An Assessment of the Effectiveness of Real Estate Auction Practice in Lagos State, Nigeria

• Author(s): Olutosin Ope Bamigbola ; Igho Fayomi
• Paper ID: 1710366
• Page: 139-152
• Published Date: 04-09-2025
• Published In: Iconic Research And Engineering Journals
• Publisher: IRE Journals
• e-ISSN: 2456-8880
• Volume/Issue: Volume 9 Issue 3 September-2025

Abstract

This study assessed the effectiveness of real estate auction practices in Lagos State, Nigeria. A survey research design was adopted, targeting the entire population of 93 registered auctioneering firms identified from the Certified Institute of Auctioneers Nigeria, Lagos Directory (2025). Using a total enumeration approach, structured questionnaires were administered, out of which 78 were retrieved and analysed, representing a response rate of 81.25 percent. Data were examined using descriptive statistics; means, percentages, and standard deviations, and inferential analysis through factor analysis. Findings reveal that the profession is male-dominated (89.7%), though practitioners are highly educated, with 51.3% holding master’s degrees and 46.2% attaining Fellow status in professional bodies. Most firms are modestly sized, with 32.1% employing 11–15 staff, and heavily concentrated on Lagos Island (87.2%). Auction practices show a preference for formats that combine transparency and flexibility, with private treaty auctions with conditions ranking highest (mean = 4.23), followed by bid deposits (mean = 4.21) and post-auction negotiations (mean = 4.17). Effectiveness was most associated with encouraging buyer due diligence (mean = 4.29), ensuring transparency (mean = 4.24), and providing certainty of sale (mean = 4.15). However, challenges persist. Inaccurate property valuations (mean = 4.29), poorly marketed auctions (mean = 4.23), weak legal protections (mean = 4.17), and limited digital tools (mean = 4.04) were identified as major impediments. Factor analysis grouped these into four dimensions: institutional inefficiencies, legal ambiguities, operational barriers, and procedural weaknesses. The study concludes that while auctions in Lagos foster transparency and fairness, systemic reforms in valuation standards, regulation, digital infrastructure, and finance are essential to enhance their effectiveness.

Keywords

Auction Practice, Real Estate, Effectiveness, Lagos, Nigeria

Citations

IRE Journals:
Olutosin Ope Bamigbola , Igho Fayomi "An Assessment of the Effectiveness of Real Estate Auction Practice in Lagos State, Nigeria" Iconic Research And Engineering Journals Volume 9 Issue 3 2025 Page 139-152

IEEE:
Olutosin Ope Bamigbola , Igho Fayomi "An Assessment of the Effectiveness of Real Estate Auction Practice in Lagos State, Nigeria" Iconic Research And Engineering Journals, 9(3)