…Lagos needs N6trn fresh capital yearly to tackle housing deficit
Lower-income households are increasingly being priced out of Lagos’ housing market as property prices far exceed what most earners can afford, highlighting a widening mismatch between housing supply and effective demand, according to research by GTI Investment Group’s Research & Strategy division.
The research, contained in GTI Research’s Beyond Rent: A Lagos Housing & Capital Report, estimates that Lagos requires about N6 trillion in fresh capital annually to keep pace with its housing deficit.
But the report argues that the housing challenge is not simply about building more homes. It is increasingly a problem of capital allocation, affordability and access to housing finance, with much of the housing being supplied concentrated at price points beyond the reach of the majority of households.
GTI’s analysis shows that properties priced below N15 million account for less than 5 percent of housing supply but represent about 55 percent of estimated demand.
