Renowned real estate expert and chief operating officer of Gracias Global Homes and Properties Ltd, Wale Ponnle, has said the proposed rental scheme by the Lagos State government will attract more real estate investments into the state.

In a bid to bridge the housing deficit gap in the country, the Lagos State government recently reassured residents that it has put in place N5billion to kickstart the state's monthly tenancy scheme in 2025.

Speaking at Law FM's morning show tagged, 'Let's talk monthly rent in Lagos', Ponnle urged the Lagos state government to put in appropriate policies that will attract private sector investors to the long term gains in rental schemes as opposed to outright sales.

According to him, 70 per cent of the population in Lagos spend more than 50 per cent of their income on housing yearly, which leaves them with barely little to make ends meet. And it is also worth considering that the rental scheme system presently accounts for the home needs of 80.7 per cent of Lagosians.

"From experience, a lot of people are skeptical to invest in real estate especially when it comes to just having it for rental income. They see it as a dead end having to wait till the end of the year to get returns on investment," Ponnle said.urb

He believed the scheme will make affordable housing realistic because the country remains deep in a chronic housing crisis with a home deficit of 28 million units in 2023.

"There's a huge gap between the high income earners and low income earners. The low income earners might not be able to afford some houses they like if it's not on monthly rental scheme," he added.

Ponnle lauded the state government's efforts in tackling the massive housing challenge, particularly among the low -income earners through massive infrastructural developments across the state.

Gracias Global Homes & Properties Ltd is a real estate firm that has provided functional homes and affordable serviced plots to almost 5,000 subscribers.