The determinants of psychological well being has been a major focus of the sociology of health research and an examination of the role of stress as a threat to psychological well being has been an important component of this research. This research has focused primarily on the stress induced by life events, such as the death of a spouse, divorce or job loss. Theorizing detrimental effects of life events on psychological well being has stimulated substantial and consistent body of research literature, especially in North America and Western Europe. Observations from the literature shows that investigations of the role of chronic stressors, that is, chronically experience difficulties such as marital stress, job stress, household crowding, etc has remains much less well developed than investigations of life events. The paper focuses on household crowding as a chronic stressor in Africa using Ibadan city, Nigeria as a case study. Crowding is an experiential state in which the restrictive and other physical aspects of the limited space result in some psycho-physiological reactions by the individual. In this century and in this part of the World, investigation of household crowding as a chronic stressor is particularly timely. This is because the pace of urbanization in Africa since the Second World War has accelerated markedly and is expected to continue to do so in most African countries for some time to come. Hitherto, there are quantitative and qualitative housing deficiencies. The rate of household formation is far higher than the rate of housing construction. The immediate result of this problem is homelessness and household crowding. The null hypotheses tested in the paper are that (i) there is no relationship between psychological well being and household crowding; and (ii) there is no gender difference is in the effect of household crowding on the psychological well being. Variables that are used in the analysis includes: household crowding variables both objective and subjective components; and psychological well-being variables. Correlation and regression statistical techniques are used to analyze the data. Policy implications of the findings are discussed in the paper.