Lagos State Government Launches Rent-To-Own Housing Scheme


Lagos State Government Launches Rent-To-Own Housing Scheme

The Lagos State Government on Thursday, December 1, announced it has commenced the Rent-To-Own housing scheme.

The policy is targeted to alleviate the plight of the low and medium income earners, in both the formal and informal sectors.

Lagos State Commissioner for Housing, Gbolahan Lawal, who issued the announcement said the government had allocated 20% of the available housing units in each of the Rent-To-Own estates for Rental Housing.

According to him, the initiative would enable the state government to increase the number of Lagosians living in their own homes and reduce slum settlements.

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Lawal addressing the audience at the Bagauda Kaltho Press Centre, Alausa in Lagos said:

“Accessing our housing units had been largely on a cash and carry basis, thereby excluding majority of the citizenry until recently when the mortgage scheme was introduced.

“But a large number are unable to meet the requirements which the mortgage scheme demands.

“The new initiatives will make houses affordable and accessible to the citizenry.”

Individuals participating in the housing scheme are to pay 5% of the value of the housing unit, while the balance extends over a 10-year period.

The commissioner further stated:

“The Lagos state rental housing policy is to further ensure housing accessibility and affordability in Lagos state.

“The rent for the rental housing will be collected on a monthly basis.

“The tenants are however required to pay one month deposit.”

Housing Scheme

Schemes listed for the programme include: Sir Michael Otedola Estate, Odoragunshin-Epe; CHOIS City, Agbowa; Alhaji Adetoun Mustapha Estate, Ojokoro; and Oba Adeboruwa Estate, Igbogbo-Ikorodu.

Lawal added that it will be launched simultaneously on December 8, 2016.

He emphasized that shelter is one of the basic needs of man, saying that is why governments all over the world accord top priority to the provision of housing for their citizens.

Lagos State Launches Monthly Rental Housing Scheme

According to him, inadequate housing is responsible for so many health and social ills in the society.

The commissioner stated the criteria for interested applicants, which is that they must be primarily resident in Lagos State.

Applicants will be required to submit a copy of their Lagos State Residents Registration Card.

They also must be a first time home buyer, who must be 21 years old and above.

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Lawal also explained that applicants must be tax compliant and provide the proof of tax payment.

Applicants must have capacity to pay the 5 per cent commitment fee.

He noted that rent to be paid will be determined by the prevailing rent in each of the locations.

The mode of payment will be direct debit by the employer/banker to ensure easy collection.

Lawal also stressed that the rented accommodation is not transferable.

He said:

“This house scheme is targeted at the working class and people with regular source of income who may not want to participate in the rent-to-own or mortgage program.”

The programme is set to kick off from the 8th of December 2016.