By Prevail Inegbenose
The House of Representatives has advanced a bill seeking to prohibit landlords and estate agents in the Federal Capital Territory (FCT) from demanding more than 12 months’ rent in advance and imposing excessive agency and agreement fees on tenants.
The proposed legislation, titled the Federal Capital Territory Advance Rent Regulation and Tenants’ Protection Bill, 2026, scaled second reading during plenary. It was sponsored by Paul Nnamchi, representing Enugu State, and co-sponsored by Ahmed Doro from Katsina State.
If passed into law, the bill will prohibit landlords, estate agents and property managers from demanding, receiving or compelling tenants to pay more than one year’s rent upfront, either when securing accommodation or renewing tenancy agreements.
The proposed regulation will cover both residential and commercial properties across the FCT.
The lawmakers expressed concern over practices through which some landlords and estate agents allegedly circumvent existing arrangements by imposing compulsory service charges, agreement fees and other payments disguised as separate obligations to extract more than one year’s rent from tenants.
The bill also seeks to regulate agency and agreement fees, which have reportedly risen to as much as 25 per cent of annual rent in some cases.
It further proposes the establishment of a digital register for estate agents operating within the FCT to strengthen accountability and regulate activities in the property sector.
To ensure compliance, the legislation seeks to establish the FCT Rent Regulation and Tenants’ Protection Authority, which will receive complaints from tenants, investigate alleged violations and direct landlords or agents to refund illegally collected payments within 30 days.
Under the proposed law, individual landlords or agents found guilty of violating its provisions could face fines ranging from ₦500,000 to ₦5 million, while corporate offenders could be fined between ₦5 million and ₦20 million.
“If any landlord or agent breaks the law, he could be fined between N500,000 and N5 million. If a company, the fine is from N5 million to N20 million,” the bill said.
Abuja Times reports that the proposed legislation is expected to address longstanding concerns over rising accommodation costs and exploitative rental practices in Abuja, where tenants frequently complain about the financial burden of securing and renewing accommodation.
