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.
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:
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.
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.
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.
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 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
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.
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.
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.
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:
Following these tips will help keep your property and everyone on it safe and peaceful.
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.
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.
Here are the contact details of the different areas where Bitprop operates: