An Analysis of the Influence of Landlord–Tenant Relations on Housing Outcomes

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An Analysis of the Influence of Landlord–Tenant Relations on Housing Outcomes

CHAPTER ONE

INTRODUCTION

1.1 Background to the Study

Residential property performance is a key indicator of housing sector efficiency and urban development. It reflects how well a property meets financial, social, and physical objectives, including rental income stability, tenant retention, property maintenance, and market value appreciation (Oladokun, 2012; Onyike, 2018). In many developing and emerging economies, particularly Nigeria, the residential rental market is largely shaped by informal arrangements and interpersonal dynamics between landlords and tenants.

The landlord–tenant relationship refers to the legal, social, and economic interactions that exist between property owners and occupants. These relationships influence rent compliance, property care, conflict resolution, and overall satisfaction levels (Aribigbola, 2011). A cooperative and transparent relationship often leads to timely rent payment, reduced vacancy rates, and better property upkeep, while poor relationships may result in disputes, defaults, neglect, and property deterioration (Akinjare, 2013).

Globally, studies show that tenant satisfaction and perceived fairness significantly affect housing stability and residential performance outcomes (Scanlon & Whitehead, 2017). In Nigeria, however, issues such as arbitrary rent increases, lack of formal agreements, poor communication, and weak enforcement of tenancy laws continue to strain landlord–tenant relations (Omirin & Nubi, 2015). These challenges can negatively affect residential property performance by increasing turnover, maintenance costs, and litigation risks.

Given rapid urbanization, housing shortages, and rising rental demand in Nigerian cities, understanding how landlord–tenant relationships affect residential property performance is both timely and necessary. This study therefore examines the nature of landlord–tenant interactions and how they influence rental income stability, occupancy rates, property condition, and long-term investment returns.

1.2 Statement of the Problem

Despite the growing importance of residential real estate as a major investment asset, many properties underperform due to strained landlord–tenant relationships. In several urban areas, conflicts between landlords and tenants arise from rent defaults, lack of maintenance, illegal eviction practices, and poor communication (Akinjare, 2013; Oladokun, 2012).

In Nigeria, weak regulatory enforcement and informal rental agreements often leave both parties vulnerable. Landlords complain about late rent payments, misuse of property, and lack of cooperation, while tenants report exploitation, arbitrary rent hikes, and neglect of repairs (Omirin & Nubi, 2015). These issues can result in high tenant turnover, increased vacancies, property degradation, and declining rental yields.

However, most property performance studies focus mainly on financial and physical factors such as location, construction quality, and market trends, with limited attention given to relational and behavioral dimensions. This creates a research gap in understanding how landlord–tenant relationships shape residential property outcomes. Addressing this gap is essential for improving housing management practices and enhancing property investment performance.

1.3 Aim and Objectives of the Study

Aim:

The main aim of this study is to examine the impact of landlord–tenant relationships on residential property performance.

Objectives:

The specific objectives are to:

Examine the nature and characteristics of landlord–tenant relationships in residential properties.

Assess how landlord–tenant interactions affect rental income stability.

Determine the influence of landlord–tenant relationships on property maintenance and physical condition.

Evaluate the effect of landlord–tenant relations on tenant retention and vacancy rates.

Suggest strategies for improving landlord–tenant relationships to enhance property performance.

1.4 Research Questions

What is the nature of landlord–tenant relationships in residential properties?

How do landlord–tenant relationships influence rental income and payment compliance?

What effect do these relationships have on property maintenance and physical performance?

How do landlord–tenant relations affect tenant retention and vacancy levels?

What measures can improve landlord–tenant relationships for better residential property performance?

1.5 Significance of the Study

This study is significant to:

Landlords and Property Investors: by highlighting how good relationship management improves income stability and asset value (Oladokun, 2012).

Tenants: by promoting fair treatment, security of tenure, and improved living conditions.

Property Managers: by providing insights into relational strategies for efficient property administration.

Policy Makers and Housing Authorities: by informing housing policies and tenancy law reforms (Scanlon & Whitehead, 2017).

Researchers and Students: by contributing to the literature on behavioral dimensions of real estate performance.

1.6 Scope of the Study

The study focuses on residential rental properties and examines how landlord–tenant relationships affect property performance in terms of rental income, maintenance, occupancy, and tenant satisfaction. It is limited to selected urban residential areas and does not cover commercial or industrial properties.

1.7 Operational Definition of Key Terms

Landlord: A person or organization that owns and rents out residential property.

Tenant: An individual who occupies a property under a rental agreement.

Landlord–Tenant Relationship: The legal and interpersonal interaction between property owners and occupants.

Residential Property Performance: The extent to which a residential property achieves financial, physical, and occupancy objectives.

Vacancy Rate: The proportion of unoccupied rental units in a property over a given period.

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