Report by: Odeleti Michael A.
The rising cost of housing in Oyo State, particularly in major urban centres such as Ibadan and Ogbomos has continued to generate intense public concern, as residents lament what they describe as outrageous and exploitative charges imposed by house agents. While landlords are often blamed for steep rent increments, emerging testimonies from tenants and house seekers suggest that house agents are at the centre of a growing crisis, burdening citizens with excessive fees far beyond lawful and reasonable limits.
Contrary to the assumption that the problem is restricted to urban areas, growing evidence indicates that the menace has also spread into rural communities across the state, deepening housing difficulties for low-income earners, students, artisans and young professionals.
There are signs that the crisis is now attracting official attention. Rt. Hon. Adebo Ogundoyin, Speaker of the Oyo State House of Assembly, has publicly pledged to regulate the activities of house agents, announcing that the Assembly will constitute a committee to draft a bill aimed at curbing widespread extortion and exploitation in the housing sector. He assured stakeholders that the proposed legislation would be completed and transmitted to the Governor for assent before the end of the first quarter of the year.
In addition to legislative action, the Oyo State Government has commenced stakeholder engagement. In a recent meeting in Ibadan, the Commissioner for Lands, Housing and Urban Development, Hon. Akin-Funmilayo Williams, met with leaders of the Estate Rent and Commission Agents Association to address rising rent and commission extortion and to develop a workable regulatory framework. The Commissioner emphasised that while government may not directly control rent prices, the activities and charges of house agents must be properly regulated to protect the public.
Across Oyo State, many residents now describe the process of securing accommodation as emotionally draining, financially crippling, and, in some cases, humiliating. The core of the problem lies not only in the cost of rent itself but in the multiple layers of additional charge-agency fees, legal or agreement fees, caution deposits and other unexplained levies-imposed by house agents, which drastically inflate the total amount demanded from tenants.
A System Under Strain
By standard professional practice, agency fees charged by house agents are expected to be 10 percent of the annual rent, a figure widely regarded as fair, lawful and reasonable. However, many house agents now impose charges far exceeding this benchmark. This growing trend has sparked public outrage, with residents describing the practice as exploitative, criminal and deeply threatening to household stability.
A woman in Ibadan, who requested anonymity, recounted her experience while searching for an apartment. She found a suitable apartment listed at ₦1.6 million annual rent. To her shock, she was informed by a house agent that the total package amounted to ₦2.5 million, including agency fees, legal or agreement fees, caution deposits and other miscellaneous charges.
She noted that while the lawful agency charge should have been ₦160,000, the amount demanded far exceeded this figure. “It feels like legalized extortion,” she lamented.
Upgrading Is Now a Nightmare
Another resident of Ibadan narrated her ordeal, describing how upgrading from an unconducive apartment to a better one has become nearly impossible. She currently pays ₦350,000 for a room-and-parlour apartment but was shocked to learn that another apartment in the same compound was placed on rent at ₦750,000, following the intervention of a house agent.
She described the situation as “devilish,” stressing that such arbitrary increments defy economic logic and moral reasoning. She further explained that many landlords are often unaware of the excessive sums collected by house agents in their names.
Youth Struggle and Economic Pressure
In Ogbomoso, a resident identified as Adeola expressed frustration over what he described as systematic financial oppression, particularly against young Nigerians. He revealed that a room-and-parlour apartment with an actual rent of ₦350,000 was presented to him by a house agent at a total package of ₦550,000.
“These house agents are making life unbearable for youths,” he said.
Another resident, Mr. Pato in Ibadan, narrated his experience with a house agent who informed him that the total package for a three-bedroom flat in 2025 stood at ₦1.5 million, with a subsequent annual rent payment of ₦1 million.
Similarly, a woman who searched extensively for accommodation in Ibadan in December 2025 recounted how a house agent quoted ₦1.2 million as rent, ₦240,000 as agency fee, ₦120,000 as agreement fee and ₦120,000 as caution fee, excluding other charges.
Rural Communities Also Affected
The housing crisis is not confined to urban centres. Reports from rural towns indicate that house agents have extended exploitative practices into communities traditionally regarded as affordable, findings by Peoples Conscience have shown.
In Eruwa, Ibarapa East Local Government Area, residents complained that house agents operating around student-dominated areas now impose excessive charges, forcing students into overcrowded and unsafe housing options.
A Call for Regulation and Accountability
Public opinion strongly suggests that urgent regulatory intervention is required. While house agents play an important role in linking landlords and tenants, their activities must remain within lawful and ethical boundaries.
The continuous violation of the 10 percent agency fee standard raises serious legal and moral concerns.
Stakeholders are therefore calling on the Oyo State Government, regulatory authorities and professional associations to enforce strict guidelines, sanction erring house agents, and establish transparent pricing structures that protect citizens from exploitation.
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