Rent Is Eating Your Salary: What That ₦2m Could Do If You Invested in Property Instead

For most Nigerians living in Lagos or Abuja, paying rent is like an annual ritual. Every 12 months, your landlord comes calling, and you’re scrambling to put money together. For some, it’s ₦1m and for others ₦2m to ₦4m, and if you’re in “prime” areas like Ikoyi, Victoria Island, or Maitama, you could be parting with ₦5m or more.

And the painful part? That money doesn’t come back. No equity, no ownership, just a receipt that expires in one year. You get a roof over your head, but the cycle starts again, usually with a rent increase.

The Rent Trap

Think about it: if you’re paying ₦2m in annual rent, in 5 years you’ve spent ₦10m. In 10 years? ₦20m. That’s enough to buy land, or even a decent property in many parts of Nigeria. But because it was spent on rent, you have nothing to show for it except memories of houses you once lived in.

It’s like filling a basket with water. No matter how much you pour in, it never stays.

What If You Flipped the Script?

Now, imagine if that same ₦2m wasn’t just “spent,” but invested in property. Here’s how the story changes:

• As a structured savings plan, you put aside ₦2m yearly towards a home purchase. In 5 years, that’s ₦10m, enough to secure equity or a deposit on a property. Instead of starting from zero, you’re building ownership step by step.
• As a fractional investment, Property ownership doesn’t have to mean buying the whole house at once. Fractional plans allow you to invest ₦2m in prime developments. You earn rental income, enjoy property value appreciation, and build wealth without being a billionaire.
• As installments for ownership, some developers now allow installment-based purchases. Imagine putting down ₦2m every year or splitting it into monthly payments. Over time, you’re not just paying for shelter; you’re buying the very roof over your head.

Why Property Beats Rent Every Time

Rent gives you comfort, but property gives you security. Property is one of the few assets that appreciates in Nigeria; land and homes rarely lose value. While inflation eats away at your savings, real estate often outpaces it.

So while you’re paying rent that disappears, someone else is building wealth off the same property. The landlord you’re paying? He’s probably using your rent to maintain his house, invest in another property, or fund his children’s future. Meanwhile, you’re back at square one next year.

Final Thoughts

This isn’t to say everyone can immediately stop renting. Sometimes, rent is a stepping stone. But the key is to make sure it’s not your only plan. Even if you start small, redirecting part of your rent budget into property investments or home purchase schemes means you’re breaking free from the rent treadmill.

At the end of the day, it comes down to one simple truth: Rent pays for today. Property secures your tomorrow.

Don’t just work to enrich your landlord. Start working to build your own future.