As the cost of building materials soars to unprecedented levels amidst Nigeria’s economic hardships, the construction industry is facing a crisis. The escalating prices are forcing many builders to abandon their sites, exacerbating the already dire housing shortage in major cities. With the urban population expanding rapidly and housing supply failing to keep pace, the situation is approaching a tipping point, potentially leading to increased homelessness and overcrowded living conditions.
The surge in prices affects a wide range of building materials. Items such as cement, steel rods, paints, tiles, sand, wood, sanitary wares, roofing sheets, nails, electrical fittings, and even water have all seen dramatic price increases. For instance, cement prices have jumped significantly, with distributors in Lagos predicting that prices may climb even further during the dry season due to increased demand.
A review of cement prices across major distribution outlets shows that, despite initial stability thanks to government intervention, costs have surged from around N7,500 to N8,200 for a 50kg bag to between N13,000 and N15,000. This volatility is mirrored in other building materials. The price of softwood has risen from N400 to N650, while hardwood prices have also escalated sharply. Additionally, the cost of binding wires has more than doubled, and roofing a standard three-bedroom house now costs between N1.2 million and N1.5 million, depending on materials and transportation costs.
The current state of the construction industry in Nigeria, experts note, highlights the urgent need for more sustainable and cost-effective building solutions. As the cost of materials continues to rise, both individual builders and large-scale developers must navigate these challenges with strategic planning and adaptability. The collaboration between government bodies, industry stakeholders, and financial institutions will be crucial in addressing these issues and ensuring that Nigeria’s housing market can meet the growing demands of its urban population.
