Finding the perfect home to rent is exciting, but before you sign the residential lease, it’s crucial to understand the details that could affect your living experience. 

A residential lease might seem simple, but can affect your entire stay in the house. If you don’t know what to look for, you could face unexpected costs, rules, or even eviction. 

Sounds scary? Don’t worry. This simple guide will walk you through 10 crucial things to check in a lease agreement in Nigeria. By the time you’re done, you’ll know exactly what to look for, what to avoid, and how to make sure your new home stays a dream, not a nightmare.

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Key Takeaways

A residential lease is a contract between a tenant and a landlord.

• Residential lease explains the rights, rules, and responsibilities of both the tenant and landlord.
• Understanding the lease agreement  before signing is crucial to avoid future problems.
• Important terms to understand include rent amount, lease length, security deposit, and maintenance responsibilities.
• Before you sign the lease agreement, always read and ask questions about the lease before signing.

 What is a Residential Lease Agreement in Nigeria

A residential lease is a legal contract between a landlord (the person who owns the property) and a tenant (the person renting the property). It’s like a written agreement that spells out what both sides are expected to do. The lease outlines the rent amount, how long you’ll stay, what’s allowed on the property, and what’s not.

Think of it like house rules. If you’re living in someone’s house, they’ll want to make sure you follow their rules. The lease ensures that both you and the landlord are on the same page, preventing misunderstandings.

Most leases in Nigeria fall under two categories:

• Fixed-Term Lease: This is a lease for a specific period, such as one or two years. Once the term expires, the lease can either be renewed or terminated.
• Periodic Lease: In this case, the lease runs for an unspecified period but is subject to regular payments, such as monthly or yearly. It continues until one of the parties gives notice to terminate the agreement.

Things to Look for in a Residential Lease in Nigeria

1. Rent Amount and Payment Terms

The lease should clearly state the exact amount of rent you’ll pay each month. It should also specify when rent is due (like the 1st or 5th of every month) and any grace period.

Meanwhile, ensure the payment methods or financing options are clear. Will you pay via check, bank transfer, or an online platform? Are there penalties if you miss the rent deadline? Make sure you understand before agreeing to the lease..

2. Length of Lease

Is the lease duration 6-month, 12-month, or month-to-month lease? Make sure it fits your plans. You should also check if the lease automatically renews or if you need to notify the landlord in advance.

Additionally, see if you’ll face penalties in case you need to leave before the lease ends.

3. Security Deposit Details

Most homeowners or landlords will require you to pay a security deposit fee. Typically, it’s equal to one month’s rent, but it could be more. 

Usually, this is refundable at the end of the lease if there are no damages to the property. The lease should explain what counts as damage, and also how long it takes to get your deposit back after you leave. 

So in order to avoid being charged for a pre-existing damage, go for a home inspection to identify any damage and take pictures before you move in. 

4. Maintenance and Repair Responsibilities

Before you sign a residential lease agreement, check if you’re responsible for minor fixes (like changing light bulbs) or if the landlord will handle everything.

In cases of emergency repairs, the lease should list a number or process to reach the landlord. See if you’re responsible for cleaning shared areas or specific maintenance tasks.

5. Rules on Pets

 Not all properties or landlords allow pets, and those that do may have size, breed, or type restrictions. For some, you may have to pay a pet deposit or a monthly pet fee.

Even though service animals are usually allowed by law, it’s good to check if there are any special conditions.

6. Guest and Visitor Policy

Some residential lease agreements  limit how many guests can stay over and for how long. So, If you are someone who has a large circle of friends or family who love to stay for weeks, make sure the lease allows it.

7. Utilities and Bills

The residential lease should state who will cover the utilities and bills like water, gas, trash, or electricity. If you are the one, you may have to transfer utilities into your name and the lease should explain how.

Also, look out for charges for internet, cable, or pest control services. This will determine whether you will go ahead with signing the lease agreement.

8. Property Condition and “As-Is” Condition

Note the condition of appliances, fixtures, and property. If the lease says “as-is,” it means you accept it in its current state. Some leases provide an inspection checklist for you to note pre-existing issues. 

However, it’s advised that you conduct your own home inspection with a professional to see for yourself the property’s condition before making your decision.

9. Rules and Restrictions

Some landlords have rules set in place to avoid noise complaints. If parking rules are included, check if you get a specific spot or if you’ll have to pay extra.

Some properties might have rules governing smoking. If you are a smoker or have friends or family that smoke, check if smoking is allowed inside the home or in shared spaces.

10. Lease Termination and Move-Out Procedures

There’s always a notice period before the termination of a residential lease. A common notice period in Nigeria is three months for yearly tenants and one month for monthly tenants. 

Some leases provide a list of what you must clean or repair before moving out. Check if you’ll do a final walkthrough with the landlord to review the property’s condition.

The Legal Framework For Residential Leases in Nigeria

There are certain laws governing residential leases in Nigeria. This is to ensure fair treatment between the landlord and the tenant. These laws include: 

• The Tenancy Laws of Each State: While there is no general tenancy law across Nigeria, each state has its own tenancy regulations that govern landlord-tenant relationships. For example, Lagos State has the Lagos Tenancy Law of 2011, which regulates leases, rent increases, and the rights of both parties.
• Land Use Act of 1978: This law controls land ownership in Nigeria, granting the state government’s authority over land. Though the Act primarily focuses on land use, it indirectly impacts residential leases as it governs how land can be used.

It’s crucial to check the tenancy laws of the specific state where the property is located, as regulations can differ from one region to another.

Common Mistakes to Avoid in Residential Lease in Nigeria

While entering into a lease, it is essential to avoid common mistakes that could lead to future disputes or financial loss.

1. Signing a Lease Without Reading: Many people sign a lease without reading it fully. Don’t make this mistake. Even if it’s long, read every part or ask someone to help you.
2. Relying on Verbal Agreements: Avoid relying on verbal agreements. Insist on a written lease that clearly states the terms agreed upon.
3. Failure to Conduct Home Inspection: Always inspect the property before signing the residential lease to ensure it is in good condition. If there are damages, make sure they are recorded and agreed upon in writing.
4. Not Understanding State-Specific Laws: Different states in Nigeria have unique tenancy laws. Familiarize yourself with the relevant laws in the state where the property is located to avoid legal pitfalls.
5.  Ignoring the “As-Is” Clause: If the lease says the house is rented “as-is,” it means you accept it in its current condition. If the kitchen has a broken cabinet, you’ll be stuck with it unless it’s noted in the lease.
6. Not Documenting Damage: Before moving in, take pictures of the property. If there’s a stain on the carpet or holes in the wall, report it. This way, you won’t be blamed for it later.
7. Missing Important Dates: Write down when rent is due and when your lease ends. If you miss these dates, you could face fees or even eviction.

Conclusion

Signing a lease is a big decision, and knowing what to look for can make all the difference in your rental experience. From rent terms to property conditions, a well-understood lease agreement can protect you from surprises and disputes. 

Before you sign anything, take time to read and ask questions about the details. With the right knowledge, you can confidently go through the leasing process and enjoy a stress-free stay in your new home.

FAQS

1. When Should You Walk Away From a Lease?

Walk away from a residential lease if the landlord refuses to explain the lease. Or if the home has too many issues and extra fees suddenly appear.

2. What To Do You Do If Problems Arise During the Lease?

If problems arise during the lease, talk to your landlord, while making sure that you document everything that proves you reported the issue. If the landlord refuses to fix serious problems (like no water or heat), check tenant laws in your area. You might have the right to withhold rent until it’s fixed.

3.  What is the Most Common Type of Residential Lease?

A fixed-term lease is the most traditional lease. They’re called fixed-term because tenants and landlords are agreeing to abide by the lease for a fixed amount of time, normally six to 14 months.