomical increases in rents by landlords, especially in major cities, he said, have become a significant burden for tenants, both low income earners and middle class.
“The situation is further exacerbated by the government’s inability or unwillingness to regulate the rental market effectively. In the case of Lagos State where I work and reside, I would want the state government to take decisive action against shylock landlords, who are charging outrageous rents that are becoming unbearable.
“It is absurd that rents are not always commensurate with present economic realities on ground which has become an exploitative practice by landlords and commission agents in Lagos State that need to be regulated to protect tenants from extra financial strain,” he said.
The Chief Education Officer, Lagos State Government, Whenu Segun Moses, said if the government has refused or failed to curb frequent and astronomical rent increases, alternative actions can be taken by individuals, communities, and civil society to mitigate the impact on tenants.
Some of those practical steps should include community action and advocacy by organising tenants’ associations. Forming strong tenants’ associations to collectively negotiate with landlords and advocate for fair rental policies would go a long way in this direction.
He said: “Tenants should partner with legal professionals or NGOs to provide tenants with advice on their rights and options under existing laws, and use media campaigns, traditional and social media platforms to expose exploitative rent practices and pressure the government for action.
“Also, collective bargaining, that is to organise tenants within a particular area to engage landlords collectively. Unified demands often carry more weight and can discourage exploitative increases. There is equally the legal recourse. This is using litigation to challenge exploitative rent hikes in court if they violate any existing laws or contractual agreements.
“People should form housing cooperatives where members pool resources to build or purchase affordable housing and negotiate long-term lease agreements with fixed terms to prevent sudden rent increases as well as collaborate with NGOs that focus on housing rights to push for rent control policies or support affected tenants.
“NGOs can also help in providing alternative housing options or temporary relief for tenants under financial strain. Research and move to areas with less volatile rent markets if possible. Although relocation may be inconvenient, it can offer financial relief.
“Educate tenants about their rights, lease agreements, and how to handle eviction notices or other landlord disputes and conduct workshops or seminars on affordable housing strategies. Also, create or use digital platforms to highlight affordable housing options or report exploitative landlords.
“Online communities can provide solidarity and exchange valuable information. Individuals can advocate for or participate in rent-to-own housing schemes offered by private developers or cooperatives to reduce long-term housing insecurity.”
Denasohin Sonayon Simeon, a Civic Registration Officer at Lagos State Residents Registration Agency, also believes that rent problems are big issues in the nation that the government seems to be ignoring because the ruling class is not directly feeling the pains masses are going through. Housing, which is supposed to be basic necessity, he said, has turned into luxury and is no longer affordable by the poor due to high cost of construction and excessive cost of buying plots of land.
Besides, the outrageous increment is a function of the upsurge in prices of building materials. This has also affected the cost of maintenance. The governments at all levels are in the best position to tame and regulate this upsurge to avoid an increase in the number of homeless people.
“To be candid, landlords build for business purposes and their aim is to make profit. Nevertheless, they should be cautioned because of the adverse effect on the poor masses. Even with the recent salary structure in the country, low income earners may not be able to cope. We are appealing to the government to provide an alternative Low-cost Housing Scheme affordable for the masses not for the rich alone, and reduce multiple levies imposed on individuals who buy land to build houses.
“There’s need to also curtail the activities of the land grabbers (The Omo oniles) if they can’t be totally eliminated,” he advised.
Kuton Abayomi Nunayon, Managing Partner, ASK Herbs and Spices, is of the opinion that the government cannot do anything as it has failed woefully in all areas.
He said: “The government can’t regulate what they didn’t help in building. Landlords that borrowed/invested their hard earned money in a venture can’t be controlled by the same government. Inflation affects everybody and somebody will have to bear the brunt. What the government can do is to use creativity to solve the issues by investing or alternatively providing a thriving environment via policies for investors, supported by well-funded, built and maintained policy.”

•Additional reports from Podo Sunday, Shola Adeyemo (Ibadan), and Deborah Ocheni (Abuja)

THIS STORY FIRST APPEARED IN NEW TELEGRAPH

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Housing Deficit: Tenants groan under frequent, astronomical rent increases

 

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