Operators in Nigeria’s built environment estimate that the country loses approximately N36 trillion each year due to untitled lands.
The average registration fee for a plot is around N1 million, depending on the state and local government, which forms the basis for this estimate.
Ayodele Odeleye, Financial Secretary of the Nigerian Institution of Estate Surveyors and Valuers, noted that only about 10% of Nigeria’s 40 million households have formal property titles, meaning that roughly 36 million households operate in the informal housing market. This lack of formalization results in significant potential revenue losses for the government from property taxes and registration fees.
Odeleye explained that if the government could collect an average of N1 million annually from each household with formal titles, the total potential revenue from informal households would amount to N36 trillion annually. This figure, while an estimate, underscores the significant fiscal impact of Nigeria’s informal housing market.
Officials from the Lagos Ministry of Land Bureau indicated that registration fees vary by local government, with fees in areas like Epe reaching as high as N4.5 million for non-civil servants. Additionally, land developer Dr. Kolade Adepoju mentioned that he recently completed documentation for 10 hectares in Ibeju Lekki at a cost of N600 million, with fees per plot estimated at N4-5 million.
