Tenant Screening Calculator
Check if a tenant can afford the rent — income-to-rent ratio, DTI analysis, credit risk score, and deposit recommendation for South African landlords
| Band | Rent-to-Income | Landlord Action |
|---|---|---|
| Comfortable | Below 25% | Approve readily |
| Acceptable | 25% – 33% | Approve, standard deposit |
| Risky | 33% – 40% | Request higher deposit / guarantor |
| Decline | Above 40% | Decline or require guarantor |
How to Screen a Tenant in South Africa How to use • SA law • Example
How to Use This Calculator
The Affordability Check tab takes the tenant's gross monthly income, existing debt commitments, and the proposed monthly rent to calculate the rent-to-income ratio and total debt-to-income (DTI) ratio. The recommended maximum rent uses a 30% DTI ceiling — the NCA affordability standard — minus any existing debts.
The Risk Assessment tab scores the tenant on employment stability, credit history, rental track record, and deposit offered to produce a 0–100 risk score with a lease and deposit recommendation.
SA Landlord Legal Requirements
- Rental Housing Act (No. 50 of 1999): Governs the landlord–tenant relationship. Maximum deposit is 2 months' rent for unfurnished (3 months furnished). Deposit earns interest and must be returned within 14 days of vacating.
- POPIA (Protection of Personal Information Act): Landlords must obtain written consent before processing any personal information, including running credit checks through TPN or Experian.
- FICA compliance: Landlords must verify tenant identity with a certified copy of ID and proof of residence before concluding a lease agreement.
- TPN / Experian credit bureaus: South Africa's primary tenant screening bureaus. TPN (Tenant Profile Network) specialises in residential tenant screening; Experian covers broader consumer credit profiles.
Worked Example
Nomsa applies to rent a R9,500/month apartment in Sandton. She earns R32,000/month gross and has a R4,500/month car payment.
Rent-to-income: R9,500 / R32,000 = 29.7% — falls in the Acceptable band. DTI including rent: (R9,500 + R4,500) / R32,000 = 43.75% — above the 40% threshold.
Recommended max rent: R32,000 × 30% − R4,500 = R5,100. The proposed rent significantly exceeds this. The landlord should either decline or require a guarantor.
Frequently Asked Questions
What income-to-rent ratio is acceptable for SA tenants?
South African landlords generally use the rule that rent should not exceed 30% of gross monthly income. Ratios below 25% are considered comfortable, 25–33% acceptable, 33–40% risky, and above 40% is typically a decline. These are guidelines — landlords must also consider total debt obligations and the tenant's overall financial picture.
Can I charge more than 2 months deposit in South Africa?
Under the Rental Housing Act, a landlord cannot demand more than 2 months' rent as deposit for unfurnished premises, or 3 months for furnished. The deposit must be held in an interest-bearing bank account and the interest belongs to the tenant. Failure to comply can result in a complaint to the Rental Housing Tribunal.
How do I legally run a credit check on a prospective tenant?
Under POPIA, you must obtain written, informed consent before checking a tenant's credit. Include a clause in your rental application form authorising you to run checks through TPN (Tenant Profile Network) or Experian. You cannot use the credit information for any purpose other than evaluating the tenancy application.
What are the FICA obligations when renting out property in South Africa?
The Financial Intelligence Centre Act (FICA) requires estate agents and certain landlords to verify tenant identity. You must collect a certified copy of the tenant's ID document and proof of residential address. This applies especially when renting through an agent registered with the Property Practitioners Regulatory Authority (PPRA).
What documents should I request from a prospective tenant?
Standard SA tenant screening documents include: last 3 months payslips (or 6 months bank statements for self-employed), certified copy of ID, proof of address, 3 months bank statements, a completed rental application with credit check consent, and previous landlord reference. For contract workers, request the employment contract showing end date and notice provisions.