This article uses empirical data from a case study in rural Nicaragua to demonstrate the need for a conceptualization of tenure security as seen from the perspective of the landholder. A large group of farmers in the case study area perceive their tenure situation as being insecure despite the fact that they possess a legal title to their land. The article argues that more attention must be paid to aspects such as inequalities of wealth and power, lack of enforcement and lack of impartiality on the part of the formal institutions when addressing tenure security in an institutionally unstable setting, such as that found in Nicaragua. The article contributes to the ongoing discussion by arguing that future research on how to increase rural land tenure security should explore the concept of tenure security as experienced by farmers.