Climate change can lead to fooding. This means that one of the signs of climate change is an increase in rainfall intensity, which causes the sea level to rise and leads to an overflow of water in the cities, blocking roads, getting into houses, and damaging properties. This effect of climate change is one that has great potential to damage properties and infrastructure around affected areas. It could also slow down and weaken house construction processes because of the damage that the water may cause.

Another effect of climate change in real estate is desertification. Asides increased rainfall and high sea levels, climate change can also result in really extreme heat. This rise in temperature, again above what is normal, is one that can affect areas that are closer to desert lands. Examples of such areas in Nigeria include Abuja and Kano. What this does is to make living largely uncomfortable in these areas and may reduce the appeal of prospective buyers to such places.

Regardless of the harsh effect of these extreme weather conditions, climate change has also resulted in new developments that have proven to be very beneficial to the real estate market. Topping this list is the introduction of sustainable development with the adoption of climate-smart constructions and eco-friendly building decisions. It also causes a tilt towards renewable energy, which is not only for environmental sustainability but can also increase property value.

The awareness of climate change and its effect should encourage real estate investors to work towards developing climate risk assessments in construction planning, invest more in eco-friendly and environmentally sustainable practices, work towards more in-depth climate change research and policy development, as well as partnerships with the government or concerned private organizations. The goal is to ensure that all that is needed is done to ensure a sustainable future as it concerns the real estate industry.