Study of Real Estate Market Transparency and Information Asymmetry in Sokoto State

This study examines the degree of transparency and information asymmetry in the real estate market in Sokoto State, North West Nigeria, investigating how market participants access property information, form pricing expectations, and make transactional decisions in an environment where formal data systems are limited. Market transparency is essential for efficient property markets, enabling buyers and sellers to make informed decisions, reducing transaction costs, and facilitating fair value assessment, but many Nigerian property markets operate with very limited formal information infrastructure. The study employs a qualitative survey design, conducting semi-structured interviews with 40 property buyers and sellers, 20 estate agents and brokers, and 10 estate surveyors in Sokoto Metropolis. Questions addressed information sources used, transaction cost experiences, decision-making challenges, and perceptions of market fairness. Findings reveal that informal information networks, including word-of-mouth recommendations, community leaders, and personal contacts, are the dominant sources of property information for 78 percent of buyers and sellers. Formal listing platforms are used by fewer than 15 percent of market participants. This information asymmetry systematically advantages experienced brokers and repeat investors over first-time buyers. Significant price variability is observed for comparable properties in the same neighbourhoods, consistent with markets characterised by opaque pricing. The study recommends establishing a Sokoto State property price register, mandating registration of all property transactions above a specified value, and developing a public-access online land market portal managed by the Sokoto State Urban and Regional Planning Authority. Keywords: real estate transparency, information asymmetry, property market, Sokoto State, market efficiency.