How Do I Legally Screen Potential Tenants in South Africa?
Finding reliable tenants is one of the most important parts of successful property management. Screening tenants carefully helps landlords minimise late payments, damage, and evictions.
But in South Africa, tenant screening must comply with legal requirements, including anti-discrimination laws, privacy rights, and credit legislation.
This guide will explore how landlords in South Africa can legally and effectively screen potential tenants, from advertising to credit checks and reference calls.
Understanding the Legal Framework for Tenant Screening in South Africa
Before you even start screening, you need to understand the legal environment in which landlords operate.
Key laws and principles include:
The Constitution of South Africa: Prohibits unfair discrimination on grounds such as race, gender, religion, or disability. Landlords cannot reject tenants for discriminatory reasons.
The Rental Housing Act (Act 50 of 1999): Regulates landlord–tenant relationships and requires fairness, transparency, and good faith.
The Consumer Protection Act (CPA): Demands fair marketing and contractual practices, ensuring tenants are not misled or exploited.
The Protection of Personal Information Act (POPIA): Governs how landlords collect, store, and use personal data.
Landlords must navigate these legal requirements carefully to avoid disputes and legal challenges.
Planning a Clear Tenant Screening Policy
Successful screening starts with a clear, consistent policy.
This policy should:
Define the criteria you will use (e.g. income level, employment status, credit history, references).
Apply the criteria equally to all applicants.
Avoid any form of discrimination.
Outline the process for collecting and storing tenant information in compliance with POPIA.
A written policy helps you avoid accusations of unfair or inconsistent treatment.
Advertising the Rental Property Fairly
Tenant screening begins even before you receive applications: in the way you market the property.
Avoid discriminatory language in ads. Phrases like “ideal for singles only” or “no foreigners” are unlawful.
Describe the property clearly and factually.
State the rental amount and key requirements transparently.
Avoid misleading claims about features, location, or amenities.
Fair, accurate advertising ensures you attract a broad pool of qualified applicants while staying on the right side of the law.
Collecting Rental Applications
A well-designed rental application form is a critical screening tool.
You can ask for:
Full name and ID number
Contact details
Employment and income information
Previous rental history
References (employer, previous landlord)
Consent for credit and background checks
Under POPIA, you must:
Explain why you are collecting the information.
Get clear, informed consent to use it.
Store it securely.
Use it only for the stated purpose (i.e. assessing suitability as a tenant).
Conducting Credit Checks Legally
Credit checks are one of the most important screening steps, helping you assess a tenant’s ability to pay.
In South Africa, credit checks are regulated by:
The National Credit Act (NCA)
POPIA
Key legal requirements include:
Informed consent: You must get written consent from the tenant to perform a credit check.
Use a registered credit bureau: Only accredited agencies are allowed to perform these checks.
Handle results carefully: Use them only for rental assessment and store them securely.
A credit report typically shows:
Credit score
Outstanding debts
Defaults or judgments
Payment history
Landlords should use this information fairly and consistently, not to discriminate unlawfully.
Verifying Employment and Income
You have the right to confirm that an applicant can afford the rent.
Typical steps include:
Requesting recent payslips or employment contracts.
Contacting employers for verification (with the tenant’s consent).
Assessing whether the income meets your affordability rule (often rent should be around 30% of net income).
Employers are generally willing to confirm employment dates and role, but salary details should only be checked with the tenant’s permission.
Contacting Previous Landlords for References
Previous landlord references can reveal a lot about a tenant’s reliability.
When calling previous landlords:
Confirm the tenancy dates.
Ask if rent was paid on time.
Ask about care for the property.
Ask whether the landlord would rent to the tenant again.
Always ensure you have the tenant’s permission before contacting references.
Conducting Background Checks
Background checks can reveal any relevant issues, such as criminal records or court judgments.
You need consent: Under POPIA, you cannot check criminal records without permission.
Use reputable services: Avoid informal or illegal information gathering.
Apply checks consistently: Don’t selectively perform background checks based on personal bias.
Criminal records can be considered if relevant to the tenancy (e.g. fraud convictions for rent payment reliability), but landlords must avoid unfair discrimination.
Interviewing Tenants: Do’s and Don’ts
A face-to-face or virtual interview can help you assess suitability.
Do:
Ask consistent questions of all applicants.
Discuss expectations (e.g. rent payment date, maintenance responsibilities).
Clarify lease terms and house rules.
Don’t:
Ask personal questions unrelated to the tenancy (e.g. marital status, religion, plans to have children).
Make promises you can’t keep.
Show bias or discrimination.
Handling Deposits Correctly
While not strictly part of screening, deposit rules are important once you accept a tenant.
Under the Rental Housing Act, deposits must be held in an interest-bearing account.
You must provide proof of interest earned when returning the deposit.
Inspections must be done at move-in and move-out to determine damage.
A transparent, legal approach to deposits builds trust and avoids disputes.
Complying with POPIA When Managing Tenant Information
Throughout the screening process, landlords must comply with the Protection of Personal Information Act.
Key principles:
Accountability: Be responsible for all personal data you collect.
Processing limitation: Only collect data necessary for screening.
Purpose specification: Use data only for rental assessment.
Information quality: Keep data accurate and up to date.
Openness: Inform applicants of what you collect and why.
Security safeguards: Protect data from unauthorised access.
Data subject participation: Allow tenants to access or correct their data.
Failure to comply can lead to fines and reputational damage.
Making the Final Tenant Selection
After collecting and verifying all information, landlords must decide fairly and consistently.
Factors you can consider:
Creditworthiness
Stable employment and income
Positive rental history
Transparent, honest communication
You cannot lawfully consider:
Race or ethnicity
Gender or sexual orientation
Religion or belief
Disability or health status
Family status or pregnancy
Your decision should be clearly justifiable in terms of your written policy.
Providing the Lease Agreement
Once you choose a tenant, provide a clear, written lease in compliance with the Rental Housing Act.
The lease should include:
Names and addresses of both parties.
Description of the property.
Amount of rent and due dates.
Deposit amount and interest arrangements.
Maintenance obligations.
Rules for inspections.
Notice periods and cancellation terms.
A signed lease protects both parties and reduces misunderstandings.
Avoiding Common Screening Pitfalls
Even well-meaning landlords can make mistakes. Watch out for:
Discriminatory advertising or questions.
Inconsistent criteria applied to different applicants.
Failing to get consent for checks.
Asking for irrelevant personal details.
Storing personal data carelessly.
Basing rejection on stereotypes or prejudice.
Avoiding these pitfalls ensures you comply with the law and maintain a professional reputation.
Building Good Landlord–Tenant Relationships
Screening is just the beginning of your relationship with a tenant.
For a successful tenancy:
Communicate clearly and respectfully.
Respond promptly to maintenance issues.
Respect privacy and notice requirements for inspections.
Be fair and consistent in enforcing rules.
A solid screening process makes these good landlord practices easier to achieve.
Benefits of Professional Screening Services
If you’re overwhelmed, you can use professional screening companies. They typically offer:
Legally compliant application forms.
Credit checks through registered bureaus.
Employment and rental history verification.
Standardised reporting.
Be sure the provider follows POPIA and gets consent for all checks.
Conclusion
Screening tenants is one of the most important responsibilities for South African landlords. Done well, it protects your property, ensures steady rental income, and builds positive landlord–tenant relationships.
But you must also follow the law carefully: avoiding discrimination, respecting privacy, and ensuring fairness and transparency at every step.
A clear, consistent, and legal approach to tenant screening is the best way to secure reliable tenants and reduce costly disputes.
FAQs
What questions can I legally ask potential tenants in South Africa?
You can ask about their employment, income, credit history, rental history, and references. You cannot ask about race, religion, marital status, plans for children, or other protected characteristics.
Do I need permission to do a credit check on a tenant?
Yes. South African law requires you to get written consent before performing a credit check with a registered bureau.
Is it legal to reject an applicant based on their credit report?
Yes—if you do so fairly and consistently. You must base the decision on clear criteria in your screening policy and avoid discriminatory reasons.
Can I check criminal records?
You need the applicant’s consent under POPIA. Even then, consider only convictions relevant to tenancy (like fraud or violent crimes if they pose a safety risk).
How do I handle a security deposit legally?
You must place it in an interest-bearing account and provide proof of interest earned. Conduct incoming and outgoing inspections with the tenant to agree on damages.
How do I store tenant data securely?
Lock paper records in secure filing cabinets. Protect electronic records with strong passwords and limit access. Comply with POPIA’s requirements for security safeguards.
What happens if I break POPIA when screening tenants?
You could face fines, civil claims, and reputational damage. Always get consent and limit data use to rental assessment purposes only.
Can I use an agency to screen tenants?
Yes. Many agencies offer professional screening services. Ensure they comply with POPIA and other legal requirements.
What if a tenant claims I discriminated against them?
Keep detailed records of your screening criteria and how you applied them consistently. Avoid any questions or practices that could appear discriminatory.
Useful External Links
South African Government – Rental Housing Act (full text):
https://www.gov.za/documents/rental-housing-actCredit Ombud – Advice on credit checks and consumer rights:
https://www.creditombud.org.zaNational Credit Regulator – Registered credit bureaus and legal guidance:
https://ncr.org.zaInformation Regulator South Africa – POPIA guidelines and forms:
https://www.justice.gov.za/inforeg
Disclaimer:
This post is for general use only and is not intended to offer legal, tax, or investment advice; it may be out of date, incorrect, or maybe a guest post. You are required to seek legal advice from a solicitor before acting on anything written hereinabove.
