Is Now a Good Time to Buy Land in Nigeria?

What the Numbers Actually Say

Lagos property prices grew by 39.5% in 2024 alone. In specific corridors like Lekki, Ibeju-Lekki, and Epe, land prices have more than doubled over the past five years, with annual appreciation rates consistently hitting between 8% and 15% in top neighbourhoods. Victoria Island and Lekki have maintained steady 15 to 20% annual appreciation since 2020. Abuja has also experienced 10 to 15% increases driven by high-end residential demand and government-related developments.

The National Bureau of Statistics reported 5.3% growth in the real estate sector in Q3 2024, positioning it as the third-largest contributor to the economy, surpassing oil and gas.

The Naira Hedge Argument

This is the argument that most high-net-worth Nigerian investors already understand. Smart investors recognize property as a naira hedge. As the currency depreciates, real estate maintains value better than bank savings earning 5 to 10% interest while inflation runs above 20%. Building a legacy asset that holds real-world value is a core reason serious investors continue to buy land even during economic uncertainty.

The math is straightforward. A property worth 50 million naira appreciating at 12% annually gains 6 million naira in value every single year. A person renting the same property pays 3 to 4 million naira annually and walks away with nothing after 5 years. The buyer walks away with over 30 million naira in appreciation. Scale that math to the 500 million to 1 billion naira land price range and the case for buying now becomes even more compelling.

The Supply Problem Is Not Going Away

Nigeria needs at least 550,000 new homes annually for the next ten years to keep up with demand. Lagos alone is home to over 20 million people, and Abuja and Port Harcourt are absorbing hundreds of thousands of newcomers every year. When demand is structurally outpacing supply at that scale, land values do not soften. They compound.

What About the Economy?

The naira depreciation, rising construction costs, and inflation that make many people hesitant to invest are actually the same forces driving land values higher. Despite economic challenges including currency depreciation and rising interest rates, property values across Lagos, Abuja, and emerging cities maintain strong appreciation rates. Land is finite. It cannot be manufactured. And in a city growing as fast as Lagos, every year you wait is a year you hand appreciation to someone else.

The Bottom Line

The risks of buying land in Nigeria today are real but manageable with the right guidance, the right location, and the right documentation. The risk of not buying, in a market growing at this pace, is arguably greater.

Sardonyx Nigeria Limited works with serious buyers to identify the right opportunities at the right price point. Chat us on WhatsApp today and let us help you find the right land for your investment goals.