The House of Representatives has passed for second reading a bill titled, “A Bill for an Act to Regulate Rental Payments, Prohibit Compulsory Multiple-Year Rent Demands, Housing Agency Practices, and Rent Increases in the Federal Capital Territory (FCT), Abuja.”
Sponsored by the member representing Enugu East/Isi-Uzo Federal Constituency of Enugu State, Hon. Paul Nnamchi, the bill seeks to establish a unified digital register for housing agents, prescribe agency fees, and protect both landlords and tenants.
The proposal seeks to limit advance rent demands to 12 months, regulate agency fees, protect tenants against unlawful eviction, and establish a regulatory authority to oversee rental transactions in the FCT.
The bill equally proposes fines of up to N20 million for corporate offenders who violate its provisions. In contrast, individuals convicted of breaching the proposed advance-rent restriction could face fines ranging from N500,000 to N5 million.
Leading the debate on the bill’s general principles, Nnamchi expressed concern that excessive rental demands had placed considerable financial pressure on residents, affecting household savings, small businesses, and employment mobility.
The lawmaker said the bill intends to establish a fairer and more accountable rental framework through the regulation of advance payments, a unified platform for identifying housing agents, reasonable limits on agency fees, and protection against coercive practices.
“Mr. Speaker, this legislation is not intended to undermine property rights or discourage investment. Rather, it recognizes that legitimate commercial interests must coexist with public protection. Landlords deserve reasonable returns.
“Agents deserve professional recognition, and tenants deserve fairness and protection from exploitation,” Nnamchi submitted.
He stated that a properly regulated rental market would promote transparency, certainty, and accountability; protect consumers; and improve confidence in the housing sector.
“The responsibility of legislation is not merely to protect economic transactions, but also to ensure that those transactions do not become instruments of undue hardship or exploitation.
“Access to decent accommodation should not be determined by one’s ability to make extraordinary advance payments. Fairness, accountability, and the protection of legitimate interests must remain the guiding principles of our rental markets. Mr. Speaker, I so move,” Nnamchi maintained.
Lawmakers were sharply divided over the proposed legislation, with some questioning the constitutionality of imposing restrictions on landlords’ property rights and freedom of trade, while others maintained that regulation was necessary to protect tenants from exploitation.
In his contribution, the lawmaker representing the Idah/Igalamela-Ibaji/Ofu Federal Constituency of Kogi State, Hon. Idris Zacharias, argued that the bill is important but urged the House to consider broader land and housing issues in the FCT.
The lawmaker also called for the House Committee on FCT and Area Councils to be included in the committee tasked with considering the proposal.
Similarly, the member representing Ikwo/Ezza South Federal Constituency of Ebonyi State, Hon. Chinedu Ogah, backed the bill, insisting that high rents and agency fees were making it increasingly difficult for businesses to establish offices in Abuja.
The lawmaker cited the cost of renting a three-bedroom office in Wuse, which he said “ranges between N25 million and N30 million annually, with agency fees further increasing the financial burden.”
The lawmaker representing Bogoro/Dass/Tafawa Balewa Federal Constituency of Bauchi State, Hon. Jafaru Gambo, also supported the bill but argued that the word “prohibit” in its title should be replaced with “regulate.”