The Landlord's Playbook
Bitprop Training Theory

The Landlord's Playbook

This week, we're talking about being a landlord and being a landlord means you have more responsibilities. We'll explain these tasks and give you tips on how to do them well. Whether you're new or experienced as a landlord, Bitprop is here to help you every step of the way.

Homeowner's roles and responsibilities.

In this business, there are three main stakeholders. You, the tenants and Bitprop. You, as the homeowner, are in the middle and take care of your tenants on your property. Bitprop, on the one side, is there to provide you with guidance and technical support to help you run your flats successfully, and to handle the tenant's leases and payments. At the end of 10 years, we want you to be ready to run your property smoothly on your own. For a smooth operation, there are rights and responsibilities relevant to all stakeholders.

Role of the Landlord

  • You can request maintenance for the flats in your backyard from Bitprop and should report issues promptly with all necessary details
  • You earn 15% of the rent paid by your tenants
  • You must give tenants written notice before increasing rent, and Bitprop will provide you with the necessary information
  • If a tenant breaks the lease, such as not paying rent, Bitprop will evict them. Bitprop will lead this process - we will notify you in the case of an eviction
  • You should conduct inspections with tenants before a new one moves in and after an old one leaves.

Responsibilities of the Landlord

You, ultimately, get to choose who lives on your property, but it's important that all flats are occupied - and you need to be involved throughout this process. Your responsibilities include:

  • Finding and keeping tenants
  • Making sure tenants pay rent by the 1st of each month by collecting their Proof of Payment
  • Helping tenants submit maintenance tickets
  • Maintaining your legal water and electricity connections on your property
  • Paying your water bill with the City of Cape Town
  • Ensuring there is enough electricity in your main meter, as the electricity in the flats comes through your meter (and is reimbursed to you, monthly)
  • Looking after your property - making sure your yard is clean and pleasant.

You should inspect your property regularly to ensure everything works properly. If there are any issues with flats in your backyard, it's your responsibility to inform Bitprop.

Staying Up to Date with Payments

It's important to know about the bills you need to pay as a property owner. One of the most important is your municipal bill, which you must pay every month. This bill covers things like city rates, garbage collection, water, and sewage services. If you miss these payments, the city might reduce or cut off your water supply. This can cause problems for you and your tenants, leading to disagreements.

If you have a payment plan to catch up on old bills from before you signed with Bitprop, you need to keep paying that extra amount until your debt is paid off. This means paying for the water your tenants use with the refund for the electricity and water, your part of the municipal bill, and any extra amount you owe.

For example, if your municipal bill for March is R1,300.00 and your tenants used R450.00 in water, you would pay R450.00 from the tenants and R1,050.00 from yourself to cover the total bill. If you have a payment plan, you would pay the full R1300.00 plus the extra amount you agreed to with the municipality.

If you do not have an arrangement with your municipality but would like to apply for one, visit this link: Arrange a payment plan.

It's also important to keep up with other payments and debts to avoid getting over-indebted. If you’re under debt review, make sure to keep paying those debts to get the review removed. Your home loan is the most important payment to keep up with because if you fall behind, the bank could take your property.

Managing Your Money and Information

With your new 15% rental income, how you manage your money will become the key to becoming a successful landlord! We will go into a lot more detail on how to budget and plan your finances in a later chapter, but right now, we want you to take note of your duty to document your tenants' rental details and keep close track of them.

Keep your records up to date, and please share all the tenants' rental details with your Homeowner Relationship Manager as soon as you are informed. This helps Bitprop handle the administration smoothly, making your journey as a landlord simple and stress-free.

Case Study

In Khayelitsha, one of our homeowners found it difficult to manage the tenants' details and their payment information. Without proper records, it was easy to lose track of who had paid rent, when leases were due for renewal, or when rent amounts would increase.

At Bitprop, we encourage all homeowners to do basic bookkeeping. While we provide a payment breakdown for each tenant twice a month — on the 2nd and the 7th — we do not track all the other important details for you.

To solve this, the homeowner designed a simple table to organise their information. In the table, they wrote down each tenant’s full name, the date they moved in, their reference number, and the rent amount when they started. This made it easy to see payment history, plan for lease renewals, and manage the 15% deduction without stress.

A template of this table is linked here as a PDF: Bookkeeping template. Feel free to review it and use it for your own record-keeping.

Property Management

Property management is about taking care of your property and making sure everything runs smoothly. This includes keeping the property clean and tidy, making sure maintenance issues are reported and fixed, and handling everyday tasks like sorting the bins.

Fill in the blanks - here are the options of the answers: water, 1st, 15%, electricity, electricity meter

Why is Property Management Important?

  1. Makes Your Property Attractive: A well-managed property looks better to potential tenants. This means it's easier to find and keep renters, and you can make more money from rent.
  2. Reduces Problems: Taking care of your property helps you spot and fix problems early, saving you from dealing with big repairs later.
  3. Builds a Good Reputation: A well-managed property gets a good reputation. This makes it easier to attract tenants because people trust you as a landlord.

What does a well-functioning property look like?

The main goal of property management is to keep the property in good condition, and follow all laws and regulations. Remind tenants to keep your property clean and free of food waste in public spaces to avoid attracting insects and rodents. Ask your tenants to store food properly, and regularly dispose of trash in sealed bags. While inspecting the property's exterior, check for water leaks, broken windows, rotting wood, or full gutters. By regularly checking the exterior, you can spot problems early before they become major issues.

Case Study

In one Langa property, there was an ongoing issue: the homeowner and tenants had busy schedules, and no one was always available to take out the bins on time or keep the balcony and stairs clean. Over time, this led to frustration and disagreements — after all, the property is meant to be kept neat and tidy.

According to Bitprop’s protocol, tasks like property cleanliness, organising schedules, and even parking arrangements fall under the homeowner’s responsibility. But finding a practical, fair solution can sometimes take a bit of creativity.

In this case, the homeowner decided to hire a trusted person to handle these chores. This person took out the bins, cleaned them, and made sure the balcony and stairs stayed spotless. To keep things fair, the cost was shared: the homeowner contributed R100, and each tenant paid R50 per month.

The homeowner also shared an important tip: be very selective about who you hire. The person should be reliable and trustworthy, because poor choices could lead to safety risks in the future.

This simple arrangement not only solved the cleanliness problem but also kept the peace between the homeowner and tenants — a win for everyone.

Here is a list of items to check every 3 to 6 months: Property management checklist

Keeping your property clean with tenants can be challenging. Here's how to combat it:

Fill in the blanks: water leaks, garbage bags, gutters, roof

A good way to manage your property and avoid issues with tenants is to establish clear rules before they sign the lease. These rules should help maintain a clean and peaceful environment without making tenants feel uncomfortable or restricted.

Here are some examples of rules you can use:

  1. No noise on weekdays after 8 pm and no noise after 10 pm over weekends. Be respectful of different schedules - some people work night shift, so no loud music in general.
  2. No fighting with other tenants or any guests on the property
  3. The bin will be taken out on x day and each tenant will be responsible for taking it out on a schedule as well as the landlord - the schedule will be developed together and agreed upon OR Tenants are to contribute R50 per month to hire a groundskeeper who is tasked with taking out the bin and keeping the yard, balcony and stairs clean every wee.
  4. No visitors after 9:30 pm
  5. Organise with your fellow tenants regarding schedules and times when parking in the yard - no fighting. Ask your visitors not to block the traffic when visiting you
  6. Keep the dignity of this home high
  7. No pets allowed in or outside your flat
  8. No drilling on the walls whatsoever
  9. Keep the yard clean - don't drop takeaways in the yard and expect the landlord to clean after you
  10. Each tenant must have one parking space per flat. If you have 2 cars, then one car will park outside or find other alternatives

Safety and Security

Keeping your property safe and secure is important for you and your tenants. With more people on your property, you may need to make some changes to ensure everything stays safe. Here are a few tips:

  • To keep your property and tenants safe, ensure that each tenant knows they always have to lock the gate when they come in or go out. Also, note that if there is a regular visitor who wants to be let in, only the tenant who is hosting the visitor should let them in. No one else should let them in case the main tenant does not want that particular visitor to enter the property on that day.
  • Set a time each day when the main gate should be locked for night-time security, e.g. 8 PM: gate is locked. Also, make sure to notify your tenants of the time that you lock your main gate.
  • Tell tenants not to give their key to anyone else to control property access. It's also a good idea to always accompany visitors on the property and avoid leaving them alone.
  • Provide tenants with a list of emergency contacts, including the local police and the fire department. Also, take the time to get each tenant's emergency contact in case there is an emergency and the tenant needs care from their family or friends.
  • Lastly, encourage tenants to keep their personal belongings secure and out of sight from their windows

Following these tips will help keep your property and everyone on it safe and peaceful.

Case Study

A landlord in Langa wanted her tenants to feel safe and proud of where they lived once her flats were built. After the flats were completed, there was no boundary wall around the property, which made it feel less secure. When she started getting her 15% rental income, she hired a contractor to build a boundary wall.

To manage costs, she arranged to pay for it in instalments. The landlord worked closely with the contractor to make sure the wall was built properly. She focused on keeping the property clean and organised. The new wall made the property safer and more attractive. Tenants felt more secure and proud of their living space.

The landlord’s efforts showed her commitment to providing a good place to live. This case shows how taking steps to improve safety and appearance can make tenants happier. The landlord’s proactive approach benefited everyone involved.

Emergency procedures and local municipality contact details

As a new landlord, it's important to know the local emergency numbers for police, fire, and medical help to keep everyone safe. Ensure you make and share an evacuation plan with your tenants and set meeting points in case of an emergency.

Attending community meetings is also helpful to stay updated on local services and changes. Being involved in the community will help everyone work together and improve safety for your tenants and your family.

  • Fire Emergencies: City of Cape Town Fire and Rescue Services at 107 (from a landline) or 112 (from a mobile phone)
  • Medical Emergencies: Dial 10177 for an ambulance or 112 for a mobile phone
  • Police Emergencies: Dial 10111 in case of crime emergencies
  • General Contact Information
    • City of Cape Town Disaster Risk Management Centre (DRMC): +27 21 597 6000
    • City of Cape Town General Enquiries: 0860 103 089

Here are the contact details of the different areas where Bitprop operates:  

  • Khayelitsha: Contact the Khayelitsha police station at +27 21 360 2375/2376 and the Khayelitsha Development Forum (KDF): Engage with the KDF to address community concerns and participate in meetings and forums.
  • Eersterivier: Contact the police station at +27 21 902 8300
  • Blue Downs: Contact the police station at +27 21 909 900
  • Langa: Contact the local police station at +27 21 695 8000/8006

Effective property management is essential for maintaining an orderly, peaceful, and safe environment for all your tenants. A well-managed property not only enhances the quality of life for tenants, but also protects the value of the property itself. It's crucial to stay on top of municipal bills and payment arrangements to avoid disruptions and ensure smooth operations. Let’s commit to maintaining our properties and fulfilling our financial responsibilities for a better living and landlord experience!