Wednesday, December 16, 2015

Babatunde Raji Fashola - Nigeria's house rent collecting system must change!


Fashola
Babatunde Raji Fashola

Nigeria’s Minister for Works, Housing and Power, Babatunde Raji Fashola has called for a review in the current two years house rent payment by Nigerians whenever they are seeking for 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.”


Fashola also related the situation to the housing deficit in the country: “I am inclined to think that if we just change the payment system for housing we will accommodate a significant number of people”.

The minister went on to emphasize the need to allow the rent payment system match the salary payment system. He said: “If salaries are paid in arrears, rent should be paid in arears.” He added that a more rigorous enforcement system for eviction would then be worked out for anyone in default.”

Since assumption of office as
Minister for Works, Housing and Power, part of  Fashola’s agenda has been to address housing deficits, provide good roads and increase power generation in Nigeria with extra 2, 000 megawatts.