IDEAS home Printed from https://ideas.repec.org/a/bcp/journl/v7y2023i9p272-289.html

Housing Affordability in Nigeria; an Analysis of Lagos State Government Rent to Own Scheme

Author

Listed:
  • Oyesomo, Oyewole Clement

    (Estate Management Department, Bells University of Technology, Ota, Ogun State)

  • Odunnaike Joseph Seun

    (Estate Management Department, Federal Polytechnic, Ilaro, Ogun)

  • Akinbola Kazeem Bolayemi, PhD.

    (Estate Management Department, Federal Polytechnic, Ilaro, Ogun)

Abstract

The importance of housing as a social good has made it a frequent subject matter of discussion in both developed and developing nations, where it continues to be accorded great attention. Due to cities’ unchecked and widespread urban growth, there is housing scarcity problem in many cities around the world, particularly in developing countries, such as Nigeria. Nigeria housing problem is not just quantitative in nature but also qualitative and unaffordability. Governments at various levels have introduced numerous housing scheme that is geared towards supplying housing and bridging housing gap, however, majority of these housing schemes are still beyond the reach of the low income earners in terms of affordability. Hence, this study assessed the affordability of Lagos State government social housing scheme through the Lagos state rent-to-own-scheme. The study revealed that the housing units are costly and not affordable to low-medium income earners as 2bedroom and 3-bedroom flats are priced at N20,000,000.00 and N25,000,000.00 and above respectively.An applicant of a 2-bedroom flat is expected to pay an initial equity capital of N1, 000,000.00 and N1, 250,000.00 for a 3-bedroom flat, while the residue of the cost is payable for a period of 10years on monthly basis (N158, 333.3 and N197, 916.00 monthly repayment respectively). This is disheartening and appalling social housing scheme as it is not affordable and within the reach of most Nigerians using house price to income ratio as a threshold for measuring affordability It is therefore recommended that government should adopts affordable housing delivery strategies such as cost saving design approach, promotion of local building materials, vertical housing development, mass housing that incorporate sustainable strategies; recycling of building materials for reuse, while also increasing the repayment period from 10years to 15years. When these approaches are adopted, it will aid affordability and integrate low-medium income earners in the social housing scheme.

Suggested Citation

  • Oyesomo, Oyewole Clement & Odunnaike Joseph Seun & Akinbola Kazeem Bolayemi, PhD., 2023. "Housing Affordability in Nigeria; an Analysis of Lagos State Government Rent to Own Scheme," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 7(9), pages 272-289, September.
    • Handle: RePEc:bcp:journl:v:7:y:2023:i:9:p:272-289
    as

    Download full text from publisher

    File URL: https://www.rsisinternational.org/journals/ijriss/Digital-Library/volume-7-issue-9/272-289.pdf
    Download Restriction: no
    File URL: https://www.rsisinternational.org/journals/ijriss/articles/housing-affordability-in-nigeria-an-analysis-of-lagos-state-government-rent-to-own-scheme/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. repec:ava:cbnefr:v:57:y:2019:i:4:a:13:p: is not listed on IDEAS
    2. Aime Tsinda & Pamela Abbott & Steve Pedley & Katrina Charles & Jane Adogo & Kenan Okurut & Jonathan Chenoweth, 2013. "Challenges to Achieving Sustainable Sanitation in Informal Settlements of Kigali, Rwanda," IJERPH, MDPI, vol. 10(12), pages 1-16, December.
    3. Zan Yang & Jie Chen, 2014. "Housing Affordability and Housing Policy in Urban China," SpringerBriefs in Economics, Springer, edition 127, number 978-3-642-54044-8, January.
    4. repec:eme:ijhma0:ijhma-11-2016-0074 is not listed on IDEAS
    5. Zan Yang & Jie Chen, 2014. "Effects of Housing Policy on Affordability," SpringerBriefs in Economics, in: Housing Affordability and Housing Policy in Urban China, edition 127, chapter 0, pages 87-110, Springer.
    6. AbdulLateef Olanrewaju & Tan Chai Woon, 2017. "An exploration of determinants of affordable housing choice," International Journal of Housing Markets and Analysis, Emerald Group Publishing Limited, vol. 10(5), pages 703-723, September.
    7. Nandinee Kutty, 2005. "A new measure of housing affordability: Estimates and analytical results," Housing Policy Debate, Taylor & Francis Journals, vol. 16(1), pages 113-142.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Adekanmi Dare OYEDELE, 2026. "Government Housing Policies and Workers’ Affordability Assessment in Lagos State, Nigeria," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 10(14), pages 575-593, January.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Karmali,Nadeem M. & Aline Weng, 2022. "Housing Demand and Affordability in India : Implications for Housing Policy," Policy Research Working Paper Series 10031, The World Bank.
    2. Tsai, I-Chun, 2019. "Relationships among regional housing markets: Evidence on adjustments of housing burden," Economic Modelling, Elsevier, vol. 78(C), pages 309-318.
    3. Zhengbin Liang, 2025. "Strategic land allocation in China’s urban renewal: the role of non-market mechanisms," SN Business & Economics, Springer, vol. 5(5), pages 1-16, May.
    4. Chunyan He & Ding Li & Junlin Yu, 2022. "Quantifying the Spatial-Temporal Variation of Population Urbanization and Affordable Housing Land in China," Land, MDPI, vol. 11(2), pages 1-20, February.
    5. Ding, Yawen & Wang, Xiaobing & Chen, Qihui, 2025. "Windfall gains and household consumption: Regression-discontinuity evidence from urban China’s preferential housing policies," Journal of Economic Behavior & Organization, Elsevier, vol. 240(C).
    6. Feng Yuan & Weiye Xiao & Yehua Dennis Wei, 2023. "Heterogeneous mechanisms of urban land price in China: a perspective of natural restrictions and strategic supply," Humanities and Social Sciences Communications, Palgrave Macmillan, vol. 10(1), pages 1-14, December.
    7. Lang, Ghislaine & Lanz, Bruno, 2021. "Energy efficiency, information, and the acceptability of rent increases: A survey experiment with tenants," Energy Economics, Elsevier, vol. 95(C).
    8. Li, Han & Li, Jiangyi & Lu, Yi & Xie, Huihua, 2023. "Do housing regulations affect child development? Evidence and mechanisms," Journal of Public Economics, Elsevier, vol. 227(C).
    9. Mengkai Chen & Zuxing Deng & Lei Chen, 2024. "A New Perspective on the Settlement Intentions of Migrants in China: Financial Support for Housing," SAGE Open, , vol. 14(2), pages 21582440241, April.
    10. Li, Yu & Liu, Kai & Lu, Xiaoying & Wang, Ben Zhe & Zhou, Xuan, 2022. "Welfare housing and household consumption in urban China," Journal of Economic Behavior & Organization, Elsevier, vol. 195(C), pages 326-334.
    11. Ikenna Stephen Ezennia & Sebnem Onal Hoskara, 2019. "Methodological weaknesses in the measurement approaches and concept of housing affordability used in housing research: A qualitative study," PLOS ONE, Public Library of Science, vol. 14(8), pages 1-27, August.
    12. Zan Yang & Songtao Wang, 2011. "The impact of privatization of public housing on housing affordability in Beijing: An assessment using household survey data," Local Economy, London South Bank University, vol. 26(5), pages 384-400, August.
    13. Marie Leonce Murebwayire & Erik Nilsson & Innocent Nhapi & Umaru Garba Wali, 2025. "A Systematic Review of Households’ Fecal Sludge Management Situation to Identify Gaps and Improve Services: A Case of Kigali City, Rwanda," Sustainability, MDPI, vol. 17(17), pages 1-34, August.
    14. Yongheng Deng & Eric Girardin & Roselyne Joyeux & Shuping Shi, 2017. "Did bubbles migrate from the stock to the housing market in China between 2005 and 2010?," Pacific Economic Review, Wiley Blackwell, vol. 22(3), pages 276-292, August.
    15. Mulliner, Emma & Smallbone, Kieran & Maliene, Vida, 2013. "An assessment of sustainable housing affordability using a multiple criteria decision making method," Omega, Elsevier, vol. 41(2), pages 270-279.
    16. Stoenchev Nikolay & Hrischeva Yana, 2023. "Study of the Impact of Housing Affordability on the Fertility Rate in Bulgaria (2014–2021): A Regional Aspect," Baltic Journal of Real Estate Economics and Construction Management, Sciendo, vol. 11(1), pages 101-119, January.
    17. Jedidiah S. Snyder & Graeme Prentice-Mott & Charles Boera & Alex Mwaki & Kelly T. Alexander & Matthew C. Freeman, 2020. "The Sustainability and Scalability of Private Sector Sanitation Delivery in Urban Informal Settlement Schools: A Mixed Methods Follow Up of a Randomized Trial in Nairobi, Kenya," IJERPH, MDPI, vol. 17(15), pages 1-17, July.
    18. Alexander Cooper & Arianna Cowling, 2015. "China’s Property Sector," RBA Bulletin (Print copy discontinued), Reserve Bank of Australia, pages 45-54, March.
    19. Chen, Jie & Nong, Huifu, 2016. "The heterogeneity of market supply effects of public housing provision: Empirical evidence from China," Journal of Housing Economics, Elsevier, vol. 33(C), pages 115-127.
    20. Tingzhu Li & Ran Liu & Wei Qi, 2019. "Regional Heterogeneity of Migrant Rent Affordability Stress in Urban China: A Comparison between Skilled and Unskilled Migrants at Prefecture Level and Above," Sustainability, MDPI, vol. 11(21), pages 1-26, October.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bcp:journl:v:7:y:2023:i:9:p:272-289. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Dr. Pawan Verma (email available below). General contact details of provider: https://rsisinternational.org/journals/ijriss/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.