Nigeria’s effective housing deficit to hit 28m

…as Lagos to deliver 14,000 units by 2026

Nigeria’s housing crisis could worsen dramatically in the coming years, with the country’s effective housing deficit projected to approach 28 million units unless aggressive interventions are sustained, according to findings from the National Housing Data Technical Committee.

The committee — inaugurated by the Federal Ministry of Housing and Urban Development — placed Nigeria’s official housing deficit at 14.925 million units. However, an additional 15.2 million homes nationwide have been classified as structurally deficient or substandard, effectively pushing the shortage close to 28 million units.

Moruf Akinderu-Fatai, Lagos State Commissioner for Housing, who spoke to newsmen on Tuesday, said the growing housing deficit poses significant risks to urban development, economic productivity and social stability, particularly in fast-growing metropolitan centres such as Lagos.

He noted, however, that the Lagos State Government built and delivered 10,623 units in the last seven years, while a number of other ongoing projects will increase the stock to 14,022 units upon completion before the end of 2026.

He described Lagos as Nigeria’s largest hub of housing demand, driven by a population estimated at more than 17.8 million and an annual growth rate of about 3.8 percent. Rapid urbanisation, continued rural-to-urban migration and the state’s limited landmass have further intensified pressure on available housing stock.

Independent estimates, he said, put Lagos’ housing deficit at over 3.3 million units, with the shortage most severe among low- and middle-income earners where affordability constraints remain acute.

Despite the mounting challenge, the commissioner said both the Federal Government and the Lagos State Government were expanding interventions through policy reforms, housing delivery programmes and private-sector partnerships.

He highlighted ongoing federal initiatives, including the Ministry of Finance Incorporated Real Estate Investment Fund (MREIF), which offers mortgage financing at a single-digit interest rate of 9.75 per cent with repayment tenures of up to 20 years.

According to Akinderu-Fatai, the state government remains focused on lowering barriers to home ownership while expanding the supply of affordable housing across the state.

He further noted that the administration’s housing programmes are contributing to broader economic activity by creating jobs and stimulating growth within the construction and real estate sectors.

He said the administration had intensified housing development through direct government intervention and Public-Private Partnership (PPP) arrangements aimed at boosting the supply of affordable and decent homes across Lagos.