What is the Cost of Building a House in Nigeria? (2024)

With the current increase in import prices and Nigeria’s reliance on imported goods, the cost of building a house in Nigeria can be difficult to determine. However, location and size can significantly influence the final cost.

However, you can expect to spend around N15,000,000 minimum to build a house in Nigeria. On the higher end, luxury homes can go up to N40,000,000 and above. 

Building a house in Nigeria involves many considerations, with cost being just one of them. Numerous factors can influence the final figure. Therefore, making informed decisions at every phase of the process is crucial, emphasizing the need for careful consideration.

This blog post will discuss all you need to know about the cost of building a house in Nigeria.

Understanding the Factors Influencing the Cost of Building a House in Nigeria

Different factors would impact the cost of building a house. We have highlighted some factors to prepare you for these possible expenses. These include;

Location

The site’s location is the biggest factor in estimating the cost of building a house in Nigeria. Typically, urban cities incur higher costs than rural settlements. This situation also applies to different cities and regions in Nigeria.

Building a house in major cities like Lagos and Port Harcourt would naturally cost more, but other regions in Northern Nigeria would be cheaper.

Size of the House

This factor is obvious, as the amount of space you want to build on will be relative to the amount of materials needed. Labour costs would typically be higher for bigger houses than for smaller ones. And that brings us to our next point.

Labour Cost

Although house size can influence labour costs, there are other reasons why you spend more on this aspect of your building journey. Labour costs include many aspects, including architects, engineers, electricians, plumbers, etc. The skill and demand of the workers can be a pricing factor in this situation and the expenses can also vary with location.

Building Materials

In Nigeria, the prices of building materials are always prone to increase due to the country’s dependence on exports, which comprise a huge portion of the building materials. These materials also come in different types and quality. So, your choice of quality determines whether you spend more or less on them.

Infrastructural Utilities

Connecting your house to infrastructural utilities like water and electricity is essential. However, a borehole would be more expensive than a well, and regular lighting might also cost less than chandeliers. Although these factors are based on decisions and personal preference, they would affect the cost of your general expenses when building a house in Nigeria.

Permits and Regulations

It is no surprise that you have to adhere to urban rules and regulations when building a house. This should be among your estimates when looking at the cost of building a house in Nigeria. Urban permits and regulations may differ with states, regions, or settlements (urban or rural). So, you need good knowledge about this aspect before proceeding.

Construction Methods

Another crucial cost factor that people do not talk about enough is the technique used for constructing the house. Basic construction methods will cost less than more complex construction requiring more skilled workers. This might also happen as traditional construction would have a shorter timeline, while innovative construction methods can take longer, resulting in more labour costs.

Cost Breakdown of Building a House in Nigeria

Building a house involves different phases, from site preparation to installation and finishing touches. We will discuss the most important steps to take when building a house in Nigeria.

Site Preparation

The first step in building a house is excavation, which helps to prepare the ground before leveling it up. The cost of excavation would be around N100,000. The site is then filled with stones and granite. Depending on the location and the amount of stone base and laterite filling required, you might expect to spend up to N200,000 for this process stage.

Foundation

The foundation is vital to building a house; a strong foundation would avoid construction failure and possible collapse. So, opting for high-quality materials is important for reliability. This step requires bags of cement, blocks, and labor costs. These are the major expenses you should expect during foundation, but there might be other expenditures like rods and so on—depending on the construction method and technique. A traditional house foundation in Nigeria could cost around N1 million to N1.5 million.

Building Structure

The building structure is another essential aspect when considering the cost of a house in Nigeria. To ensure the stability and longevity of your building structure, you must choose quality materials in every department. Some of the major materials needed include concrete blocks, sand, cement, roofing sheets, planks, granite, and bars. The estimated cost of buying these materials would be at least 1.5 million naira.

Labour costs and building structure can also affect the price. Roofs are another category, as they would be included in the financial planning for that purpose.

Roofing

The cost of this process also depends on a few factors; the type of roof and labor costs are significant factors in determining the roofing cost. The estimate of this stage would cost at least N2 million, including materials like sheets of wood and other expenditures.

The roofing cost can also depend on the size of the building’s structure, and this amount would be sufficient for a four-bedroom bungalow.

Interior and Exterior Finishing

Plastering and flooring are the final touches to completing a building project. Plastering requires more bags of cement, which is also true for flooring, whether you use tiles or any other flooring technique.

The cost of this step would depend on the size of the house and what portion needs these finishing touches. Among the expenses in this section is the labour cost for tiling, which will also depend on a few other factors.

Another aspect of interior and exterior finishing you want to note is door and window installation. The price of this installation can differ depending on the type of door or window, the complexity of the installation, and professional fees. So, you have to decide on your preference according to the budget you have set out for the section. You can choose between local suppliers and other services, i.e., online marketplaces, to get the best deal.

Utilities and Services

The final phase of a construction project is the infrastructural utilities and services. These are essential aspects like water, electricity, and plumbing services for your house. The installation of good plumbing services can cost between N850,000 to N1,000,000. 

These services also include electricity connection and electrical installations. In some cases, you might want to explore the water supply option from a borehole, which can incur more expenses.

How to Effectively Reduce the Cost of Building a House in Nigeria

The cost of building a house in Nigeria is not definite; prices fluctuate, and labor costs may differ depending on the worker. However, you can find ways and strategies to maximize your spending without impacting the quality of your finished project.

Exploring the best deals when buying building materials is the best way to reduce the cost of building a house in Nigeria without compromising the quality. You can also buy in bulk to get a discount. This can come from making a rough estimate of the quantity needed and then contracting with a supplier.

What Next?

Building a house has different purposes, and as a homeowner, you should have an idea of these. For example, if you are building a house for rentals, you must find a way to streamline this process. With the current wave of annoying agency fees and other costs chasing potential renters away, we can find a solution to this problem.

Getcrib.co is a great solution for homeowners looking to manage their properties. Whether you need to list or perform other general management processes, you can rely on us.

Wrapping Up

The cost of building a house in Nigeria is an interesting topic for those planning to start. However, you must consider some major factors that might affect the cost at every stage. Location and the size of the building are major considerations, but we have discussed them in more detail.

This article has discussed some factors that can affect the general cost of building a house, including a breakdown of the estimate for each construction. So, before proceeding with your building project, factor in the facts we have discussed.