5 Tips that every landlord should know about renting out their sectional title unit
05 May 2026 | Nicole Tavares
Introduction
In today’s times, owning a sectional title unit for the benefit of a rental investment is increasing in popularity. However, this type of rental property comes with obligations that go far beyond an ordinary landlord-tenant relationship. In this article Nicole Tavares will set out 5 tips that every sectional title landlord should know before entering into a lease agreement with potential tenants.
Who is the responsible party?
Did you know that you, as the owner, remain bound by the Sectional Titles Schemes Management Act 8 of 2011 (“the STSMA”) and the scheme's (prescribed or amended) management and conduct rules even though you have a tenant living in your unit.
While your tenant must adhere to the rules that come with community scheme living, many landlords don't realise that the body corporate can in fact hold them accountable for their tenant's behaviour. This is due to the fact that there is actually no direct legal relationship between tenants and the body corporate. Therefore, as the legal relationship is between the owner and the body corporate, the owner is at all times responsible for the conduct of their:
tenant;
tenant's visitors;
tenants’ delivery persons;
tenant’s contractors, and/or
tenant’s family members.
This means that should your tenant break any rules, the body corporate's recourse will be against you as the owner. Recourse in sectional title schemes could include fines, legal letters, and in serious cases, legal proceedings against the owner.
What are the owner’s obligations?
1. Notify the body corporate
While the prescribed conduct rules remain silent in this regard, in most instances when a scheme amends their conduct rules they almost always include rules regarding the occupation of units. These rules generally require an owner to provide their tenant's full name, the lease period, vehicle registration numbers, and sometimes even the contact details of the letting agent involved, also note that the prescribed management rules require that the owner notify the body corporate on any change of ownership and occupation. If your scheme has this, or a similar rule, failure to notify the trustees could result in a monetary fine, and/or security making it harder for the unregistered occupant to enter the scheme.
2. Educate your tenant on the rules
When your tenant comes to view your property, inform them of the rules, you should even have copies on hand. At the very least, before you hand over the keys to your unit, it is advised that you:
- Inform the tenant of their obligation to comply with the conduct rules.
- You have to provide the tenant with a copy of the conduct rules.
- Obtain a written and signed undertaking from the tenant to comply with the conduct rules for the duration of their occupancy.
3. Lease agreement
In terms of the Rental Housing Act 50 of 1999, a landlord must provide, and/or attach the body corporate rules to the lease agreement when renting out a property in a sectional title scheme. The owner should additionally include a clause in the lease that would allow them to recover any fines raised against the owner for the behavior of the tenants. Without this the landlord would not be able to hold the tenant liable for any fines etc. in regard to the tenant’s disregard for the rules.
4. Contributions
Contributions levied remain the owner's obligation. Unlike the additions above, no lease agreement clause can place this responsibility on the tenant. This is due to the body corporate not being a party to the landlord/tenant agreement. Fines, which have been correctly raised will remain due and payable by the owner, even in the event that the lease agreement states that the landlord can recover these costs. The landlord cannot hide behind waiting to receive the recovery of the fine before settling the body corporate’s fine.
5. Short-term letting
While not set in stone, yet, short-term letting usually adds a layer of complexity. Landlords considering short-term letting must check if their scheme's conduct or management rules state the minimum duration a lease agreement can be prior to listing their unit for short-term rental. It is important to note, that even where short-term letting is permitted, there are often additional obligations placed on the landlord, and in some cases even an additional admin and/or management fee can be charged by the body corporate.
Conclusion
Renting your sectional title unit can be a very rewarding investment, but it does require active management. The golden rule in a sectional title scheme is the owner is always responsible. Incorporating conduct rules into your lease, notifying the body corporate promptly, and keeping open communication with your managing agent could go a long way to protecting you from liability for your tenant's actions.
This article is intended for general information purposes only and does not constitute legal advice. For advice specific to your scheme or circumstances, please contact TVDM Consultants.
If you would like any additional information on the above, please contact info@tvdmconsultants.com today.
About Nicole Nel
Nicole Tavares is a Co-Founder and Director of TVDM Consultants.