Recently a few of our clients have enquired about renting out their South African property, whether on a short term basis (holiday lets) or on a longer basis. Not everyone wants to handle this themselves, and appointing a rental management company is needed.
It can be difficult to appoint someone who you trust to look after your investment and ensure that the property is well looked after. Below are a few key points to take note of.
When appointing a Rental Management Agent, it is vital to have a written contract between yourself and the Agent, ensuring who is responsible for what, the costs involved etc.
Will the Agent you meet and deal with be the person who will personally manage the property and do site inspections? How often will site inspections be done?
Does the Agent have a screening procedure for potential tenants? If so, what sort of things are they asked to provide?
Tenants In Arrears
If tenants fall into arrears what procedure is followed to rectify the matter or if needed, take legal steps?
As with any property, unexpected maintenance will on occasion be required. How will maintenance matter be handled? Will the Agent/Agency pay the maintenance costs initially and claim back from you or will you need to do a Electronic Funds Transfer before any work is done?
Be 100% sure you know what fees the Agent/Agency requires and how and when these fees are expected.
Be sure that you are happy with the Agent that you appoint and the process will be beneficial for both parties, ensuring that you have someone you can trust to look after your investment in your absence.