For years, Lagos residents have struggled with the financial burden of yearly rent payments, a system that often forces tenants to save large sums or take out loans to meet their obligations. However, a major shift is on the horizon, as the Lagos State Government is working to introduce monthly and quarterly rent payment options to ease the financial strain on residents, particularly low-income earners.

During a Ministerial Press Briefing on Tuesday, 13 May 2025, marking Governor Babajide Sanwo-Olu’s second year in office, Lagos State Commissioner for Housing, Moruf Akinderu-Fatai, assured Lagosians that the government is actively working to implement a more flexible rent payment system.

It is an initiative that aims to reduce the stress associated with sourcing lump sums for annual rent payments and provide tenants with breathing space to manage their finances more effectively.

A shift from yearly rent payments seems to be long overdue, being a system that has long been criticised for placing undue financial pressure on tenants, particularly those in the middle and lower-income brackets. Many Lagosians struggle to afford one-year upfront payments, often resorting to borrowing money or cutting back on essential expenses to meet their rent obligations.

Akinderu-Fatai emphasised that the new rent payment structure is part of the government’s broader effort to make housing more accessible and affordable. He recalled the success of the rent-to-own scheme, which allows beneficiaries to make a five percent initial payment and spread the balance over ten years.

Encouraged by the positive reception of that initiative, the government is now exploring monthly and quarterly rent options to further ease the financial burden on tenants.

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While the monthly rent payment system is a promising development, Akinderu-Fatai acknowledged that several challenges must be addressed before full implementation. The government is currently consulting with landlords, developers, and other stakeholders to resolve potential issues related to payment tracking, enforcement, and landlord cooperation.

Of course, there are issues to resolve—things like landlord cooperation, payment tracking, and enforcement. But discussions are ongoing, and we are listening to all sides, he stated.

To ensure a smooth transition, the government is planning a pilot phase in selected areas of Lagos. This will allow authorities to test the feasibility of the new system, gather feedback from tenants and landlords, and make necessary adjustments before a state-wide rollout.

What does this mean for Lagosians?

For many residents, the introduction of monthly rent payments represents a significant relief. Instead of struggling to pay a large sum upfront, tenants will have the flexibility to budget their rent payments alongside other expenses.

Akinderu-Fatai at the briefing assured Lagosians that the government is committed to making this policy a reality, stating: This is not just [a] policy on paper. We are making real progress. We know what this means for many families, and we are determined to make it happen.

This system, when implemented to the full extent, is expected to reduce financial stress for tenants. Several open spaces have been turned into make-shift accommodation because of rental unaffordability, but with a new logic in place, more people might be encouraged to seek formal housing without fear of overwhelming costs.

For the landlords, they get to improve on a healthy relationship with their tenants, as rent defaults may decrease with smaller, manageable payments.

Ayodele Johnson

Ayodelé is a Lagos-based journalist and the Content and Editorial Coordinator at Meiza. All around the megacity, I am steering diverse lifestyle magazine audiences with ingenious hacks and insights that spur fast, informed decisions in their busy lives.