Best areas to buy property in Lagos for foreigners

Authored by the expert who managed and guided the team behind the Nigeria Property Pack

Yes, the analysis of Lagos' property market is included in our pack

Who is the author of this content?

THE AFRICANVESTOR

A team specialized in real estate investing in African countries

We are a team of financial experts, legal professionals, developers, and local real estate specialists dedicated to helping people like you avoid mistakes when investing in real estate in a foreign place, particularly in Lagos. If you'd like to learn more about us, you can check our presentation page.

What are the safest neighborhoods in Lagos for foreigners to buy property right now?

The safest neighborhoods for foreign property buyers in Lagos are Ikoyi, Victoria Island, Lekki Phase 1, and Banana Island as of September 2025.

Ikoyi stands out as the most prestigious area, housing numerous embassies and diplomatic residences with exceptional private security systems. The neighborhood maintains 24/7 security patrols and has well-established expat communities that provide additional safety networks for foreign residents.

Victoria Island serves as Lagos's commercial and residential hub, offering round-the-clock security due to its high concentration of multinational businesses and financial institutions. The area benefits from constant police presence and private security firms that monitor both commercial and residential properties.

Lekki Phase 1 features numerous gated communities with controlled access points, private security personnel, and CCTV surveillance systems. These estates typically have their own internal security protocols and maintain strict visitor registration processes.

Banana Island represents the most exclusive option, providing ultra-high security standards with restricted access, waterfront protection, and residence to many high-net-worth individuals and diplomatic missions.

How much does property typically cost in popular expat-friendly areas like Ikoyi, Victoria Island, and Lekki in 2025?

Property prices in Lagos's expat-friendly areas show significant variation based on location and property type as of September 2025.

Ikoyi commands the highest prices with 2-bedroom apartments starting at ₦150 million and luxury villas ranging from ₦546 million to over ₦1 billion. The area's premium pricing reflects its diplomatic status, superior infrastructure, and exclusive residential estates.

Victoria Island offers more moderate pricing with apartments typically costing between ₦100-150 million for standard 2-3 bedroom units. Luxury properties and penthouses in prime Victoria Island locations can reach ₦300-500 million depending on amenities and waterfront access.

Lekki Phase 1 provides relatively affordable entry points with apartments priced between ₦60-100 million for 2-3 bedroom units. Duplexes and villas in this area typically cost ₦160-180 million, making it attractive for middle-income expatriate families.

These prices represent a 10-15% increase from 2024 levels, driven by continued infrastructure development and increased foreign investment in Lagos real estate market.

Which parts of Lagos have the most reliable infrastructure such as steady electricity, good roads, and drainage?

Infrastructure quality in Lagos varies dramatically by neighborhood, with premium areas offering significantly better services than mid-market districts.

Ikoyi, Victoria Island, Lekki Phase 1, and Banana Island consistently provide the most reliable infrastructure including steady electricity supply through both grid connection and backup generators. These areas feature well-maintained asphalt roads, effective drainage systems, and regular waste management services.

The premium neighborhoods benefit from private estate management companies that maintain internal roads, ensure consistent power supply through independent power projects, and operate sophisticated drainage systems that minimize flooding risks during rainy seasons.

Mid-market areas like Yaba, Surulere, and Ikeja offer moderate infrastructure quality with intermittent power supply, adequate road networks, but less sophisticated drainage systems. These neighborhoods often experience power outages lasting 6-12 hours daily and may face drainage challenges during heavy rainfall.

It's something we develop in our Nigeria property pack.

What neighborhoods are closest to international schools, hospitals, and supermarkets that cater to foreigners?

Expatriate-oriented services concentrate heavily in specific Lagos neighborhoods, making location crucial for foreign families.

Neighborhood	International Schools	Healthcare Facilities
Ikoyi	Dowen College, Grange School	Reddington Hospital, Evercare Hospital
Victoria Island	American International School, British International School	Lagos University Teaching Hospital, Eko Hospital
Lekki Phase 1	Corona Schools, Greensprings School	Reddington Lekki, Duchess International Hospital
Victoria Garden City	Chrisland Schools, Whitesands School	VGC Medical Centre, Lagoon Hospital
Banana Island	Private tutoring, proximity to VI schools	Private clinics, helicopter medical access

These neighborhoods also host premium supermarkets like Shoprite, Game Stores, and Spar that stock international products, imported foods, and expatriate-friendly brands. International clubs, recreational facilities, and expatriate social networks are predominantly located in these same areas.

Where do most multinational companies and embassies have offices, and how does that affect property demand nearby?

Victoria Island and Ikoyi host the majority of multinational company headquarters, embassies, and consulates in Lagos.

Victoria Island serves as the primary business district with offices for Shell, ExxonMobil, Chevron, MTN, and numerous international banks including Citibank, Standard Chartered, and HSBC. The area also houses the Lagos Stock Exchange and most major financial institutions.

Ikoyi concentrates diplomatic missions including the British High Commission, US Consulate, German Embassy, and French Embassy. This diplomatic presence creates consistent demand for high-quality residential properties from embassy staff and international business executives.

The concentration of multinational offices drives rental demand for upscale apartments, particularly furnished units suitable for expatriate executives on short-term assignments. Property values in these areas benefit from stable rental income streams and lower vacancy rates compared to purely residential neighborhoods.

Commercial activity in these zones also supports property appreciation, with many residential buildings converting ground floors to commercial use, increasing overall property yields for investors.

What areas in Lagos offer the best rental yields for foreigners looking to invest in buy-to-let properties?

Rental yields in Lagos vary significantly by location and property type, with mid-market and emerging areas often providing superior returns.

Mid-market neighborhoods like Yaba, Surulere, and parts of Ikeja offer rental yields between 6-8% annually, significantly higher than prime areas. These locations attract young professionals, university students, and middle-income families seeking affordable housing near business districts.

Emerging areas including Ibeju-Lekki, Epe, and Ajah provide the highest potential yields of 8-12% annually, though with higher risk due to developing infrastructure. These zones benefit from government infrastructure projects including the Dangote Refinery, Lekki Port, and planned transportation networks.

Prime areas like Ikoyi and Victoria Island typically yield 3-5% annually on rental income, but offer more stable appreciation and easier resale. These locations suit investors prioritizing capital growth over immediate rental returns.

Lekki Phase 1 strikes a balance with yields around 5-7% while maintaining good infrastructure and security standards attractive to expatriate tenants.

How secure is land ownership for foreigners in Lagos, and are there any restrictions on titles or tenure?

Foreign land ownership in Lagos requires specific legal processes and documentation to ensure security of tenure.

Foreigners can legally own land in Lagos through obtaining Governor's Consent and a Certificate of Occupancy (C of O), which provides statutory recognition of land ownership. The process typically requires legal representation, proper due diligence, and compliance with Lagos State land laws.

Most land in Lagos operates under leasehold tenure rather than freehold, with lease terms typically extending up to 99 years. Freehold titles are rare and primarily found in older, established areas of Lagos Island.

Foreign buyers must verify that properties have clear titles, proper documentation, and no outstanding disputes or encumbrances. Essential documents include Survey Plans, Deed of Assignment, Tax Clearance, and Building Approvals from relevant government agencies.

Due diligence requires engaging qualified legal practitioners familiar with Lagos property law, conducting title searches at the Land Registry, and verifying property boundaries through registered surveyors. Properties in emerging areas may face higher risks of title disputes or incomplete documentation.

Which neighborhoods have the lowest flood risk, especially during the rainy season?

Flood risk varies significantly across Lagos neighborhoods due to elevation, drainage infrastructure, and proximity to water bodies.

1. **Lowest Risk Areas:** - Ikoyi (elevated terrain, excellent drainage) - Banana Island (artificial island with flood defenses) - Parts of Victoria Island (improved drainage systems) - Upper elevations of Lekki Phase 1 2. **Moderate Risk Areas:** - Lower Victoria Island areas - Some Lekki corridors near lagoon - Yaba and Surulere (adequate drainage) 3. **Higher Risk Areas:** - Low-lying Ibeju-Lekki areas - Parts of Ajah near water channels - Undeveloped sections of Epe - Areas with poor drainage infrastructure 4. **Flood Mitigation Factors:** - Private estate drainage systems - Proximity to government drainage projects - Elevation above sea level - Distance from natural water channels 5. **Seasonal Considerations:** - Peak flooding occurs June-September - Properties near lagoons face additional risk - New developments may lack established drainage

Lagos State government continues investing in drainage infrastructure, but buyers should prioritize properties in elevated areas with proven flood management systems.

We did some research and made this infographic to help you quickly compare rental yields of the major cities in Nigeria versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you're planning to invest there.

How long does it typically take to resell property in different parts of Lagos, and which areas have the fastest resale value growth?

Property resale timelines and appreciation rates vary dramatically across Lagos neighborhoods based on demand, infrastructure, and market liquidity.

Prime areas including Ikoyi, Victoria Island, and Lekki Phase 1 typically achieve property sales within 30-120 days in normal market conditions. These locations benefit from active buyer demand, established agent networks, and clear property documentation that facilitates faster transactions.

Mid-market areas like Yaba, Surulere, and Ikeja generally require 3-6 months for property resale, depending on pricing and property condition. These neighborhoods attract broader buyer demographics but may face longer marketing periods due to financing challenges.

Emerging areas including Ibeju-Lekki, Epe, and Ajah can require 6-18 months for resale, though they often show higher appreciation potential. Properties in these zones may face buyer skepticism regarding infrastructure development timelines and title clarity.

Annual capital appreciation rates average 5-15% in established prime areas, while emerging districts may experience 15-25% growth during development phases but with higher volatility. Properties near major infrastructure projects like Dangote Refinery or Lekki Port show accelerated appreciation cycles.

What are the current government or zoning regulations that affect property purchases in Lagos by non-Nigerians?

Lagos State maintains specific regulations governing foreign property acquisition that require careful compliance.

Non-Nigerian buyers must obtain Governor's Consent for all property transactions, which involves submitting applications with property documentation, buyer identification, and payment of prescribed fees. The consent process typically takes 3-6 months and costs between ₦500,000-₦2 million depending on property value.

Zoning regulations restrict certain areas to residential use only, preventing commercial conversion of properties in designated residential estates. Foreign buyers must verify zoning compliance before purchase to avoid future legal complications.

Corporate foreign ownership faces additional restrictions, with some estates implementing covenants limiting non-Nigerian corporate acquisitions. Individual foreign buyers generally face fewer restrictions than corporate entities.

Building regulations require proper approvals for new construction or major renovations, with foreign owners subject to the same compliance requirements as Nigerian citizens. Properties must meet Lagos State building codes and environmental impact requirements.

It's something we develop in our Nigeria property pack.

Which emerging areas outside the traditional hotspots are worth watching for lower entry prices and future appreciation?

Several emerging Lagos areas offer significant investment potential with lower entry costs compared to established neighborhoods.

1. **Ibeju-Lekki:** Benefits from Dangote Refinery proximity, planned deep-sea port, and new road infrastructure. Entry prices start around ₦20-40 million for land/basic housing. 2. **Epe:** Government's new satellite town development, improved Lagos-Epe Expressway, and lower property costs (₦15-35 million entry level). 3. **Ajah:** Rapid residential development, proximity to Lekki, improving transportation links, middle-income housing market. 4. **Ogudu GRA:** Established middle-class area experiencing gentrification, good road access, growing commercial activity. 5. **Chevron Drive Area:** Corporate presence driving residential demand, infrastructure improvements, proximity to Lekki business district. 6. **Osapa London:** Planned estate development, international school presence, expatriate community growth.

These areas benefit from ongoing Lagos State infrastructure investments including road networks, power projects, and transportation systems. However, buyers should conduct thorough due diligence regarding land titles, development timelines, and infrastructure completion schedules before investing in emerging markets.

How much should foreigners expect to pay in agency fees, legal costs, and other transaction charges when buying property in Lagos?

Property transaction costs in Lagos can add significantly to the purchase price, requiring careful budgeting by foreign buyers.

Cost Type	Typical Amount	Payment Timing
Agency Fees	5-10% of property value	At property completion
Legal Fees	₦500,000 - ₦1,000,000	During transaction process
Governor's Consent	₦500,000 - ₦2,000,000	After offer acceptance
Survey Costs	₦200,000 - ₦500,000	During due diligence
Stamp Duty	6% of property value	At registration
Registration Fees	₦100,000 - ₦300,000	At completion

Total transaction costs typically range from 15-25% of the property purchase price, making a ₦100 million property cost approximately ₦115-125 million including all fees and charges.

It's something we develop in our Nigeria property pack.

Conclusion

This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.

Sources

1. Geoponts Properties - Top 10 Neighborhoods with Good Security in Lagos
2. Eden Brooks - Best and Secure Neighbourhoods in Lagos for Expats
3. The African Investor - Lagos Nigeria Price Forecasts
4. The African Investor - Average Price per SQM Lagos Nigeria
5. TripAdvisor - Safety in Lagos Discussion
6. PropertyPro - Property for Sale in Ikoyi Lagos
7. Private Property - Property for Sale Victoria Island
8. Nigeria Real Estate Blog - Top 5 Lagos Neighborhoods for Short Term Stays
9. Nigeria Property Centre - Houses for Sale in Ikoyi
10. Land Property - Role of Infrastructure in Lagos Real Estate Value