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
This article covers everything you need to know about starting and running an Airbnb in Lagos in 2026, from legal requirements to realistic profit expectations.
We break down the actual numbers, the neighborhoods that perform best, and the expenses that catch most hosts off guard.
We update this blog post regularly to reflect the latest data on the Lagos short-term rental market.
And if you're planning to buy a property in this place, you may want to download our pack covering the real estate market in Lagos.
Insights
- Lagos hosts report that 24/7 power reliability is now the single biggest factor separating 55%+ occupancy listings from average performers at 39%.
- Over 80% of Lagos Airbnb guests are international visitors, with Americans representing the largest group, which explains why dollar-denominated pricing works well in the market.
- The Lekki Phase 1 and Ikate corridor has the highest density of short-let apartments in Lagos, making it both the most competitive and the most proven demand zone.
- During Detty December 2024, Lagos short-let apartments alone generated $13 million in bookings, and 2025 numbers are expected to exceed that.
- A well-run 2-bedroom apartment in Victoria Island can realistically net between 2 million and 3.2 million naira per month after all operating expenses.
- Lagos has no official 90-day cap or nights-per-year limit like London or Paris, but estate and building rules often act as the real gatekeepers.
- The HORC (Hotel Occupancy and Restaurant Consumption) tax explicitly includes short-let apartments in its scope, so hosts should budget for tax compliance from day one.
- Top-performing Lagos Airbnb hosts typically reach 55% to 65% occupancy, while the citywide average sits around 39% to 45%.
- Ikoyi and Banana Island command the highest nightly rates in Lagos at $130 to $220, but also have the strictest estate guest policies.
- New hosts should expect 6 to 12 months of building reviews before reaching top-performer occupancy levels in the competitive Lagos market.
Can I legally run an Airbnb in Lagos in 2026?
Is short-term renting allowed in Lagos in 2026?
As of the first half of 2026, short-term renting is widely practiced across Lagos, though there is no specific Airbnb law, and instead the activity falls under broader hospitality and tax regulations.
The main legal framework governing short-term rentals in Lagos comes from the Hotel Licensing Law of 1983 and the Hotel Occupancy and Restaurant Consumption (HORC) tax law of 2009, which together create a compliance pathway for anyone offering paid accommodation.
The single most important condition hosts must comply with is registering for and collecting consumption tax, since LIRS public notices have explicitly confirmed that short-let apartments fall within the HORC tax scope.
While there is no uniform national legislation for short-term rentals in Nigeria, Lagos State is increasingly pushing registration through its tourism portal, and hosts should treat compliance as a matter of when, not if.
Operating without proper registration or tax compliance can expose hosts to penalties, back taxes, and potential closure orders, though enforcement has historically been inconsistent.
For a more general view, you can read our article detailing what exactly foreigners can own and buy in Nigeria.
If you are an American, you might want to read our blog article detailing the property rights of US citizens in Nigeria.
Are there minimum-stay rules and maximum nights-per-year caps for Airbnbs in Lagos as of 2026?
As of the first half of 2026, Lagos does not have a citywide minimum-stay requirement or maximum nights-per-year cap like the 90-day rule you see in London or other Western cities.
These rules do not differ by property type or residency status at the government level, so whether you own a studio in Yaba or a villa in Ikoyi, there are no official caps restricting how often you can rent it out.
That said, many Lagos hosts voluntarily set their own minimum stays of 2 to 3 nights to manage cleaning logistics, reduce party risk, and keep power and security costs predictable.
Do I have to live there, or can I Airbnb a secondary home in Lagos right now?
In Lagos, there is no residency requirement to operate an Airbnb, meaning you do not have to live in the property you rent out.
Owners of secondary homes or investment properties can legally operate short-term rentals in Lagos, and in fact, professional short-let operators managing multiple units are common in neighborhoods like Lekki Phase 1 and Victoria Island.
No additional permits specifically for non-primary residence rentals exist at the Lagos State level, though the standard licensing and tax compliance expectations still apply.
The main practical difference between renting a primary residence versus a secondary home is that investment properties typically require more formal business registration and may face stricter scrutiny from estate management or building associations.
Don't buy the wrong property, in the wrong area of Lagos
Buying real estate is a significant investment. Don't rely solely on your intuition. Gather the right information to make the best decision.
Can I run multiple Airbnbs under one name in Lagos right now?
Yes, you can operate multiple Airbnb listings under one name in Lagos, and this is actually a common business model among professional short-let operators on the Island.
There is no published maximum number of properties one person or entity can list for short-term rental in Lagos at the state level.
Operating multiple units will push you toward more formal business registration through the Corporate Affairs Commission and a more visible tax compliance profile, but there are no additional licensing tiers specifically for multi-property hosts.
Do I need a short-term rental license or a business registration to host in Lagos as of 2026?
As of the first half of 2026, Lagos does not have a dedicated short-term rental license category, but hosts are expected to obtain business registration through the Corporate Affairs Commission and comply with hospitality-adjacent licensing and tax frameworks.
The typical process involves registering your business with CAC, which takes 2 to 4 weeks, then ensuring you are set up for HORC tax collection and remittance with the Lagos Internal Revenue Service.
Documents typically required include valid identification, proof of property ownership or landlord consent, and standard business incorporation paperwork.
CAC registration costs start around 15,000 to 50,000 naira depending on your business structure, and you should budget for ongoing tax filing and compliance costs.
Are there neighborhood bans or restricted zones for Airbnb in Lagos as of 2026?
As of the first half of 2026, Lagos does not have city-mapped no-Airbnb zones, but restrictions often exist at the estate, building, or gated community level.
Neighborhoods with the strictest private restrictions include Banana Island, parts of Ikoyi like Parkview Estate and Osborne Foreshore Estate, and certain high-end condo buildings in Victoria Island where guest policies are tightly controlled.
The main reason these particular zones are restricted is security, as exclusive estates prioritize resident safety and carefully screen all visitors, making frequent guest turnover a compliance issue.
We made this infographic to show you how property prices in Nigeria compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It’s an easy way to spot where you might get the best value for your money. We hope you like it.
How much can an Airbnb earn in Lagos in 2026?
What's the average and median nightly price on Airbnb in Lagos in 2026?
As of the first half of 2026, the average nightly price for an Airbnb listing in Lagos is approximately $89 (around 126,000 naira or 85 euros), while the median nightly price sits closer to $75 (about 107,000 naira or 72 euros).
The typical nightly price range that covers roughly 80% of Lagos Airbnb listings falls between $40 and $160 (57,000 to 227,000 naira, or 38 to 153 euros), depending on location and amenities.
The single factor with the biggest impact on nightly pricing in Lagos is neighborhood, with Island locations like Ikoyi and Victoria Island commanding rates two to three times higher than Mainland areas like Yaba or Surulere.
By the way, you will find much more detailed profitability rent ranges in our property pack covering the real estate market in Lagos.
How much do nightly prices vary by neighborhood in Lagos in 2026?
As of the first half of 2026, the nightly price gap between Lagos's most expensive and most affordable neighborhoods can reach $150 or more, with Banana Island commanding $180 to $220 per night (256,000 to 312,000 naira, or 172 to 210 euros) while Yaba listings start around $35 to $50 per night (50,000 to 71,000 naira, or 33 to 48 euros).
The three neighborhoods with the highest average nightly prices in Lagos are Banana Island at $180 to $220 (256,000 to 312,000 naira), Ikoyi at $130 to $180 (185,000 to 256,000 naira), and Victoria Island at $90 to $160 (128,000 to 227,000 naira).
The three neighborhoods with the lowest average nightly prices are Yaba at $35 to $55 (50,000 to 78,000 naira), Surulere at $40 to $60 (57,000 to 85,000 naira), and Gbagada at $45 to $70 (64,000 to 99,000 naira), and guests still choose these areas for budget stays, longer visits, and proximity to Mainland business districts.
What's the typical occupancy rate in Lagos in 2026?
As of the first half of 2026, the typical occupancy rate for Airbnb listings in Lagos averages around 39% to 45% across all active properties.
The realistic occupancy rate range that covers most Lagos listings falls between 30% and 55%, with casual hosts often landing in the lower third and professional operators reaching the upper range.
Lagos occupancy rates are competitive with other major Nigerian cities like Abuja and Port Harcourt, though they lag behind some global urban STR markets that average 50% to 65%.
The single factor with the biggest impact on achieving above-average occupancy in Lagos is power reliability, since guests consistently choose and positively review listings that guarantee 24/7 electricity through inverter and generator backup.
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What's the average monthly revenue per listing in Lagos in 2026?
As of the first half of 2026, the average monthly revenue per Airbnb listing in Lagos is approximately $4,074 (around 5.79 million naira or 3,890 euros).
The realistic monthly revenue range covering roughly 80% of Lagos listings falls between $1,500 and $7,000 (2.1 million to 9.9 million naira, or 1,430 to 6,690 euros), with location and property quality driving most of the variation.
Top-performing Airbnb listings in Lagos, particularly well-managed 2 to 3 bedroom apartments in Lekki Phase 1 or Victoria Island, can achieve $8,000 to $12,000 per month (11.4 million to 17 million naira). A premium 3-bedroom in VI at $150 per night with 65% occupancy would generate roughly $2,925 per month in gross revenue, and during peak Detty December season, that same unit could exceed $5,000.
Finally, note that we give here all the information you need to buy and rent out a property in Lagos.
What's the typical low-season vs high-season monthly revenue in Lagos in 2026?
As of the first half of 2026, typical monthly revenue during high season in Lagos reaches $4,900 to $5,900 (7.0 million to 8.4 million naira, or 4,680 to 5,640 euros), while low-season months drop to $2,850 to $3,460 (4.0 million to 4.9 million naira, or 2,720 to 3,300 euros).
High season in Lagos runs from November through March, with the peak during Detty December attracting diaspora visitors, tourists, and massive event crowds, while low season typically covers June through July and parts of September when the rainy season and reduced travel activity soften demand.
What's a realistic Airbnb monthly expense range in Lagos in 2026?
As of the first half of 2026, a realistic monthly expense range for operating an Airbnb in Lagos is 1.0 million to 2.4 million naira ($700 to $1,690, or 670 to 1,615 euros) for apartments and condos, and 1.8 million to 4.5 million naira ($1,270 to $3,170, or 1,210 to 3,030 euros) for townhouses and detached houses.
The single expense category that typically represents the largest share of monthly costs in Lagos is power, including diesel or petrol for generators, inverter battery maintenance, and servicing, which can easily consume 300,000 to 800,000 naira ($210 to $565) per month depending on usage.
Hosts in Lagos should typically expect to spend 40% to 65% of gross revenue on operating expenses, with the higher end applying to properties that require more intensive power, security, and maintenance support.
If you want to go into more details, we also have a blog article detailing all the property taxes and fees in Lagos.
What's realistic monthly net profit and profit per available night for Airbnb in Lagos in 2026?
As of the first half of 2026, a realistic monthly net profit for a well-run Airbnb in Lagos ranges from $1,430 to $2,240 (2.0 million to 3.2 million naira, or 1,365 to 2,140 euros), with profit per available night falling between $12 and $19 ($47 to $79 per booked night).
The realistic monthly net profit range covering most Lagos listings spans from $800 to $3,000 (1.1 million to 4.3 million naira, or 765 to 2,865 euros), depending heavily on location, occupancy, and expense management.
Hosts in Lagos typically achieve net profit margins of 35% to 55% of gross revenue after operating expenses but before any mortgage or major capital expenditure.
The break-even occupancy rate for a typical Lagos Airbnb listing with average expenses sits around 25% to 30%, meaning hosts need roughly 8 to 10 booked nights per month just to cover operating costs.
In our property pack covering the real estate market in Lagos, we explain the best strategies to improve your cashflows.
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 competitive is Airbnb in Lagos as of 2026?
How many active Airbnb listings are in Lagos as of 2026?
As of the first half of 2026, there are approximately 7,800 active short-term rental listings in Lagos across platforms like Airbnb and Vrbo.
This number represents significant growth from previous years, with listings in Lagos growing over 40% between 2018 and 2022 according to Airbnb's Africa insights, and the trend has continued as the short-let market professionalizes and Detty December tourism expands.
Which neighborhoods are most saturated in Lagos as of 2026?
As of the first half of 2026, the most saturated neighborhoods for Airbnb in Lagos are Lekki Phase 1, Ikate, Osapa, Agungi, Victoria Island, Oniru, and the Ikeja GRA and Allen axis.
These neighborhoods became saturated because they combine premium infrastructure, reliable road access, proximity to business and entertainment hubs, and the kind of security-conscious gated communities that attract both hosts and guests in Lagos.
Neighborhoods in Lagos that are relatively undersaturated and may offer better opportunities for new hosts include Yaba, Surulere, Gbagada, Ogudu, and Maryland, though these areas serve a more price-sensitive, domestic traveler base.
What local events spike demand in Lagos in 2026?
As of the first half of 2026, the main local events that spike Airbnb demand in Lagos include Detty December (the entire month of December through early January), ART X Lagos (typically November), major concerts like Flytime Fest at Eko Convention Centre, corporate conferences at Landmark Centre and Eko Hotel, and the ongoing wedding season that peaks from November through March.
During these peak events, Lagos Airbnb hosts typically see bookings increase by 30% to 50% and nightly rates jump by 20% to 45% compared to normal periods.
Hosts should typically adjust their pricing and availability settings at least 4 to 8 weeks before major events to capture event-driven demand, and for Detty December specifically, savvy hosts start preparing their calendars and pricing by August or September.
What occupancy differences exist between top and average hosts in Lagos in 2026?
As of the first half of 2026, top-performing Airbnb hosts in Lagos achieve occupancy rates of 55% to 65%, significantly outperforming the market.
Average hosts in Lagos typically see occupancy rates of 30% to 45%, meaning top performers book roughly 50% more nights per month by focusing on power reliability, fast response times, and consistent cleanliness.
New hosts in Lagos should expect it to take 6 to 12 months of consistent hosting, accumulating positive reviews, and optimizing their listings before they can realistically reach top-performer occupancy levels.
We give more details about the different Airbnb strategies to adopt in our property pack covering the real estate market in Lagos.
Which price points are most crowded, and where's the "white space" for new hosts in Lagos right now?
The nightly price range with the highest concentration of Lagos Airbnb listings falls between $60 and $120 (85,000 to 170,000 naira, or 57 to 115 euros), particularly in the Lekki Phase 1, Ikate, and Victoria Island corridors where nice 1 to 2 bedroom apartments dominate.
The most crowded price points where competition is fiercest are $70 to $100 per night on the Island and $40 to $70 per night on the Mainland, while white space opportunities exist above $150 per night for true luxury experiences and below $50 per night for reliable budget options with guaranteed power.
Property characteristics that would allow a new host to successfully compete in underserved price segments include guaranteed 24/7 power with documented backup systems, family-ready 3-bedroom configurations in secure estates, and corporate-focused setups with dedicated workspaces and airport transfer options.
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What property works best for Airbnb demand in Lagos right now?
What bedroom count gets the most bookings in Lagos as of 2026?
As of the first half of 2026, 1-bedroom and compact 2-bedroom units get the most bookings in Lagos by volume, as they align with the city's dominant business traveler and couples market.
The estimated booking rate breakdown by bedroom count in Lagos shows 1-bedroom units capturing roughly 35% to 40% of bookings, 2-bedroom units taking 30% to 35%, studios at 10% to 15%, and 3-bedroom-plus properties accounting for 15% to 20%.
One and two bedroom apartments perform best in Lagos specifically because business travel, short stays, and couples dominate demand, and these smaller units are easier to keep consistently clean with reliable power while minimizing operational complexity.
What property type performs best in Lagos in 2026?
As of the first half of 2026, apartments and condos in serviced buildings perform best for Airbnb in Lagos, followed by terrace homes in gated estates, while detached houses and villas can outperform only when professionally managed in premium locations.
Occupancy rates across property types in Lagos show apartments averaging 40% to 50%, terrace homes at 35% to 45%, and detached houses or villas ranging from 25% to 40% depending heavily on location and management quality.
Apartments and condos outperform other property types in Lagos because they combine controlled security, shared building services that reduce maintenance burden, and locations in the high-demand Island and Lekki corridors where most guests want to stay.
What sources have we used to write this blog article?
Whether it's in our blog articles or the market analyses included in our property pack about Lagos, we always rely on the strongest methodology we can ... and we don't throw out numbers at random.
We also aim to be fully transparent, so below we've listed the authoritative sources we used, and explained how we used them and the methods behind our estimates.
| Source | Why It's Authoritative | How We Used It |
|---|---|---|
| AirDNA Lagos | AirDNA is a widely recognized short-term rental analytics provider with transparent data methodology covering thousands of listings. | We used it to anchor Lagos-wide averages for occupancy, ADR, and monthly revenue. We treated it as the baseline and then validated neighborhood ranges against other sources. |
| Lagos Hotel Licensing Law (1983) | This is the official text of a Lagos State law establishing licensing requirements for lodging establishments. | We used it to explain the legal framework Lagos can apply to require licensing for accommodation-style businesses. We used it to frame STR compliance as hospitality-adjacent. |
| Lagos HORC Tax Law (2009) | This is the enacted Lagos State tax law text covering hotel occupancy and consumption tax. | We used it to identify the core state-level tax applicable to accommodation services in Lagos. We used it to justify building tax compliance into expense planning. |
| KPMG Nigeria LIRS Notice | KPMG is a major audit and tax firm, and this document reproduces an official LIRS public notice on HORC scope. | We used it to confirm that short-let apartments explicitly fall within HORC tax definitions. We used it to justify treating short-lets as in-scope for compliance planning. |
| Lagos Internal Revenue Service | This is the official tax authority website for Lagos State with published tax legislation. | We used it as the official reference point for Lagos tax law context and to validate that HORC sits within Lagos's published tax ecosystem. |
| Corporate Affairs Commission | CAC is Nigeria's official corporate registry responsible for business registration. | We used it to support the claim that formal business registration is standard for operating a hosting business in Nigeria. We outlined practical registration steps. |
| Lagos State Government LUC Announcement | This is an official Lagos State Government release on Land Use Charge billing. | We used it to remind owners that property holding costs include state levies. We justified including annual property charges in the expense stack. |
| Knight Frank Lagos Market Update | Knight Frank is a global real estate advisory with established research standards and detailed Lagos property data. | We used the rent tables to map neighborhood pricing differences between Island and Mainland locations. We used it as a reality check for ADR variation by area. |
| Central Bank of Nigeria Exchange Rates | This is the Central Bank of Nigeria's official exchange rate publication page. | We used it as the authoritative benchmark for official exchange rate references. We justified converting USD-denominated STR benchmarks into naira. |
| Channels TV Exchange Rate Report | Channels TV is a major Nigerian broadcaster that explicitly reports official market window rates. | We used it as a practical early January 2026 spot rate reference for converting Airbnb revenue from USD to naira. We chose a realistic conversion rate around 1,420 naira per dollar. |
| Reuters Nigeria Budget Reporting | Reuters is a top-tier global newsroom with strong fact-checking standards covering Nigerian economic policy. | We used it to triangulate that approximately 1,400 naira per USD is a reasonable macro planning assumption for 2026. We stress-tested our currency conversions. |
| Lagos Tourism Portal | This is presented as an official Lagos tourism portal for registering hospitality facilities and businesses. | We used it to show Lagos is actively pushing structured registration for tourism operators. We supported the view that formalization is increasing, not decreasing. |
| ART X Lagos | This is the official website for one of Lagos's biggest recurring cultural events drawing international visitors. | We used it as a concrete example of a predictable demand spike generator. We helped hosts plan high-season pricing around known peak dates. |
| Airbtics Lagos Data | Airbtics is an STR analytics platform that has tracked Airbnb listings since 2019 with detailed market metrics. | We cross-referenced their occupancy and ADR figures with AirDNA data. We validated our revenue estimates and seasonal patterns using their reporting. |
| LodgeCompliance Nigeria | LodgeCompliance provides structured regulatory overviews for short-term rentals across different countries. | We used it to confirm the absence of nationwide nights caps and to understand guest registration practices. We validated our regulatory framework analysis. |
| Lexpraxis Solicitors | Lexpraxis is a Nigerian law firm providing guidance on business setup and compliance requirements. | We used their Airbnb business setup guidance to outline registration steps and legal considerations. We validated the CAC and LIRS compliance pathway. |
| Businessday Nigeria | Businessday is a leading Nigerian business publication covering economic and tourism trends. | We used their Detty December coverage to quantify tourism revenue impact and seasonal demand patterns. We validated the $13 million short-let revenue figure. |
| CNN Detty December Coverage | CNN is a global news network providing international perspective on Lagos tourism and Detty December trends. | We used it to understand the scale of December tourism demand and economic impact. We validated the $71.6 million tourism revenue figure for 2024. |
| Airbnb Community Forums | These are direct discussions from Lagos hosts sharing operational experiences and challenges. | We used host discussions to validate operational realities around power, maintenance, and guest management. We confirmed that power reliability is the top differentiator. |
We created this infographic to give you a simple idea of how much it costs to buy property in different parts of Nigeria. As you can see, it breaks down price ranges and property types for popular cities in the country. We hope this makes it easier to explore your options and understand the market.
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