The Minister of Housing and Urban Development, Architect Ahmed Musa Dangiwa, has projected that the country’s real estate market will hit N2.25tn by the end of 2025.
Also, Dangiwa revealed that the real estate sector contributed around 5.2 per cent to the nation’s GDP in 2024.
The minister called on global investors in Saudi Arabia to take advantage of the huge opportunities in Nigeria’s housing sector, specifically the Renewed Hope Cities and Estates Programme of the Federal Government.
A statement issued by his Special Adviser on Media and Strategy, Mark Chieshe, quoted him as having spoken at a panel discussion at the Saudi Arabia Real Estate Forum in Saudi Arabia.
He disclosed that Nigeria’s huge housing deficit offers enormous business opportunities, and the Renewed Hope Cities and Estates Programme serves as a low-hanging fruit for investors in the Middle Eastern nation to take advantage of and get good returns.
The forum themed “Balance and Innovation in the Real Estate Landscape.” was held at the Four Points Hotel in Riyadh and featured panellists including HE Eng. Abdullah Al-Attiya, Minister of Municipality, Qatar, and HE Dr. Abdulla Muththalib, Minister of Construction, Housing, and Infrastructure, Republic of Maldives.
“Nigeria’s real estate sector contributed around 5.2 per cent to the nation’s GDP in 2024 and will increase in market volume to N2.25tn by the end of 2025. Despite this, there is still tremendous investment opportunity, especially in the residential real estate segment.
“Nigerians need homes now more than ever and you can partner with the Nigerian government to deliver these houses at scale,” he said.
Dangiwa noted that Nigeria faces an estimated housing deficit of 28 million units, a situation exacerbated by rapid urbanisation and migration.
“The government is tackling this by prioritising large-scale housing delivery through public-private partnerships, innovative financing, and government-led interventions. Additionally, efforts are underway to engage state governments in unlocking land for affordable housing projects, as difficulties in land acquisition continue to hinder progress,” he added.
Speaking on the theme, Dangiwa set the context by emphasising that housing is a fundamental driver of economic growth, social stability, and national development. However, achieving a balance in the real estate sector between affordability and profitability means that the challenges of sustainability and cost efficiency, as well as policy and private sector incentives, must be addressed.
“In Nigeria, rapid urbanisation, population growth, and economic pressures necessitate a rethinking of housing delivery strategies. The Federal Government is committed to addressing these challenges through initiatives like the Renewed Hope Cities and Estates Programme, the National Social Housing Fund, and strategic partnerships with local and international stakeholders,” he said.
Addressing the tension between affordable housing and profitability for developers, he acknowledged concerns that affordability often conflicts with commercial viability.
He assured the investors of the government’s commitment and actions towards enhancing the affordability of Nigerians to purchase homes through mortgages.
Dangiwa pointed out that high-interest mortgage rates, which can reach up to 30% per annum, have historically made homeownership difficult for many Nigerians.
To address this, he said the government is expanding the Federal Mortgage Bank of Nigeria’s reach and recapitalising it with N500bn to provide more accessible single-digit mortgage products.
Nigeria Real Estate Market To Hit N2.25tn By December, Says Dangiwa is first published on The Whistler Newspaper
Source: The Whistler
