Residents of the Federal Capital Territory (FCT) have raised alarm over the incessant increase in house rent across the territory.
Several residents have expressed their frustrations dealing with indiscriminate rent increment lamenting that the excessively high rent in the territory and its districts is pushing them to brink of displacement.
They said the unaffordable costs of housing is forcing them to move out of their homes and neighborhoods, often to areas with fewer resources, infrastructure and vulnerable to violent attacks.
They appealed to the Minister of the FCT, Nyesom Wike, and the Federal Government to urgently step in and regulate the housing market in the territory.
The growing concern arose, as landlords, aided by “shylock” estate agents in several districts of the territory continue to hike rents, agent agreement and caution fees, arbitrarily. These increment in rent are not based on data on income reality of residents.
One of the residents, Mr Moses Danjuma, a civil servant, told reporters that the low and middle-income earners in the FCT are finding affordable housing very challenging due to high rental cost with arbitrary fees, especially in areas that were—until recently—known to be budget friendly.
Mr Danjuma said that the situation is fast becoming unsustainable, particularly in areas like Lokogoma, Kubwa, Lugbe, and Gwarimpa, and many more, where most middle class reside.
“I was living in Lokogoma before, where rent for a two-bedroom flat was between N1 million to N1.2 million, suddenly my landlord increased my annual rent to N2 million. Where am I supposed to get that kind of money, when minimum wage is just N70,000?
“I had to move to Zuba where I paid N700,000 for a two bedroom flat, but the challenge, however, is the longer period and higher cost I spend going to work daily.”
To provide more context, the distance between Lokogoma and Abuja city centre is about 10km while the distance from Zuba to the city centre is about 36km.
“If I drive my car, a Toyota Camry, to work, I spend an average of N10,000 for fuelling to and fro, daily. On days I don’t drive, I spend up to N4000 on public transportation.
“This is overwhelming because the farther you go to get a cheaper house, the more expensive your transportation becomes; so I don’t know which is better,” he said.
Mr Danjuma appealed to the Federal Government and Mr Wike to intervene and regulate rents in FCT.
Another civil servant, Mr Auwal Idris, living in Kubwa said, “My landlord just increased my annual rent in a one-bedroom apartment I occupied, from ₦500,000 to ₦700,000, without any justification.
“This is an apartment I have lived for two years. Salaries are not increasing, yet rent keeps going up. How are we supposed to survive?”
Mr Idris said when he tried to look for another apartment, he was shocked by the amount of the rents and the conditions attached.
“In the course of my search, I discovered that a self-contained flat in Kubwa now, cost between N600,000 to N800,000, a one-bedroom flat is between N1 million to N1.2 million while a two-bedroom is between N1.5 million to N2 million.
“Before you can secure any of these, you will pay additional mandatory 20 per cent agent/agreement fee and 10 per cent caution fee,” he said.
To rent an apartment in the FCT, besides the actual rent, agent fee is paid to the real estate agent who facilitates the rental process while the agreement fee is for drafting, reviewing, or processing the tenancy agreement.
The caution fee, also known as a security deposit, is a refundable amount held by the landlord to cover potential damages or unpaid bills.
Mr Idris said, considering the frustrating development, he had no other choice but to quickly renew his rent with the increased amount before the landlord would issue him a quit notice.
Mr Akanni Ogundipe, another civil servant, said his landlord notified him of 30 per cent increase in his house rent, for a two-bedroom apartment he lived in Kubwa.
He stated his wife encouraged him that rather than paying the increased rent of N1.5 million, they should use the money, to complete their house project in Kaginni, a developing community close to Kubwa.
“In addition to my savings for the annual rent, I took N2 million loan from the cooperative society in my office and used it for the housing project.
“Though, not fully completed, I made the house habitable and I moved in with my family happily, at least, we got a reprieve from landlord `palaver.’”
Mr Ogundipe stressed that their joy was however, shortlived, because within six months of moving into the new house in Kaginni, they were attacked twice, by armed robbers.
He said the armed robbers made away with their phones, money and other valuables, during that attacks.
He added that the robbers carted away their household equipment, and wounded his first son who was recalcitrant during the second operation.
Mr Ogundigbe also narrated the ordeal of his friend, he simply identified as Michael, who equally moved to his new house, under the similar circumstances.
According to him, Michael quickly completed his house in Chikakore, another community in Kubwa, to escape the onslaught of Shylock landlord and agent, and moved in with his family members.
However, less than a year in the new house located at a remote site, they were attacked by bandits who kidnapped Michael and his wife.
“When the kidnappers demanded ransom for their release, we rallied round and paid N20 million.
“Unfortunately, after spending over a month in captivity, it was only Michael that returned alive, his wife was killed by their abductors,” he said.
Mr Ogundipe said, both of them have abandoned their houses and moved to respective smaller rented apartments in Gwarimpa.
The civil servant appealed to the FCT authority to promptly address the challenges of high rental costs, limited availability of suitable options and insecurity, resulting in displacement of residents.
Mrs Aniete Umanah, a teacher in Gwarinpa, lamented, “People are being evicted because they can’t afford the unreasonably inflated rents.
“This is not just a housing issue, it is a humanitarian crisis waiting to happen in the FCT.
“House owners who built their houses long ago, are giving excuses of present high cost of land and building materials to increase rents as if they just built a new house.
“This is not fair and the government needs to intervene,” she said.
Several residents who spoke to media reporters, called for legislation or housing policy to cap rent increments and address housing deficit in the FCT.
They called on the FCT minister to rescind his earlier pronouncement that he could not regulate tenancy in the territory because “it is market driven.”
The residents said they believed that government’s intervention, is the only way to restore balance and protect vulnerable tenants. After all, government exist to regulate individuals and businesses, and making living conditions better.
They frowned at the situation, where there is no department or a unit in the FCTA designated for housing and tenancy regulation in the territory.
Specifically, they called on the FCT authority and the elected representatives in the national assembly to take cue from the Lagos state government which has gone far in passing a Bill for a Law to regulate tenancy in the state.
The Lagos state Tenancy Bill, which has passed second reading before the State House of Assembly is aimed at redefining the legal framework for tenancy agreements, rights, responsibilities, and eviction processes in Lagos state. If passed, the law will ensure that landlords, tenants, and agents fully understand their rights and responsibilities.
Landlords, on the other hand, attributed the rent surge to a combination of inflation, inadequate housing supply, and high demand.
Mr Moshood Aremu, a landlord, said that, although, he built his house long ago but the low rent he was collecting could not meet his needs.
“Things are high in the market and I have no other sources of income, so I have to use what I have to make ends meet,” he said.
Mrs Edna Yakubu, a landlady, in Dutse Alhaji, pointed that estate agents, sometime were to blame for the hike in house rent, as well as the desperation of some people to live in certain areas.
“These people succeeded in defining high brow areas and attaching some kind of price tags to houses in those areas.
“Sometimes too, estate agents do some sort of manipulations to make extra money off both house owner and tenant
“My two-bedroom flat was going for N800,000, but for two years the agent was collecting N1 million and keeping the extra N200,000 for himself.
“He felt the house should be higher than N800,000, and the tenant was paying, before I discovered,” Mrs Yakubu said.
On the other hand, some house agents said it was not their fault that house rents are expensive.
An agent in Gwarimpa, Mr Abdullahi Gambo, said that most landlords don’t compensate them when they introduce tenants to occupy their vacant apartments.
He said the 20 per cent fee for agreement and legal fees was devised in order to get paid for their services, before the tenant could move into the house.
Gambo justified that the fee was increased from 10 per cent to 20 per cent because of the nation’s economic reality, characterised by persistent challenges, inflation, and for them to make ends meet.
The exploitation of tenants by landlords and agents with its attendant consequences is no less crime to be redress by binding regulations.
The FCT minister should renounce his earlier pronouncement on tenancy regulation, consider the clamour and cry of residents on the urgent need to cap rent increments, address housing deficit and regulate the relationship between landlords, estate agents and tenants in the FCT.