TENANT SELECTION IS IMPERATIVE TO RENTAL SUCCESS

Renting out an investment property can be a lucrative and rewarding venture—if the correct tenant selection process is followed from the start. While the relationship between landlord and tenant has the potential to be mutually beneficial, the success of this dynamic depends largely on careful screening and planning from the outset.

- By Esti Potgieter, Broker/Owner & Principal of REMAX Diamond - Master Practitioner Real Estate, B.Econ (Hons)

Understanding the Legal Landscape

Due to the complexities of South African legislation governing residential and commercial rentals, tenant selection is more than just finding someone willing to pay rent.

A poorly chosen tenant can lead to months of unpaid rent, legal battles, or property damage. This is why it’s critical to adopt thorough vetting methods to ensure the best possible outcome.

Set Clear Rental Conditions Before Advertising

Before placing a rental ad, landlords should determine and document their rental conditions. These include rules around pets, smoking, number of occupants, and other lifestyle considerations. Advertising should clearly state that all prospective tenants will undergo a vetting process. This helps to eliminate unsuitable applicants early and attract only those who align with the landlord's expectations.

Use a Comprehensive Application Process