Last updated: 13 October 2026. This is general information, not legal advice. Tenancy law differs by state, and the Lagos State House of Assembly has been considering a bill (introduced in July 2025) to replace the 2011 law, so confirm the current position with a lawyer or the state property regulator. We replaced unsourced claims from an earlier version.
Letting a property sounds like easy money: find a tenant, collect rent, relax. In practice, first-time landlords often lose months of rent, pay for avoidable repairs or end up in court because of simple errors. The rules below use Lagos as an example, since it has a detailed tenancy law, but principles apply across Nigeria.
1. Not checking your right to let the property
Make sure the title documents are clear, any co-owners agree and you have permission to let the property. Disputes over ownership can freeze your rental income and expose tenants to claims.
2. Relying on a verbal agreement
Put everything in a written tenancy agreement: parties, rent, payment dates, duration, repairs, deposits, notice periods and what counts as default. Get it signed and, where applicable, stamped. A written agreement is your best evidence if there is a dispute.
3. Demanding more advance rent than the law allows
The Lagos State Tenancy Law 2011 prohibits demanding more than one year’s rent in advance from a new tenant, and, per summaries of the law, more than six months from an existing tenant. Some landlords try to get around this with fixed two-year terms. Check your state’s rules, and remember that tenants struggling with inflation may prefer shorter payment periods. See our guide on the cost of living.
4. Skipping tenant screening
Ask for valid ID, employment or business details, referees and previous landlord contacts. Verify them. Do not rely on a friend’s word. Keep copies of documents, and handle personal data carefully under the Nigeria Data Protection Act. See our guide to data privacy.
5. Not recording the condition of the property
Take dated photos and list fixtures and fittings at move-in, and have the tenant sign. It makes it easier to settle deposit and damage disputes. Under the Lagos law, a security deposit is typically limited, with summaries putting it at no more than six months’ rent.
6. Not issuing receipts
Give a receipt for every payment, and keep your own records. Receipts protect both sides and are needed for tax. See our financial literacy checklist.
7. Ignoring repairs and safety
Leaking roofs, faulty wiring and blocked drains lead to bigger bills and unhappy tenants. Set a clear rule on who pays for what, inspect with notice and fix urgent problems quickly. Insure the building where possible.
8. Raising rent suddenly or unfairly
Summaries of the Lagos law say landlords should give at least three months’ notice of a rent increase and not review rent more than once every twelve months. Even where the law is weaker, steady, fair increases keep good tenants.
9. Using self-help to evict
This is the most expensive mistake. Locking out a tenant, removing their belongings or cutting utilities without a court order is unlawful in Lagos, and a landlord who evicts without a court order can face a fine of up to ₦250,000 or up to six months in prison. The lawful route is:
- Serve the correct notice to quit: one week for a tenant at will, one month for a monthly tenant, three months for a quarterly or half-yearly tenant and six months for a yearly tenant.
- If the tenant stays after the notice expires, serve a seven-day owner’s notice of intention to recover possession.
- Go to court to recover the premises and obtain an order.
Shorter notice can apply in some cases of serious rent arrears, such as two months’ arrears for a monthly tenant under summaries of the law, so ask a lawyer.
10. Poor communication and record keeping
Keep messages polite and put important matters in writing. Keep a file for each tenant with the agreement, ID, receipts, inspections and complaints.
11. Ignoring tax and fees
Rental income is generally taxable, and the rules on relief changed with the Nigeria Tax Act 2025. Keep records of rent and costs, and ask an accountant. Agents and lawyers also charge fees, so agree them in writing. See our VAT guide.
12. Letting emotion decide
Waiving rent out of sympathy without a written plan, or hesitating to enforce the agreement, can cost months of income. Be kind but firm, and agree payment plans in writing.
Landlord checklist
- ☐ Title documents and permissions in order.
- ☐ Written, signed tenancy agreement.
- ☐ Tenant screened and ID copied.
- ☐ Condition report and photos at move-in.
- ☐ Receipts for every payment.
- ☐ Repair and inspection plan.
- ☐ Notice periods known, and no self-help.
- ☐ Tax records kept.
Related: see what tenants are paying in our guide to the cheapest areas to live in Lagos, with rents by area.
Planning to build? See our guide to the cost of building a house in Nigeria, with current material prices.
Buying land first? Read how to buy land in Nigeria without getting scammed, with the documents to check.
Related guide (updated 4 November 2026): Cheapest States to Live in Nigeria in 2026 — inflation rankings, reported rents and trade-offs by state.
Frequently Asked Questions
How much advance rent can I collect in Lagos?
Under the 2011 law, no more than one year from a new tenant. A bill to change this has been proposed, so check the current law.
Can I change the locks if a tenant owes rent?
No. Self-help eviction is unlawful in Lagos. Follow the notice and court process.
Do these rules apply outside Lagos?
Tenancy law is a state matter, so other states have their own rules. The principles of written agreements, proper notice and court process are widely applicable.
Sources
- BusinessDay: Recovery of premises practice in Lagos State
- Ownkey: Lagos Tenancy Law 2011 and the 2025 Bill
- Discover Lagos: Rental laws in Lagos
- Street Lawyer: Landlord v tenant, available remedies
- OAL: The State of Lagos Housing Market Report
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