How different actors shape the real estate market for informal settlements in Lagos

Abstract

The literature indicates that most housing in the urban areas of many countries in the global South is in informal settlements, provided through informal mechanisms that are often not well understood. This paper contributes to understanding the forces influencing real estate markets in informal settlements, drawing on a case study of the under-researched Ayobo community in Lagos, Nigeria. The paper examines the roles played by government agencies and other market actors, including buyers, sellers, informants, financiers and witnesses, in relation to the operation and regulation of informal land markets. The analysis of the data, drawn from a survey and interviews, reveals a thriving property market, which is socially if not formally regulated. The paper concludes that this flourishing informal market needs strengthening to effectively meet the housing needs of urban residents.

Covid Ruins, Tomorrow's Homes? Analysis of an Adaptive Re-Use Approach to Affordable Housing for Metropolitan Cities in the Global South

“…In addition, due to poor documentation, it is difficult to paint an accurate picture of Lagos, Nigerias housing deficit (Wang and Maduako, 2018). It is estimated that the citys housing shortage is about 5 million housing units, hence, an overpriced housing market automatically excludes the middle class (Opoko, et. al., 2020).…”

“…This perspective also considers other elements required to make a home conducive to living such as water, electricity, and gas. In Lagos, it is estimated that about 40 -75% of the population lives in deplorable conditions within squatter settlements (Opoko, et. al., 2020).…”

Analyzing actors’ interaction behavior in land transactions in informal settlement settings: A case study of Burayu city, Ethiopia

“…They have failed to fulfil the increasing needs of the inhabitants as a result; informal settlements have developed as an alternative for people and continue to expand. Due to the inefficiency of the legal land supply system, many people in developing countries have most of the land for their housing in informal settlements accessed through informal means [ 3 ].…”

“…They are frequently operating as a principal actor in informal settlement growth. They can be buyers, sellers, and informants [ 3 , 7 ]. Moreover [ 6 ], stated actors can be intermediaries, developers, and politicians who benefit disproportionately from informal urban expansion and encourage its expansion.…”

“…Social networks play a greater function in land transactions among actors in informal settlements. However, actors involved in informal land deals and their social relationships have received scant or inadequate research [ 7 , 21 , 27 ]. This indicates that identifying individual actors involved in informal land transactions is crucial to understand the system as a whole.…”