How to rent out your property without an agent in South Africa

You don't need a rental agent to rent out your property in South Africa. Agents usually charge about one month's rent plus VAT to find a tenant, or about 10% of the rent plus VAT every month to manage the property. Doing it yourself saves that money. In return you take on the work, and this guide covers what that involves.

1. Set a fair rent

Look at what similar homes in your suburb are advertised for, with the same number of bedrooms and similar size and condition. Price too high and you'll get few enquiries. One empty month costs you a full month's rent, which usually wipes out what you'd gain by asking a little more.

2. Get the property ready

Fix what's broken, clean thoroughly and take photos in daylight. Show every room, the garden and the parking. Tenants will ask about backup power, prepaid water and electricity, pets and parking bays, so put those details in your listing.

3. Advertise and screen tenants

Your listing should give the rent, the deposit, the date the property is available and what's included. Then screen everyone who wants to apply. Ask for:

• a copy of their ID
• their last three months' payslips or bank statements
• a reference from their current or previous landlord
• written consent to run a credit check

A common rule of thumb is that rent shouldn't be more than about a third of the tenant's take-home pay. Phone the previous landlord yourself. A credit check through a tenant-screening bureau costs little and shows whether the person pays their accounts on time.

4. Sign a written lease

Put the lease in writing and give the tenant a copy. It should state the rent, when it's due and how it increases each year. It should also cover the deposit, the lease term and notice period, who pays for utilities and repairs, and house rules such as pets or subletting. Landlord associations sell lease templates, or an attorney can draw one up for you.

5. Handle the deposit the way the law expects

The Rental Housing Act sets clear rules:

• Keep the deposit in an interest-bearing account. The interest belongs to the tenant.
• Inspect the property with the tenant before they move in, and write down any existing damage.
• Inspect it together again in the three days before the lease ends.
• If nothing is owed, refund the deposit plus interest within 7 days of the lease ending.
• If you deduct for unpaid rent or damage, refund the balance within 14 days and show the tenant the receipts.

Skip the joint inspection and the law treats the home as returned in good order. You'd then have to refund the full deposit.

6. If things go wrong

When rent is late, talk to the tenant early and put any agreement in writing. Your provincial Rental Housing Tribunal handles landlord and tenant disputes free of charge.

You can't evict a tenant yourself. Changing the locks or cutting off water or electricity is illegal. Eviction needs a court order, so speak to an attorney before you act.

List your property on LetDirect

On LetDirect, tenants contact you directly and there's no commission. You pay one once-off fee of R99 per rental listing. During our limited launch promo, listing is free: rent R0 (normally R99) and sell R0 (normally R199).

This guide is general information, not legal advice.