Owning a home in Nigeria used to be a dream within reach for many, but these days, it feels like a luxury only a few can afford. With house prices skyrocketing, rent increasing every year, and salaries struggling to keep up with inflation, a lot of Nigerians are wondering – can you still buy an affordable home in this country?
Why Is Housing So Expensive in Nigeria?
The housing crisis in Nigeria boils down to one major issue: demand is high, but supply is low. The country has a housing deficit of over 22 million units, according to the Federal Mortgage Bank of Nigeria. This means there aren’t enough houses to go around, and the few available ones come at ridiculously high prices.
Here are some key reasons why buying a house in Nigeria has become so expensive:
- High Cost of Building Materials – Cement, iron rods, roofing sheets, and other construction materials are mostly imported. With the naira constantly losing value, prices keep rising.
- Land Prices Keep Increasing – In major cities like Lagos, Abuja, and Port Harcourt, land is gold. Developers and investors hoard land, driving up costs.
- Lack of Affordable Housing Projects – Government housing schemes are either poorly managed, overpriced, or inaccessible to the average Nigerian.
- Expensive Mortgage Rates – In other countries, people buy homes with mortgages, paying gradually over time. But in Nigeria, mortgage interest rates are between 20–30%, making them unaffordable for most people.
Is It Still Possible to Buy an Affordable Home in Nigeria?
Yes, but you need the right strategy. While houses in big cities are expensive, there are still ways to secure a home without breaking the bank.
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1. Consider Outskirts and Emerging Areas
If you can’t afford a house in Lagos Island or Lekki, look at emerging areas like Epe, Mowe, Ibeju-Lekki, or Ogun State. These places are developing fast, and land is still affordable.
2. Explore Cooperative Housing Schemes
Many cooperative societies offer cheaper housing options for members. Joining a real estate cooperative can give you access to affordable land and installment payment plans.
3. Take Advantage of Government Housing Schemes
Schemes like the Federal Mortgage Bank of Nigeria (FMBN) NHF loan allow Nigerians to buy homes with low-interest rates. The process can be stressful, but it’s an option worth considering.
4. Buy Land First, Build Gradually
Instead of waiting until you have millions to buy a house outright, buy land first, then build in phases. Start with a foundation, then move to block work, and complete it bit by bit.
Final Thoughts
The housing crisis in Nigeria is real, but with careful planning and the right approach, owning a home is still possible. While buying a house in high-end areas might be out of reach for many, there are still affordable options if you explore alternative locations, government schemes, and cooperative housing plans.
At the end of the day, real estate is still one of the best investments in Nigeria. The earlier you take action, the better. Property prices will keep rising, so the best time to start is now!