PAC Research Unveils Reports on Nigeria, Lagos Housing Market

PAC Research has announced the release of two landmark publications: “From Shortage to Opportunity: Unlocking the Billion-Dollar Housing Market” and “Lagos Housing Report: A Treasure Trove of Possibilities.”

The reports provide one of the most comprehensive assessments yet of Nigeria’s housing ecosystem, revealing a national housing deficit of more than 28 million units, with Lagos State alone accounting for a shortfall of 3.4 million units. Despite the scale of the challenge, the reports position the deficit as a major investment opportunity, estimating the market’s potential value in trillions of naira.

The national report, which features a foreword by the Managing Director of the Federal Mortgage Bank of Nigeria (FMBN), Shehu Usman Osidi, notes that Nigeria needs approximately 800,000 new homes annually to keep pace with population growth. That figure is projected to rise to 2 million homes per year by the end of the decade. The report also highlights the country’s low mortgage penetration, currently below 1 percent of GDP, compared with 77 percent in the United States and 31 percent in South Africa.

“Nigeria stands at a critical juncture where rapid urbanization and economic transformation converge to create unprecedented opportunities,” the report stated. The publication outlined innovative financing solutions aimed at bridging the housing gap, including Real Estate Investment Trusts (REITs), diaspora mortgage products, and the Renewed Hope Housing Scheme.

A major section of the report focuses on Lagos, Nigeria’s commercial hub, which attracts more than 475,000 new residents annually. According to the report, Lagos currently has an estimated housing stock of 1.49 million units, while demand stands at approximately 4.69 million units, leaving an accessible market gap of about 2.81 million units.

Among the report’s key findings is a growing preference for smaller housing units, with more than 52 percent of residents favoring one- and two-bedroom apartments, reflecting strong demand for affordable and compact living spaces.

Reviewing the reports, Shehu Usman Osidi described them as a timely call to action.

“This report is more than an analysis — it is a call to action. The time to invest in Nigeria’s housing market is now. The rewards extend beyond financial returns to include inclusive growth and urban resilience,” he said.