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Renting a home: what to check before you sign
Before you sign a lease, check three things: who you are renting from, what the lease says, and what condition the home is in. Do not pay a deposit until you have seen the home in person and confirmed that the person you are dealing with really has the right to let it. A few hours of checking can save you months of trouble.
Check who you are dealing with
Rental scams exist, and they often involve a cheap price and a landlord who cannot meet you. Protect yourself:
- View the home in person before you pay anything.
- Ask for the landlord’s or agent’s ID. If an agent is involved, ask to see their Fidelity Fund Certificate and check them with the Property Practitioners Regulatory Authority (the PPRA).
- Ask for proof that the person owns the property or has permission to let it, such as a title deed or a letter from the owner.
- Pay only into a bank account in the name of the landlord or the agency, and keep proof of every payment.
Expect to be asked for your own details too. Landlords and agents must identify the people they deal with, so expect to provide ID and often proof of address, along with payslips or bank statements.
Read the lease properly
A lease is the agreement that sets out your rights and duties. Under the Rental Housing Act, a lease does not have to be written at the time of writing, but if you ask the landlord to put it in writing, the landlord must do so. Always ask. A written lease protects both sides.
Check these points before you sign:
- the monthly rent, the date it is due and how to pay it;
- how long the lease runs, and what happens at the end, such as whether it continues month to month;
- the notice period you must give, and any penalty for leaving early;
- whether and how the rent can go up, because a written lease must state the rent and any reasonable escalation;
- the deposit amount, who holds it and who gets the interest;
- who pays for water, electricity, levies and rubbish, and whether utilities are sub-metered;
- rules on pets, subletting, parking and alterations;
- who is responsible for repairs and maintenance.
Do not sign anything you do not understand, and do not rely on promises that are not in the lease. If something was promised, such as a repaint or a new geyser, make sure it is written in.
The Consumer Protection Act includes some rules on fixed-term agreements, but it applies to a residential lease only where the landlord is in the business of letting. Most private landlords fall outside it. Do not assume you have the right to cancel on short notice, and read your own lease.
Inspect the home itself
Look at the home in daylight and again in the evening if you can. Test things rather than just looking.
- Turn on taps and flush toilets. Check water pressure and hot water.
- Look for damp, mould, cracks and water stains on ceilings and walls.
- Test plugs, lights and the stove. Ask about backup power and what happens during load shedding.
- Check windows, locks, burglar bars and gates.
- Look at the neighbourhood: noise, parking, lighting and your route to work.
- In a complex, ask about the body corporate’s or homeowners’ association’s rules.
Take photographs of any problem and ask the landlord to fix it, or at least record it, before you move in. You will carry out a joint inspection at move-in, and the findings go on a list that you both sign. Read inspections when you move in and out of a rental for how that works.
Work out the real cost
The rent is not the only cost. Add the deposit, any admin fee, electricity and water, internet, transport and insurance for your belongings. Compare the total to your income. A common guide is to keep housing costs to a manageable share of your take-home pay, but the right figure depends on your other commitments.
If you are weighing renting against buying, the rent vs buy calculator can help.
What to do next
- Learn how your money is protected in rental deposits: the rules.
- Know your position by reading tenants’ rights and responsibilities.
- Use the affordability calculator to check what you can afford.
- Look for rentals on all properties, or contact an agency.
This article is general information for South African readers, not legal, financial or tax advice. Rules and rates change, so check your own situation with an attorney, your bank or a tax practitioner. Our property calculators can help you work out the numbers.