The cost of registering a new car in Nigeria has surged sharply in 2025, with fees now ranging between N115,000 and N140,000, depending on the agent and location.
This represents a significant increase from the N80,000–N105,000 range recorded in 2024, reflecting a broader trend of rising administrative and documentation expenses across the automotive sector.
According to multiple industry sources who spoke with Naijaonpoint, the price hikes stem from a combination of new regulatory charges, higher production costs for licenses and number plates, and widespread informal levies.
“Registering a new car in Nigeria costs between N115,000 and N140,000 today, and it takes between three to five working days to be ready,” a senior staff member at Mutual Benefits Assurance confirmed.
Change of ownership now costs more than a new registration
Processing a change of vehicle ownership has also become more expensive, with costs now ranging between N130,000 and N150,000, up from N90,000–N115,000 in 2024.
The procedure involves multiple steps, such as drafting a sale agreement between buyer and seller, obtaining a police report and court affidavit, conducting a vehicle inspection, and reissuing the proof of ownership certificate and license.
“Change of ownership today now costs N130,000. This is something I used to do for people for N90,000 last year. Some others charge up to N150,000,” the insurance official added.
Registering a vehicle in Nigeria involves several mandatory fees and certifications, many of which have been adjusted upward in 2025:
CEO of Durjokorey Autos, Mr. Kunle Durojaiye, attributed the higher costs to inflationary pressures on documentation and insurance.
“The price has been increasing in the last few years. Look at the third-party insurance we used to do for N5,000—it’s now N15,000. The cost of other documents like the vehicle licence has also gone up,” he explained.
Although official rates are published by the Joint Tax Board (JTB), the actual cost paid by car owners is often higher due to informal charges and logistical expenses.
A car dealer who spoke anonymously told Naijaonpoint that “transport fares, courier costs, and facilitation tips given to agency officials” significantly inflate the final price.
“Transport fare and other logistics costs, including little tips here and there to make the process faster, is the major reason why the official price is different from the real price,” he said.
For many Nigerians, the rising administrative costs have made vehicle ownership increasingly out of reach.
“Owning a car in Nigeria today is really an expensive adventure,” said Olapoju, a car owner in Lagos. “Whether it’s a Nigerian-used or Tokunbo car, the registration fee is high. Renewing those documents annually isn’t for the faint-hearted.”
“Owning a car in Nigeria today is really an expensive adventure,” said Olapoju, a car owner in Lagos. “Whether it’s a Nigerian-used or Tokunbo car, the registration fee is high. Renewing those documents annually isn’t for the faint-hearted.”
Another respondent, Jude, shared a similar frustration:
“My dad registered a car three months ago, and when I heard what it cost, I was furious. Unfortunately, in Nigeria, when a price goes up, it doesn’t come down.”
Earlier in the year, Naijaonpoint had reported the impending rise in the cost of obtaining a driver’s license or number plate in Nigeria, following the approval of a new price structure by the Joint Tax Board (JTB).
The revised fees, which apply nationwide, took effect on Sunday, June 8, 2025.
According to a public service announcement issued by the JTB in May 2025, the adjustment was prompted by the introduction of enhanced security features in the production of number plates and driver’s licenses, along with rising incidental production costs.