So, you finally found the perfect apartment in Lagos, and you’re ready to sign on the dotted line. But before you do, it’s important to understand what you’re getting into with a tenancy agreement. A tenancy agreement specifies the terms of your rental, like how much rent you’ll pay, how long you’ll stay, and the house rules you’ll need to follow. Signing a tenancy agreement is a big responsibility, but don’t worry; we’ve got you covered. In this article, we’ll walk you through everything you need to know about tenancy agreements in Nigeria so you can sign with confidence and enjoy your new place.
Tenancy Agreement in Nigeria
The Nigerian Tenancy Agreement Bill aims to regulate landlord-tenant relationships and protect the rights of both parties. This bill requires certain provisions in all tenancy agreements.
The Nigerian government has enacted new legislation to manage tenancy agreements. However, the modified Tenancy Act of 2007 is supposed to provide much-needed consistency and clarity on what a tenant might expect from their landlord under an agreement.
Furthermore, individual states in Nigeria have their own tenancy laws; you can read the updated Lagos State Tenancy Law here. The bill also limits how much landlords can increase rent. Landlords won’t be able to charge more than one year’s rent upfront or make you pay for repairs that are due to normal wear and tear.
Furthermore, some lawyers use the Nigeria Property Centre document service to write the tenancy agreement. While others draft it using the state Act and other legal examples.
Some of the agreements involve the landlord or agent of a property with a tenant to rent that states how much money should be given in advance and where it goes. If there’s a dispute, the bill establishes ways to resolve issues without going to court.
Overall, this bill aims to create fairer, more balanced relationships between those who own and rent property.
What is a Tenancy Agreement?
A tenancy agreement is a legally binding contract between a landlord and a tenant. It outlines the terms and conditions of the tenancy, including:
- The obligations and responsibilities of both parties. For tenants, this usually means paying rent on time and maintaining the property. For landlords, it means ensuring the property is habitable and making necessary repairs.
- The duration of the tenancy. This could be a fixed-term tenancy for 6-12 months or an open-ended periodic tenancy.
- The amount of rent and when it’s due. Rent is usually paid monthly, biweekly, or weekly in advance.
- The notice period required to end the tenancy. For a fixed-term tenancy, no notice is required. For a periodic tenancy, typically 1-3 months’ notice must be given.
- Other provisions like subletting terms, pet rules, parking rights, etc.
The agreement helps provide security and clarify expectations for both landlords and tenants. Not having one can lead to misunderstandings and legal disputes. So if you’re renting out or renting a place, make sure you have a comprehensive tenancy agreement in place. It will save you a lot of headaches down the road!
Understanding the Key Terms in a Tenancy Agreement
To fully understand your tenancy agreement, you need to know the meaning of certain key terms:
A ‘landlord’ is the owner of the property, while a ‘tenant’ is the person renting the property. The ‘premises’ refers to the actual property being rented, like an apartment, house, or condo.
The ‘term’ of the agreement is the length of the lease, such as 6 months or 1 year. A ‘renewal’ extends the original term, while a ‘termination’ ends the agreement.
‘Rent’ is the amount paid by the tenant to the landlord to occupy the premises. A ‘security deposit’ is paid upfront and may be used by the landlord for any unpaid rent or damages at the end of the lease.
‘Utilities’ like water, electricity, and gas are either included in the rent or paid separately by the tenant. ‘Fixtures’ are parts of the building like sinks, toilets, and cabinets that belong to the landlord. ‘Appliances’ such as a fridge or stove may be provided, or you may need to bring your own.
Make sure you fully understand all terms in your tenancy agreement, and don’t hesitate to ask your landlord for clarification. Knowing your rights and responsibilities as a tenant will help avoid any confusion or conflict in the future.
Who Creates The Tenancy Agreement Terms?
The terms of the tenancy are provided by the landlord, who owns the property. The tenancy agreement is charged by the lawyer. A tenancy agreement will be drafted by a lawyer whom the landlord works with.
As with any legally binding contract, a tenancy agreement is created through a negotiation process between the involved parties, in this case, the landlord and the tenant. Typically, the landlord or lawyer will provide a template agreement that serves as a starting point, but you have the right to propose changes to the terms before signing.
Some key areas you may want to modify include:
- The duration of the lease term. For example, you can request a shorter 6-month lease to start.
- The amount of rent and when/how it’s paid. For instance, you can ask if paying rent on a biweekly or monthly basis is an option.
- Any restrictions on pets, guests, noise, etc. If applicable, you can try to loosen prohibitions on things like having a pet fish or hosting family dinners.
- The notice period required to end the tenancy. For more flexibility, you might aim for a 30-day instead of a 60-day notice period.
Discuss any requested changes respectfully with your landlord before finalizing the agreement. Compromise and open communication are key. Once you’ve come to an agreement and signed the lease, you’ll want to keep a copy for your records. The terms you’ve established will govern your legal rights and responsibilities as a tenant for the duration of your lease.
What should a Tenancy Agreement Contain?
As the owner of the property, the landlord, lawyer, or property manager is usually responsible for drafting the tenancy agreement. They will outline the terms and conditions of the tenancy to protect their interests as well as comply with the laws. Some key things specified in the agreement include:
- The names and details of the landlord and tenant
- The address and description of the property
- The commencement and expiration date of the tenancy
- The amount of rent and when/how it’s paid
- The tenant’s obligations regarding property maintenance and repairs
- Restrictions on alterations, subletting, or damage to the property
- Notice periods required to terminate the tenancy
The tenant should carefully review the entire agreement before signing it to ensure the terms are fair and legally compliant. Don’t feel pressured into signing an agreement with unreasonable conditions. You can always negotiate the terms with your landlord to reach an agreement you’re both satisfied with.
What are the Rights of the Tenant in Nigeria
As a tenant in Nigeria, you have certain rights that protect you and allow you to live comfortably in your rented property.
Right to Privacy
Your landlord cannot enter your home without proper notice. They must give you at least 24 hours’ notice before coming onto the property. The only exceptions are in cases of emergency or if you give them permission to enter.
Right to Repairs
Your landlord is responsible for ensuring the property is habitable and making any necessary repairs to things like the roof, plumbing, electrical systems, etc. If something is broken or needs fixing, contact your landlord in writing and request the necessary repairs. Failure to make repairs could be grounds to withhold rent or break the lease.
Right to a Safe Environment
Your landlord must provide locks and proper lighting and ensure the overall safety of the building and any common areas. If you feel unsafe in the property or neighborhood, bring your concerns to your landlord’s attention in writing.
Right to Peaceful Enjoyment
As a tenant, you have the right to live in the property without unnecessary interference from your landlord or other tenants. Excessive noise, harassment, or anything that inhibits your ability to live comfortably in the space could be addressed by contacting your landlord or local authorities.
In summary, as a tenant, you have rights, and your landlord has responsibilities to ensure you can live in a habitable, safe environment without undue disturbance. Familiarize yourself with all the rights and protections afforded to tenants in Nigeria.
What are the Responsibilities of the Tenant in Nigeria
As a tenant in Nigeria, you have certain responsibilities to uphold. Failure to do so can lead to disputes with your landlord and even eviction.
Pay rent on time
Paying your rent on time, typically every year, is arguably your most important responsibility. Late or non-payment can damage your relationship with the landlord and hurt your credit.
Maintain the property
You are responsible for keeping the rental unit in good condition. Perform minor repairs and maintenance, keep it clean and pest-free, and avoid damage beyond normal wear and tear. Notify the landlord promptly about any major issues.
Follow the rules
Carefully follow all terms outlined in your tenancy agreement regarding things like noise, pets, guests, smoking, parking, etc. Failure to comply can be grounds for eviction.
Provide notice before moving
If you intend to move out, submit written notice to your landlord with the required advance notice, typically 3 to 6 months. Work with them on a final inspection and ensure the unit is left in good standing.
Additional fees
You may be on the hook for certain fees like utility bills, parking, storage, or amenities. Make payments for any such fees on time as outlined in your agreement.
What are the Rights and Responsibilities of the Landlord in Nigeria
As a landlord in Nigeria, you have certain rights to protect your investment. Some of your key rights include:
The right to collect rent from your tenants as agreed in the tenancy agreement. Failure to pay can result in eviction. You also have the right to increase rent prices when renewing or extending the tenancy agreement.
The right to make inspections of the property to check for any damage or needed repairs. You must provide proper notice to tenants before accessing the unit.
The right to make and enforce rules around the use of common areas, noise, pets, parking, and more. These rules should be clearly outlined in the tenancy agreement.
The right to evict tenants who violate the terms of the tenancy agreement or fail to pay rent. You must follow the proper legal procedures for eviction, including providing written notice.
The right to make necessary repairs and renovations to the property. You must provide tenants with notice about any work to be done, except in emergency situations.
The right to choose who lives in the property using screening procedures, background checks, tenant references, and tenancy agreement provisions. You have the discretion to accept or reject any applicants, as long as it’s not for discriminatory reasons.
The right to charge damage deposits before tenants move in to cover any repairs needed. Deposit fees should be reasonable, and you must return any unused portion when the tenancy ends.
In summary, your key rights as a landlord involve managing and maintaining your property, collecting payment from tenants, setting and enforcing rules, choosing qualified tenants, and taking action against tenants who violate the tenancy agreement. But with these rights also come important responsibilities to your tenants.
A Sample of Tenancy Agreement in Nigeria
A typical tenancy agreement in Nigeria will contain the following details:
The Parties
- The full names and addresses of the landlord and tenant.
Description of the Property
- The exact address and details of the property being rented, e.g., a 3-bedroom flat.
Duration of the Tenancy
- The commencement date and expiration date of the tenancy. Most are 1-2 years.
Rent Amount
- The total rent payable, payment frequency, e.g., monthly, due date, and mode of payment.
Rent Review
- Conditions upon which the rent amount may be increased, usually after 1 year.
Deposits
- Amounts paid as security deposit and advance rent. Usually, 1-3 months of rent.
Repairs and Maintenance
- Responsibilities of the landlord and tenant regarding repairs, maintenance, utilities, etc.
Termination
- Notice period required to terminate the tenancy, usually 1-3 months. Penalties may apply for early termination.
Restrictions
- Any restrictions placed on the use of the property, e.g., no pets, no noise. Penalties for breach may apply.
Dispute Resolution
- Method to resolve any disputes between the parties, e.g., mediation, arbitration.
Signatories
- Signatures of the landlord and tenant to execute the agreement. Witnesses also sign to attest.
A comprehensive tenancy agreement that clearly communicates the responsibilities and expectations of both parties will help set the right tone for a good landlord-tenant relationship. Be open to addressing any concerns to reach an agreement that benefits all.
Conclusion
So there you have it, the ins and outs of a tenancy agreement in Nigeria. Make sure you understand all the legal aspects before signing on the dotted line. Know your rights, and don’t hesitate to negotiate terms that don’t suit you. Once you’ve signed and the keys are in your hand, be a responsible tenant, pay your rent on time, and maintain good communication with your landlord. If issues arise, address them promptly and through proper legal channels. A tenancy agreement doesn’t have to be complicated if both parties go into it with realistic expectations and a spirit of cooperation. Do your part, and hopefully, your landlord will too.