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Minister for Works, Housing and Power, Babatunde Fashola has called for a review in the way Nigerians pay two years house rent whenever they are seeking to get an apartment. He stated this while speaking at a press conference in Abuja recently
“The way we collect rent is something that must change. If we are collecting two years rent in advance from a salary that is going to be earned in arrears monthly, there’s an accounting mismatch. This is something many of us have experienced, you pay two years rent in advance money you haven’t earned.
Something is distorted somewhere in our accounting model. We must all resolve, property owners alike, that maybe if we changed the way we collected rent alone many houses that are unoccupied, will be occupied.
This is definitely not coming as a surprise as this was to a great deal achieved while he was Governor of Lagos state
Sensible and humane minister is talking. Its just crazy and mad to ask people to pay rent 2yrs in advance when people are getting a monthly salary. I guess this only happens in nigeria bc of d desperation our people hv bn subjected to over d years through a careless govt system. Home owners are left to sweat it out in raising funds to build homes as there is no affordable loan to invest in long term projects like housing.
My honourable minister, b4 u start looking at d way rents are collected, pls 1st look at land acquisition and property development in term of funding/financing pattern and consider d whole system holistically. Bank interest rate for morgages should be looked into so dt we don’t discourage people from investing in property business