How to Start a Real Estate Business in Nigeria Right Away

Real estate is one of the fastest-growing industries in Nigeria. With rapid urbanization, population growth, and an increasing demand for affordable housing, the sector has become a key driver of wealth creation.

From Lagos to Abuja, Port Harcourt to Ibadan, more Nigerians are seeking properties either to live in, rent out, or flip for profit. The good news is that you don’t have to be a billionaire to start a real estate business in Nigeria. With the right knowledge, proper strategy, and consistency, you can build a thriving business whether as a realtor, developer, or investor.

This guide explains step-by-step how to start a profitable real estate business in Nigeria, the costs involved, challenges, and success tips.

Understanding Real Estate in Nigeria

Real estate simply refers to property consisting of land and buildings, as well as natural resources such as water and minerals attached to the land.

In Nigeria, real estate is categorized into:

• Residential properties → flats, duplexes, bungalows, estates, short-lets, and apartments.
• Commercial properties → office spaces, shopping malls, hotels, warehouses.
• Industrial properties → factories, industrial parks, logistics hubs.
• Land → undeveloped plots used for building, agriculture, or investment.

Real estate is more than just buying and selling—it is about wealth building, long-term investment, and value appreciation.

Step-by-Step Guide on How to Start a Real Estate Business in Nigeria

1. Conduct Market Research and Feasibility Study

Before you jump in, study the market carefully:

• Which areas are in high demand? (e.g., Lekki, Ajah, Gwarimpa, Ikeja).
• What do people want most—rentals, short lets, or outright sales?
• What is your budget and what segment does it fit?

For instance, if you have ₦2 million, you may consider land flipping in Ogun or Ibadan, while ₦20 million can position you for mini-estates in Abuja or Lekki.

2. Choose Your Real Estate Business Model

There are multiple ways to make money in real estate in Nigeria:

• Real Estate Agent/Realtor → helping buyers and sellers connect and earning commission.
• Property Developer → building and selling houses or estates.
• Property Management → handling rentals, tenant management, and maintenance.
• Land Flipping → buying cheap land in developing areas, holding it, and reselling later.
• Real Estate Investment → partnering with others to fund projects and share profits.

3. Register Your Business and Obtain Licenses

To be taken seriously, register your business name with the Corporate Affairs Commission (CAC).

Additional credibility comes from:

• Joining REDAN (Real Estate Developers Association of Nigeria).
• Registering with NIESV (Nigerian Institution of Estate Surveyors and Valuers) if you’re into valuation.
• In Lagos, compliance with LASRERA (Lagos State Real Estate Regulatory Authority) is mandatory.

4. Raise Capital for Your Real Estate Business

Capital is the lifeblood of real estate. Options include:

• Personal savings.
• Bank loans (commercial or mortgage banks).
• Cooperative societies.
• Joint ventures with landowners or investors.
• Crowdfunding platforms now emerging in Nigeria.

For example, many young investors pool funds together to buy a single plot of land and share ownership.

5. Find Profitable Locations

Location is everything in real estate. Some hot spots include:

• Lagos → Lekki, Ibeju-Lekki (near Dangote Refinery), Ajah, Ikoyi.
• Abuja → Gwarimpa, Jabi, Lugbe, Maitama.
• Port Harcourt → Airport Road, Peter Odili.
• Ibadan & Ogun State → affordable lands with future appreciation.

6. Build a Strong Real Estate Network

Real estate thrives on trust and relationships. You’ll need:

• Lawyers → to verify land titles.
• Surveyors → to confirm boundaries.
• Agents and brokers → to bring clients.
• Investors and property developers → for joint projects.

The bigger your network, the faster you grow.

7. Market Your Real Estate Business

Without marketing, even the best properties won’t sell. Combine digital and offline strategies:

Digital marketing

• Create a professional real estate website.
• Use social media (Instagram, Facebook, TikTok, LinkedIn).
• List properties on Nigeria Property Centre, PrivateProperty, PropertyPro.
• Run paid ads on Google and Facebook.

Offline marketing

• Flyers, billboards, radio jingles.
• Networking in churches, mosques, and events.
• Word of mouth referrals.

8. Legal Considerations

Nigeria’s real estate industry has its share of fraud. Always verify land and property documents such as:

• C of O (Certificate of Occupancy).
• Governor’s Consent.
• Survey Plan.
• Deed of Assignment.

Avoid “Omo-Onile” fraud by involving legal professionals before any payment.

9. Technology in Nigerian Real Estate

Technology (PropTech) is changing the industry:

• Property listing platforms like PropertyPro, Jiji, and Nigeria Property Centre.
• Virtual tours and 3D modeling for showcasing houses.
• Drones for aerial views of estates.
• Smart homes and renewable energy estates (solar, green housing).

Cost of Starting a Real Estate Business in Nigeria

Your startup cost depends on your business model. For example:

• Realtor/Agent → ₦200,000–₦500,000 (CAC registration, website, marketing).
• Land Flipping → ₦1 million+ depending on location.
• Property Development → ₦10 million and above.
• Property Management → ₦500,000 for branding, office setup, and networking.

Challenges of Real Estate Business in Nigeria

• Fraudulent land sales by “Omo-Onile.”
• High property costs in major cities.
• Government bottlenecks in getting approvals.
• Economic instability (inflation, fluctuating Naira).

Solutions:

• Always use lawyers and surveyors.
• Start small in affordable areas.
• Build trust with clients.
• Diversify across cities.

Benefits of Running a Real Estate Business in Nigeria

• High ROI → land and houses appreciate quickly.
• Steady income from rentals.
• Wealth creation over time.
• Inflation hedge → property retains value when Naira weakens.
• Job creation for agents, builders, artisans.

Future of Real Estate in Nigeria (2025 and Beyond)

• Urban expansion into satellite towns.
• Smart homes and eco-friendly estates.
• Government housing schemes to reduce deficits.
• Integration with fintech and digital mortgages.

The future looks bright, especially with Nigeria’s young and growing population.

FAQs

1. How much do I need to start a real estate business in Nigeria?
You can start as an agent with as little as ₦200,000, but property development requires millions.

2. Is real estate profitable in Nigeria?
Yes. Land value can increase by 100% in 2–3 years in hotspots like Ibeju-Lekki.

3. Can I start without money?
Yes, by starting as an agent and earning commissions before reinvesting.

4. Which city is best for real estate in Nigeria?
Lagos and Abuja are top choices, but Ibadan and Ogun offer affordable entry points.

5. Do I need a license?
Yes, CAC registration is key. In Lagos, LASRERA license is mandatory.

Final Thoughts

Starting a real estate business in Nigeria is one of the smartest entrepreneurial moves you can make in 2025. The industry offers high returns, long-term security, and opportunities for wealth creation.

Whether you start small as an agent or large as a developer, the most important thing is credibility, legal compliance, and consistent marketing.

The earlier you start, the better—because land and property never depreciate.

👉 If you’re ready to build wealth, take the first step today, do your research, and begin your journey into the world of real estate in Nigeria.