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Tenant FAQ
Tenant FAQ
In
South Africa, it is commonly accepted that a landlord is responsible to pay the
rates and taxes and the tenant pays for all consumption and use of the service
provided.
This,
however, can be stipulated in the Lease agreement signed by the Tenant and
Landlord, so that all or some of the rates and taxes are the responsibility of
the tenant.
Over
the years, because the sewerage and refuse are services used by the tenant,
most contracts have been drafted to provide that the tenant is responsible for
these charges, BUT, it must be stated in the lease agreement.
Yes, TPN recommends that landlords perform a credit report on all adults over the age of 18 applying for rent. In terms of the National Credit Act Regulations 18 (4) (e) and (5) the tenant must first give his / her consent before the landlord or property practitioner can access your credit report.
If you refuse to give consent for the landlord (property practitioner) to perform your credit check – the landlord or property practitioner is entitled to decline your application for rent.
Yes, reasons for rejecting your application for rent might include your credit profile, affordability or suitability such as "no pets" allowed in the complex.
Your application may not be rejected due to discrimination on the grounds of race, gender, sex, pregnancy, marital status, sexual orientation, ethnic or social origin, colour, age, disability, religion, conscience, belief, culture, language and birth.
A verbal lease agreement is binding. However a written lease agreement is advisable as this protects both the tenant and the landlord in the event of a dispute. In terms of the Rental Housing Act, the tenant can demand the lease is reduced to writing.
The tenant is entitled to a free copy of their lease agreement. However if the tenant loses their copy of the lease agreement, the landlord or Property Practitioner can impose a cost to provide the tenant with a second copy.
The landlord is entitled to demand that all adults over the age of 18 co-sign the lease jointly and severally liable. This means that if any one of the co-tenants does not pay their portion of the rent, all the tenants become liable for any outstanding portion.
It is important that you, the tenant, understands your responsibility to the landlord. If you are unsure of your co-tenant's ability to timeously pay their portion of the rent, it could affect your continued occupation of the property and your credit profile.
The tenant and the landlord will negotiate this up-front. The amount of deposit due will be written in the lease agreement.
The landlord is entitled to negotiate whatever deposit he / she deems fit. It is common for the landlord to require one month’s rent or a double deposit (2 month’s rent). The landlord could even require a triple deposit if the tenant's credit report is considered risky.
However once the amount of the deposit has been agreed, the landlord cannot demand a bigger deposit during the term of the lease – unless the tenant agrees, or the lease agreement makes provision for a top-up when the rent increases
Practically, the landlord should not hand over the keys to the property until the agreed deposit and first month’s rent has been paid (and cleared in the case of a cheque).
In terms of the Rental Housing Act, if the landlord or Property Practitioner holds the deposit, he / she must invest the deposit in an interest bearing account with a minimum rate of interest applicable to a savings account. The landlord cannot contract out of this legal obligation.
You are entitled to request written proof of the interest earned and if requested, the landlord is obliged to provide such proof.
Read our interesting Blog article to understand a bit more, like when should you have an exit inspection, what date your deposit should be refunded to you and what can the deposit be used for...
Yes, the landlord or property practitioner is entitled to inspect the property. But the inspection must be pre-arranged for a reasonable time.
You may not unreasonably deny the landlord or property practitioner access to perform an inspection. The landlord may not enter the property without your consent; this consent may not be unreasonably withheld.
Common law states the landlord must hand over and maintain the property fit for the purpose for which it was let.
However many lease agreements deal with maintenance of the property differently. It is advisable to ensure you have read the "Maintenance" clause of the lease agreement carefully to ensure you are aware of your obligations and the landlord's obligations.
Most lease agreements provide that the landlord is responsible to maintain the structure of the property and any electrical, plumbing or electrical apparatus which you have not damaged.
Generally the tenant is responsible to maintain the inside of the property "fair wear and tear" excluded. If the property has a garden or pool, it is common that the tenant is responsible to maintain the up keep of the garden or pool. Remember – it is important to refer to your written lease agreement.
The landlord does not have an obligation to fix every item the tenant deems necessary. Items which render the property unfit for the purpose for which they were let, such as no water / electricity, a burst geyser, non-working oven etc. would need to be attended to by the landlord. However the landlord would not be obligated to fix items such as missing internal keys, blown light bulbs and squeaky doors.
Again, it is important to point out that many lease agreements provide for different obligations pertaining to maintenance – read your specific lease agreement to confirm your responsibilities and the landlord's.
The landlord must maintain the property fit for the purpose for which it was let. If the landlord fails to honour this obligation, you may demand in writing that he attend to the maintenance. The maintenance in question must be a material breach by the landlord such as no water / electricity, a burst geyser or non-working oven. A material breach does not include missing internal keys, blown light bulbs etc.
If the landlord fails to remedy a material breach you should cancel the lease and vacate the property or take legal action.
If you withhold rent, you yourself are committing a material breach and the landlord can take the necessary action to collect the rent - cancellation of the lease, court order eviction or blacklisting on credit bureaux.
No, you have an obligation to pay the proper amount of rent at the proper place and time.
If you fail to pay the last month's rent you are committing a breach of lease and the landlord is entitled to take the necessary legal action including blacklisting on credit bureaux.
Refer to the lease agreement, specifically to any cancellation clause.
If the lease agreement is month-by-month, then a calendar months notice is required to cancel the lease.
If the lease agreement is for a fixed period and there is no cancellation clause, then the tenant can rely his right to early cancellation in terms of the Consumer Protection Act but remember the landlord can charge a reasonable cancellation penalty.
Refer to: CPA Can the tenant cancel the lease early (see wiki article)
The tenant is protected by the common law "huur-gaat-voor-koop." If the property is sold, the new owner becomes the landlord and all the terms of the existing lease are enforceable.
The owner cannot cancel the lease, but must wait until the end of your existing lease period. The new owner is also responsible to refund your deposit less any claim for damage.
There are some exceptions:
· If the lease agreement makes provision for the landlord to cancel in certain circumstances like the sale of the property
· If the property sold on auction by the Sheriff of the Court
In terms of the Rental Housing Act, the tenant and landlord or Property Practitioner must jointly perform incoming and outgoing inspections. This is to place on record any defects and subsequent damage for which the tenant may be liable. The incoming inspection does not place any obligation on the landlord to fix any defects. If the landlord or Property Practitioner does not perform both the incoming and outgoing inspection, it is deemed the property was handed back in good order and the landlord will have no further claim for damages.
However, if the landlord attempts to make arrangements for the outgoing inspection and the tenant fails to respond, the landlord can access the property within 7 days of the expiration of the lease to assess for any damages and apply the costs for repair against the deposit.
The landlord can apply the deposit to any amount due by the tenant - outstanding rent or utilities, reasonable payment for damages to the property (for example: cleaning of carpets, lost keys or remotes and returning the state of the property back to its original state at the beginning of the lease), fair wear and tear excluded.
If during the outgoing inspection, it is established there are no damages, the deposit must be refunded within 7 days of expiry of the lease.
If during the outgoing inspection, damages are noted, the balance of the deposit must be refunded within 14 days of restoration of the property.
If the tenant fails to attend the outgoing inspection, the balance of the deposit must be refunded within 21 days of the expiry of the lease.
The tenant is entitled to all receipts for the cost of repairing any damages
The tenant and landlord cannot contract outside of these obligations. For example, the landlord or Property Practitioner cannot state in the lease agreement that the deposit will only be refunded in 30 days – this would be in contravention of the Rental Housing Act
The essence of a lease agreement is that it is a
legally binding contract. A lease agreement is therefore subject to all of the
laws that pertain to contracts in general. The law clearly states that the obligations
of the parties to a contract will not be extinguished by the death of either
party, unless: · the contract contains a clause that specifically
states that the contract will terminate upon the death of one or both parties;
or · the will of the deceased party specifically states
that the contract will terminate upon the death of the party in question.
In most cases, the rights and obligations of the
party in question will pass on to the executor of the deceased’s estate. This
position was confirmed by the Courts in the well-known case of Lorentz
v Melle and Others 1978 3 SA 1044 (T) at 1058C.
This means that if a tenant or a landlord dies, the
lease agreement will not automatically terminate unless the lease agreement
contains a clause that specifically provides for such termination. In all other
instances, the executor will take over the obligations of the deceased party
and should be the first point of contact for the other party to the agreement.
The rule that applies to all contracts applies to a lease agreement in that the
rights and obligations arising from the lease will pass to the heir, as long as
the heir accepts the inheritance.
In terms of the National Credit Act, you are entitled to 1
free credit report per year.
To ask for a copy of your free credit report you can call the
TPN Helpdesk on: 0861 876 000 or
send an email to helpdesk@tpn.co.za
In terms of the National Credit Act Regulation
20 (2) as read with section 72 - you have the right to challenge the accuracy
of any information that is held by the Credit Bureau that concerns you and ask
the Credit Bureau to investigate the accuracy of any challenged information.
In order to dispute the incorrect information on your
profile: - You will be required to send through a dispute
form together with all the necessary evidence. (For example: the lease
agreement; statement of accounts; identity document or utility bills) to
dispute the incorrect information on your profile. The Credit Bureau makes
their decision based on all the credible evidence they receive. The more
comprehensive the evidence is that you submit, the greater the chance that the
finding will be accurate and fair.
- The supplier will be informed of the fact that a
dispute has been logged and will be requested to submit credible evidence to
TPN within 20 business days. This is evidence that would
substantiate why the challenged information should remain on your profile.
- After 20 business days, TPN is obliged to make a
finding based on the evidence supplied by both parties.
To log a dispute you can call the TPN Helpdesk on: 0861 876 000 or send an email to helpdesk@tpn.co.za
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