The Lagos Tenancy and Recovery of Premises Bill 2025 is still under debate.
Meanwhile, key details have emerged from discussions in the House of Assembly.
Therefore, the bill aims to reduce conflict between landlords and tenants.
Lagos Tenancy Bill Overview
Lagos faces rapid population growth and strong housing pressure.
Consequently, tenants often meet high advance rent demands and unclear rental practices.
Because existing rental laws cannot manage these challenges effectively, the new bill seeks to modernise the system.
Estate Agents Regulation
Estate agents play a major role in the reforms.
Currently, many agents operate without proper oversight in the rental market.
Thus, the bill proposes a 5% cap on agency fees.
This change replaces the usual 10% and other arbitrary charges.
The bill requires all agents to register with LASRERA.
In addition, agents must remit collected funds to landlords within seven working days.
Read Also: Naira Set To Climb To ₦1,445/$ As Fed Signals Rate Cuts
They must issue proper receipts to ensure transparency.
If agents violate these rules, the government can fine them ₦1 million or imprison them for two years.
These measures aim to reduce fraud and double-renting.
Rent Limits And Tenant Protection
The bill also limits advance rent payments.
Now, new tenants cannot pay more than one year in advance.
Meanwhile, monthly-paying tenants cannot be pushed past three months’ advance.
Offering or accepting rent above these limits constitutes an offence.
The government can impose penalties of ₦1 million or three months imprisonment.
Many renters welcome these limits on advance rent.
However, some observers still worry about enforcement in a high-demand housing market.
The bill also addresses sudden rent increases.
Tenants can challenge unreasonable rent hikes in court.
Courts will actively review special property circumstances when judging increases.
Furthermore, landlords cannot evict tenants during these proceedings.
Overall, the bill aims to create a fairer rental system in Lagos.
Ultimately, the state government must enforce the rules strongly for success.
