A CRITICAL EVALUATION OF ECONOMIC FLUCTUATIONS AND THEIR IMPACT ON THE MANAGEMENT OF REAL ESTATE IN NIGERIA

ABSTRACT: The real estate market is a crucial component of the overall business economy. The business economy and the real property market are closely intertwined, such that changes in one sector can influence or be influenced by trends in the other. This study aims to provide an understanding of the nature and conditions of the property market in Nigeria, considering the current economic changes. This work highlights the problems that have made real property management a challenging task. The purpose of this study was to analyse the effects of economic variations on real property management, specifically focusing on the Onitsha property market. The study successfully identified the primary causes of economic problems in Nigeria and provided potential solutions. Estate surveyors and valuers were provided with advice on how to address the impacts of economic fluctuations on real property management. The study aimed to educate the public about the significance of Estate Surveyors and Valuers in the real estate sector of the economy. Recommendations have been made to Estate Surveyors in Nigeria with the aim of enhancing Real Property Management practises. The analysis was primarily based on data obtained through the administration of questionnaires, conducting oral interviews, making personal observations, and collecting relevant information from textbooks, journals, and papers. The study included a population of fifty (50) practising Estate Surveyors in Onitsha. Forty (40) Estate Surveyors were selected using the stratified random sampling technique. A total of forty (40) questionnaires were administered, and thirty-eight (38) of them were used for the analyses. The study used the chi-square (x2) test statistics to examine the hypothesis, which suggests that there is a significant negative effect of Economic Variations on Real Property Management in Onitsha. The study found that economic fluctuations in Nigeria have a negative impact on real estate management in Onitsha. The test statistics indicated a significant negative effect of economic changes on real property management in Onitsha at a significance level of 0.05 (X2 cal.=44.2500, X2 tab.=5.991). The study found that the main reason for economic fluctuations in Nigeria was an excessive reliance on petroleum and its related products, while neglecting agriculture and other sectors of the economy. The situation in the market was worsened due to insufficient planning of various government recovery policies. These policies had a negative impact on the per capita income of the people. Due to a lack of coordination in the pricing system, the prices of goods and services increased in a discriminatory manner. The deregulation of interest rates has significantly increased the cost of borrowing for investment purposes. The Nigerian economy was disrupted by constant political, social, and religious hostilities. Economic changes in Nigeria are occasionally influenced by problems in the global economy. The study examined the impact of economic problems on Real Property Management. These problems included tedious rent revisions, underestimation of maintenance costs, increased rent defaults, stagnant rents, delayed maintenance, and unrealistic forecasting. In order to stabilise the Nigerian economy, it is crucial to prioritise the development of the agriculture sector and other key industries. The government should implement measures to address the ongoing political, ethnic, and religious crises that have been discouraging foreign investors. The principles of checks and balances should be fully implemented among the three branches of government to address the issue of mismanagement of public funds by individuals in positions of leadership. Estate surveyors and valuers operating in a volatile economy should analyse and identify market trends in order to effectively manage economic fluctuations and crises.