Authored by the expert who managed and guided the team behind the Nigeria Property Pack
Everything you need to know before buying real estate is included in our Nigeria Property Pack
Should you buy property in Nigeria now, or would waiting be the smarter move?
We wrote this article to help you understand the current housing prices in Nigeria and whether they make sense for buyers today.
This blog post is constantly updated with the latest data and market signals, so you always have fresh information at your fingertips.
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 Nigeria.
So, is now a good time?
Rather yes, buying property in Nigeria in January 2026 makes sense if you choose carefully and avoid overpaying in overheated segments.
The strongest signal is that inflation has dropped to 14.45% (its lowest in over three years) and the Central Bank of Nigeria has started cutting rates, which points to improving affordability ahead.
Another strong signal is the massive housing shortage of 17 to 22 million units, which keeps structural demand for homes strong even when purchasing power is tight.
Other strong signals include stabilizing foreign exchange conditions, ongoing infrastructure projects in Lagos and Abuja that boost property values, and steady rental yields of 6% to 8% in the right locations.
The best investment strategies right now are mid-market apartments and terraces in proven rental areas like Lekki Phase 1, Yaba, Ikeja, or Wuse 2 in Abuja, buying with cash or low leverage if possible, and holding for at least 5 years to ride out any short-term volatility.
This is not financial or investment advice, we do not know your personal situation, and you should always do your own research before making any property purchase.
Is it smart to buy now in Nigeria, or should I wait as of 2026?
Do real estate prices look too high in Nigeria as of 2026?
As of early 2026, property prices in Nigeria appear stretched in naira terms, especially in prime Lagos neighborhoods like Ikoyi and Victoria Island, but in real terms (adjusted for inflation and currency movements), many segments are closer to fair value than their headline numbers suggest.
One clear on-the-ground signal is that luxury properties in saturated areas have seen longer days-on-market and more price negotiations, with some listings sitting for 6 to 9 months without finding buyers, which suggests sellers are still pricing above what the market can absorb.
Another signal is that mid-market properties in areas like Lekki, Yaba, and Ajah continue to move faster, often within 2 to 6 weeks, indicating that prices in these segments are more aligned with what Nigerian buyers can actually afford.
You can also read our latest update regarding the housing prices in Nigeria.
Does a property price drop look likely in Nigeria as of 2026?
As of early 2026, the likelihood of a meaningful property price drop in Nigeria over the next 12 months is low to medium, as structural housing shortages and cash-buyer dominance tend to prevent sharp crashes even when affordability is tight.
The plausible price change range for Nigerian property over the next 12 months is flat to up 15% in naira terms, but flat to slightly down in US dollar terms if the naira weakens again against major currencies.
The single most important macro factor that could increase the odds of a price drop in Nigeria is a return to high inflation or renewed foreign exchange instability, which would crush household purchasing power and freeze out financed buyers.
As of now, this scenario is less likely than it was 12 months ago because the Central Bank of Nigeria has begun easing rates and inflation has dropped to 14.45%, but external shocks like falling oil prices or global financial stress could still trigger volatility.
Finally, please note that we cover the price trends for next year in our pack about the property market in Nigeria.
Could property prices jump again in Nigeria as of 2026?
As of early 2026, the likelihood of a renewed price surge in Nigeria within the next 12 months is medium, as any jump would require both sustained macro stabilization and meaningful improvements in mortgage affordability, neither of which is guaranteed.
The plausible upside price change for Nigerian property over the next 12 months is 10% to 15% in naira terms for well-located properties in growth corridors, and even higher for land in emerging areas linked to infrastructure projects.
The single biggest demand-side trigger that could drive prices to jump again in Nigeria is a significant drop in lending rates that makes mortgages affordable for middle-class buyers, combined with continued diaspora investment returning confidence to the market.
Please also note that we regularly publish and update real estate price forecasts for Nigeria here.
Are we in a buyer or a seller market in Nigeria as of 2026?
As of early 2026, the Nigerian property market is leaning toward buyers in most segments because high interest rates have reduced the pool of financed buyers, giving those with cash more negotiating power.
Nigeria does not publish a standard months-of-inventory figure, but market signals suggest that oversupplied luxury segments in Lagos can take 6 to 12 months to sell, while well-priced mid-market homes in high-demand areas move in 4 to 8 weeks, which means bargaining power varies heavily by location and price point.
In terms of price reductions, reports indicate that 15% to 30% of listings in saturated mid-market estates have seen landlords or sellers adjust prices or offer incentives to avoid prolonged vacancies, which suggests sellers are losing some leverage in those pockets.
We have made this infographic to give you a quick and clear snapshot of the property market in Nigeria. It highlights key facts like rental prices, yields, and property costs both in city centers and outside, so you can easily compare opportunities. We’ve done some research and also included useful insights about the country’s economy, like GDP, population, and interest rates, to help you understand the bigger picture.
Are homes overpriced, or fairly priced in Nigeria as of 2026?
Are homes overpriced versus rents or versus incomes in Nigeria as of 2026?
As of early 2026, homes in prime Nigerian locations like Ikoyi and Victoria Island appear overpriced relative to both rents and incomes, while mid-market areas offer more reasonable valuations that align better with what local buyers can actually afford.
The estimated price-to-rent ratio in prime Lagos (like Ikoyi) is around 25 to 30, meaning it would take 25 to 30 years of rent to equal the purchase price, which is above the 15 to 20 range typically considered balanced, so buyers in these areas are paying a premium for prestige and perceived stability.
The estimated price-to-income multiple in Nigeria is extremely high for salaried workers, with a 450 million naira home requiring annual household income well into nine figures to finance with a standard mortgage, which is why the market is dominated by cash buyers, business owners, and diaspora investors rather than typical employees.
Finally please note that you will have all the indicators you need in our property pack covering the real estate market in Nigeria.
Are home prices above the long-term average in Nigeria as of 2026?
As of early 2026, Nigerian property prices in naira are well above historical averages due to years of high inflation and construction cost increases, but in real terms (adjusted for inflation), many segments are closer to flat or only modestly above pre-pandemic levels.
The estimated recent 12-month price change in Nigeria is 5% to 15% in naira depending on location, which is slower than the 30% to 40% surges seen in 2024, suggesting the market is transitioning from speculative growth to more sustainable appreciation.
In inflation-adjusted terms, Nigerian property prices in mid-market segments are roughly at or slightly below their prior cycle peak, meaning buyers today are not necessarily overpaying in real purchasing power terms even though nominal prices look high.
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What local changes could move prices in Nigeria as of 2026?
Are big infrastructure projects coming to Nigeria as of 2026?
As of early 2026, the Lagos-Calabar Coastal Highway and the Lagos Green Line Rail are the two biggest infrastructure projects expected to boost property prices, particularly along the Lekki-Epe corridor where accessibility improvements can add 10% to 20% to land values over the next few years.
The Lagos-Calabar Coastal Highway has already seen its first 30km section commissioned, with further phases in construction, while the Lagos Green Line Rail (68km connecting Victoria Island to Lekki Free Zone) has secured funding and is expected to be operational within 3 to 5 years, making now a good time to buy in areas along these routes before full price appreciation kicks in.
For the latest updates on the local projects, you can read our property market analysis about Nigeria here.
Are zoning or building rules changing in Nigeria as of 2026?
The most important rule change being discussed in Nigeria right now is the proposed Lagos Tenancy Law, which would require landlords to get court orders before evictions and limit annual rent increases to 10%, potentially reshaping landlord-tenant dynamics in the state.
As of early 2026, if these tenancy reforms pass, they could dampen aggressive rent hikes that have been running at 30% to 60% annually, which might slightly reduce investor returns but stabilize tenant demand and lower vacancy risks for well-priced properties.
The areas most affected by these rule changes in Nigeria would be Lagos mainland estates and mid-market corridors like Surulere, Yaba, and Ikeja where tenant turnover has been highest and rent disputes most common.
Are foreign-buyer or mortgage rules changing in Nigeria as of 2026?
As of early 2026, foreign-buyer rules in Nigeria remain relatively open (there is no blanket ban on foreign ownership), and the bigger changes are happening in the mortgage and FX space, where the Central Bank's EFEMS system is improving currency transparency and the CBN has started easing rates, which could gradually improve financing conditions.
There is no major foreign-buyer restriction being considered right now, but investors should note that FX rules and repatriation procedures matter more in practice than ownership restrictions, and the CBN's reforms aim to make these smoother.
The most likely mortgage rule change is continued rate cuts by the CBN through 2026, which could eventually bring mortgage rates down from the current 18% to 22% range, though meaningful affordability improvements will take time to filter through the system.
You can also read our latest update about mortgage and interest rates in Nigeria.
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.
Will it be easy to find tenants in Nigeria as of 2026?
Is the renter pool growing faster than new supply in Nigeria as of 2026?
As of early 2026, renter demand in Nigeria is growing faster than new rental supply, driven by a housing shortage of 17 to 22 million units and rapid urbanization that adds 500,000 to 600,000 new residents to Lagos alone each year.
The strongest signal of renter demand in Nigeria is the continued migration to cities like Lagos, Abuja, and Port Harcourt, where young professionals, families, and business owners are competing for a limited pool of quality rental homes.
On the supply side, developers in Nigeria are delivering roughly 100,000 new housing units per year, which is far below the estimated demand for 300,000 or more units, meaning the rental market remains structurally tight despite new construction.
Are days-on-market for rentals falling in Nigeria as of 2026?
As of early 2026, days-on-market for rentals in Nigeria varies widely by location, with well-priced mid-market apartments in Lagos letting within 2 to 6 weeks while overpriced luxury units can sit vacant for 3 to 9 months.
The gap between best areas and weaker areas in Nigeria is significant: prime Victoria Island and Ikoyi properties have 3% to 7% vacancy rates but take longer to fill due to a smaller pool of high-income tenants, while mainland areas like Yaba and Ikeja see higher vacancy rates (7% to 15%) but faster turnover for affordably priced units.
One common reason days-on-market falls in Nigeria is when landlords price competitively for the local market rather than chasing aggressive rent increases, because tenants in Nigeria are highly price-sensitive and will walk away from overpriced listings.
Are vacancies dropping in the best areas of Nigeria as of 2026?
As of early 2026, vacancies in the best-performing rental areas of Nigeria like Lekki Phase 1, Victoria Island, Wuse 2, and Maitama are holding steady at low single digits (3% to 7%), with no major drop because demand and supply have reached a rough equilibrium in these established neighborhoods.
The vacancy rate in these prime areas is lower than the overall Lagos market average of 10% to 15%, which means landlords in top locations have more pricing power but still need to stay competitive to avoid extended voids.
One practical sign that best areas are tightening in Nigeria is that short-let properties in Victoria Island and Lekki are achieving 50% to 70% occupancy rates with premium nightly rates, indicating strong transient demand that traditional landlords can tap into if they offer flexible leasing options.
By the way, we've written a blog article detailing what are the current rent levels in Nigeria.
Buying real estate in Nigeria can be risky
An increasing number of foreign investors are showing interest. However, 90% of them will make mistakes. Avoid the pitfalls with our comprehensive guide.
Am I buying into a tightening market in Nigeria as of 2026?
Is for-sale inventory shrinking in Nigeria as of 2026?
As of early 2026, for-sale inventory in Nigeria is not shrinking uniformly, with raw listing counts remaining high in new-build corridors while well-priced, well-titled properties in established neighborhoods remain genuinely scarce.
Nigeria does not have a standard months-of-supply metric, but based on listing behavior, properties priced right in high-demand areas like Lekki Phase 1 or Yaba can sell within 1 to 3 months, while overpriced or poorly documented properties can linger for 6 months or more, suggesting supply is "tight" only for quality stock.
The main reason inventory feels constrained for quality homes in Nigeria is that owners with good properties and clean titles are reluctant to sell at current prices if they do not need to, preferring to hold or rent out rather than accept what they see as undervaluation in a volatile currency environment.
Are homes selling faster in Nigeria as of 2026?
As of early 2026, median time-to-sell for homes in Nigeria is not speeding up across the board, with most properties taking 3 to 6 months to close, though well-priced mid-market homes in strong locations can move in 4 to 8 weeks.
Year-over-year, selling times in Nigeria have remained roughly stable or slightly lengthened for luxury segments, while mid-market segments have seen modest improvements as inflation eases and buyer confidence slowly returns.
Are new listings slowing down in Nigeria as of 2026?
As of early 2026, we do not see a clear year-over-year slowdown in new for-sale listings in Nigeria, as developers continue to release units and individual sellers keep testing the market, though the quality and title status of new listings varies widely.
The seasonal pattern for new listings in Nigeria typically shows higher activity in the first quarter (January to March) as sellers and developers push to close deals before the rainy season, and current listing levels appear consistent with this pattern rather than unusually low.
Is new construction failing to keep up in Nigeria as of 2026?
As of early 2026, new construction in Nigeria is failing to keep up with demand, with annual housing delivery estimated at around 100,000 units against a need for 300,000 or more units, leaving the housing deficit stubbornly high at 17 to 22 million units.
The recent trend in building activity shows that developers are active in growth corridors like Lekki, Epe, and Abuja suburbs, but high construction costs (driven by imported materials and currency weakness) have slowed the pace of completions and pushed prices higher on new builds.
The single biggest bottleneck limiting new construction in Nigeria is financing, as developers face high borrowing costs (often 20% or more) and buyers struggle to afford finished units, which has pushed many developers toward build-to-sell models targeting cash buyers rather than volume housing.
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.
Will it be easy to sell later in Nigeria as of 2026?
Is resale liquidity strong enough in Nigeria as of 2026?
As of early 2026, resale liquidity in Nigeria is moderate to good for well-located, well-titled properties, but weak for luxury or poorly documented homes, meaning your ability to sell quickly depends heavily on what and where you buy.
The median days-on-market for resale homes in Nigeria ranges from 2 to 6 months in most cases, with a "healthy liquidity" benchmark being under 3 months, which only the best-positioned properties consistently achieve.
The property characteristic that most improves resale liquidity in Nigeria is having clean title documentation (like a Certificate of Occupancy or Governor's Consent), because title issues are the single biggest deal-killer and buyers will pay a premium for certainty.
Is selling time getting longer in Nigeria as of 2026?
As of early 2026, selling time in Nigeria has gotten slightly longer compared to the 2023-2024 boom period, when cash-rich buyers were snapping up properties quickly, but it remains stable compared to historical norms for a high-rate environment.
The current median days-on-market in Nigeria is roughly 3 to 6 months for most residential properties, with a realistic range spanning 4 weeks for hot mid-market stock to 9 months or more for overpriced luxury homes or those with title complications.
One clear reason selling time can lengthen in Nigeria is when mortgage rates stay above 18%, because this shrinks the buyer pool to mostly cash purchasers, and if you price above what cash buyers will pay, your property will sit.
Is it realistic to exit with profit in Nigeria as of 2026?
As of early 2026, the likelihood of selling with a profit in Nigeria is medium to high if you hold for at least 5 years, buy in a growth corridor, and purchase at or below market value, but short-term flips are risky given transaction costs and market volatility.
The minimum holding period in Nigeria that most often makes exiting with profit realistic is 5 to 7 years, which gives enough time for infrastructure improvements, area maturation, and price appreciation to outpace your transaction costs.
The total round-trip cost drag in Nigeria (buying plus selling costs including legal fees, agency fees, stamp duty, and taxes) is estimated at 15% to 20% of property value, which translates to roughly 70 to 160 million naira on a 450 million naira home (or about $48,000 to $110,000 USD / 44,000 to 100,000 EUR at current exchange rates).
The factor that most increases profit odds in Nigeria is buying below replacement cost in an area with confirmed infrastructure investment, because this gives you a margin of safety and positions you to benefit from appreciation as the area develops.
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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 Nigeria, 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 |
|---|---|---|
| National Bureau of Statistics (NBS) | Nigeria's official statistics agency for inflation, CPI, and macro data. | We used NBS data to anchor the inflation and purchasing power context. We cross-checked private market claims against official trends. |
| Central Bank of Nigeria (CBN) | Nigeria's central bank sets monetary policy and publishes official FX and rate data. | We used CBN bulletins and rate decisions to explain the financing environment. We also referenced the EFEMS FAQ for FX market context. |
| IMF Article IV Report | The IMF provides independent macro risk assessments for Nigeria. | We used IMF analysis to frame macro risks that could affect housing prices. We stress-tested our scenarios against IMF assumptions. |
| World Bank Nigeria Updates | The World Bank provides authoritative macro diagnostics and reform assessments. | We used World Bank data to validate the reform narrative and household purchasing power trends. We contextualized housing affordability against these findings. |
| Reuters | A top-tier global news wire covering CBN decisions and economic policy. | We used Reuters reporting to track rate cuts and the 2026 economic outlook. We anchored our macro forecasts to their coverage of official announcements. |
| Knight Frank Lagos Market Update | A globally recognized real estate advisory with structured local market reports. | We used Knight Frank data for neighborhood rent benchmarks and vacancy trends. We cross-checked their findings against portal listings. |
| Nigeria Property Centre | One of Nigeria's largest property listing aggregators with transparent median pricing. | We used listing data as a market thermometer for asking prices. We combined these with rent benchmarks to estimate yields. |
| Federal Ministry of Housing and Urban Development | Nigeria's official federal ministry responsible for housing policy. | We used FMHUD statements to support the structural housing shortage argument. We referenced their data on housing inadequacy (17-22 million unit deficit). |
| Nigeria Mortgage Refinance Company (NMRC) | A key housing-finance institution that publishes mortgage market data. | We used NMRC resources to explain mortgage liquidity constraints. We balanced "demand is huge" with "financing is limited" using their data. |
| Federal Mortgage Bank of Nigeria (FMBN) | The main public institution behind Nigeria's National Housing Fund framework. | We used FMBN guidelines to explain affordability barriers for typical buyers. We framed why cash buyers dominate many market segments. |
| Nairametrics | A respected Nigerian financial news platform covering business and real estate. | We used Nairametrics for infrastructure project updates and market trend reporting. We tracked their coverage of the Lagos-Calabar Highway and rail projects. |
| Nigeria Housing Market | A specialized platform publishing real estate forecasts and price data for Nigeria. | We used their 2026 forecasts to validate our price trend estimates. We cross-referenced their growth projections with our own analysis. |
| Trading Economics | A reliable aggregator of economic indicators with real-time updates. | We used Trading Economics to confirm the latest inflation readings. We tracked month-by-month CPI changes to support our macro narrative. |
| Statista | A global statistics portal with market size and growth rate estimates. | We used Statista for market valuation context and growth projections. We cross-checked their figures against local sources. |
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.