A couple of years
ago Lagos State brought out a law to protect tenants, The Lagos State Tenancy
Law. The question on many people’s lips
today is, is the law working? It is difficult to answer this question as I know
that if you speak to ten people, you will get ten different perspectives. I
guess that in itself is an answer that the Tenancy Law is not as cohesive as it
should be. In my opinion as a property professional, the Law is not being
followed to the letter, I guess this is because it is difficult to implement
some of the requirements ie collecting only one year’s rent in certain areas
and not in others. This creates confusion for landlords and tenants who cannot
understand why Lekki should command one year’s rent and Victoria Island, two
years. Some landlords, who are paying off mortgages, really cannot afford to
take one year’s rent as they need to service their mortgages. Landlords will
tell you that if the tenant cannot pay the two years or more rent that he
wants, they are welcome to go and look for a property elsewhere that accepts
one year payment. The landlord is well within his rights to decline a tenancy
as long as monies and an agreement have not been exchanged, which can be
tendered as evidence in a court of Law
The rate at which court decisions are made for the eviction of illegal occupiers is so slow, as they end up staying rent free for up to a year or more before a judgment is made. There is therefore a lack of confidence in the court system. The Property law is of course open to corruption and unregulated practices when one or all parties involved, try to cut corners. Agents who are mentioned in the Tenancy Law also give the business a bad name by going behind the backs of their main client and collecting fees from both parties. Some landlords will go with whoever closes on the property and not who they appointed and blatantly tell you that they owe no one any allegiance, therefore the property market regulations are really subject to the honesty of those involved in its practices.
A
Tenancy Agreement must be given to each and every tenant before allocation of a
unit of accommodation is made. All laws, rights and obligations must be stated
in the Agreement. The Agreement must be read and signed by both the landlord
and tenant, and the tenant should receive a copy of the Agreement. Landlords
should provide the tenant with sufficient time to read the agreement and raise
any questions they have before signing and agreeing to the terms. The landlord
is also required to provide the tenant with their full name and address. All
tenancy agreements should state the parties involved, the rental price, any
deposit retained by the landlord, the property address, the start and end date
of the tenancy, and the obligations of the tenant and the landlord. All tenancy agreements must comply with
statutory law. This is law that is enforceable by the judicial system and is
therefore legally binding regardless of what is stated in the tenancy
agreement. With all tenancy agreements there are rights by law for both
landlord and tenant; even though these may not have been discussed between both
parties in advance, they apply to all tenancy agreements.
The rate at which court decisions are made for the eviction of illegal occupiers is so slow, as they end up staying rent free for up to a year or more before a judgment is made. There is therefore a lack of confidence in the court system. The Property law is of course open to corruption and unregulated practices when one or all parties involved, try to cut corners. Agents who are mentioned in the Tenancy Law also give the business a bad name by going behind the backs of their main client and collecting fees from both parties. Some landlords will go with whoever closes on the property and not who they appointed and blatantly tell you that they owe no one any allegiance, therefore the property market regulations are really subject to the honesty of those involved in its practices.
A lot of tenants are still not aware of their rights and therefore get
bullied by landlords who increase rents without notice or because they have
received an offer of higher rent payments or they tell the current tenants to
leave the property before their lease expires. If the tenant does not move out
or increase the rent to match the offer being given by the landlord, they are
asked to leave. Most tenants resort to begging the landlord instead of taking
the matter to court. Sometimes Agents capitalise on this by demanding
exorbitant fees and higher rent from the tenant in order to assure them of
getting a sought after property. The responsibility of carrying out repairs is
another area where tenants and landlords are not clear about responsibilities.
Some landlords feel that a tenant should take their property in the state of
disrepair as it is advertised and fix the repairs themselves. This is wrong! Some
tenants carry out all sorts of alterations and works to their rented property
without consulting the landlord. Both actions are wrong and can be taken to a
court of law for resolution.
What is needed in the property market is closer monitoring of practices
and instant enforcement of penalties from the monitoring agencies for those
found breaking the law.