Beware of scams: Pitfalls lessees must look out for before paying a deposit

With high demand for accommodation in Cape Town, rental scams are prevalent, says seasoned rental specialist Janine Swart, owner of Alexander Swart rentals in Brackenfell.


With high demand for accommodation in Cape Town, rental scams are prevalent, says seasoned rental specialist Janine Swart, owner of Alexander Swart rentals in Brackenfell.

In a sit down with TygerBurger this week, she cautioned prospective tenants to be vigilant when renting a property.

There are many red flags to look out for and consumers must tread carefully, according to Swart.

To start of with, lessees (or renters) must make sure they have a valid address and contact number of the rental agent or homeowner, and to make sure they are who they say they are.

READ | Brackenfell rental ‘scam’ have families all packed up and nowhere to go

“After a property is advertised and viewed, interested tenants will then receive an application form that requires among others their bank statements, payslips and identity documents for vetting,” Swart related.

“At this stage no deposit is required. A small fee of about R185 will be required to do a credit check. The application will then be qualified and submitted to the owner.

“After the application is approved and accepted by the owner, a lease agreement is drawn up. Only after this process is completed a lease agreement is signed by both parties, and are the renter required to pay the deposit. This is standard practise.”

Swart advises prospective tenants to never pay a deposit “to secure the house” before an agreement is signed.

“The moment you sign a lease agreement it means you have secured the home and as a consumer you are then protected by the Consumer Protection Act.

“Lease agreements can be cancelled only for valid reasons. If a consumer is not sure about the aspects around this they can approach the Rental Tribunal for help. Owners who plan to put a home in the market in the short term should be honest about this before the lease is signed, and notice periods must be clearly stipulated.

Finally, Swart advises tenants to make sure municipal accounts are paid up, and in case of a living complex to double check the levies and to obtain the rules of the complex. “Always make sure you know what you are paying for,” she says.

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