One of the first questions landlords ask us is simple: “How much rent can I get for my property?”

The difficult part is that the answer is rarely as simple as looking at what another property is advertised for.

Two houses in the same suburb can have very different rental values because of their condition, location, security, parking, bathrooms, entertainment areas, finishes, garden, utilities and overall appeal to tenants.

For landlords in Boksburg, Germiston, Benoni, Kempton Park, Edenvale and the wider East Rand, getting the rental price right can make a significant difference to both your monthly income and how quickly you find a suitable tenant.

Why Setting the Right Rental Price Matters

It can be tempting to advertise at the highest possible price and simply wait for someone to accept it.

That strategy can backfire.

If your property is overpriced, it may receive fewer enquiries, fewer viewings and fewer applications. The longer it remains vacant, the more rent you potentially lose.

On the other hand, pricing too low may attract plenty of interest but leave money on the table every month.

Start With Comparable Properties

A useful starting point is to look at properties that are genuinely comparable to yours.

Don't simply compare properties because they are located in the same suburb. Look at factors such as:

• Number of bedrooms
• Number of bathrooms
• Property size
• Stand size
• Parking or garages
• Security
• Kitchen and bathroom finishes
• Garden and outdoor space
• Entertainment areas
• Pet policies
• Prepaid or included utilities
• Solar, backup power or other features
• Condition and overall presentation
• Exact location within the suburb

A three-bedroom house near major shopping centres, schools and transport routes may command a very different rental from a similar-sized house in another part of the same suburb.

Advertised Rent Is Not Always Achieved Rent

This is an important distinction for landlords.

The price you see on a property portal is generally the asking price. It doesn't necessarily tell you what the property ultimately achieves.

A property advertised at R12,000 does not automatically mean that comparable properties are achieving R12,000.

This is one reason professional rental advice can be valuable. The objective should be to assess the market rather than simply copy another landlord's asking price.

Your Property's Condition Can Change Its Rental Value

Tenants don't only compare properties based on bedrooms and bathrooms.

They compare the overall living experience.

A well-maintained property with clean finishes, good security and attractive outdoor areas can stand out against another property at a similar price.

Before deciding on your rental, walk through the property as though you were the tenant.

• Are the walls clean?
• Are the cupboards in good condition?
• Do the taps and toilets work properly?
• Is the garden maintained?
• Does the property feel secure?
• Are there obvious maintenance issues?
• Do the photographs present the property properly?

Sometimes a relatively small improvement can make the property more competitive without requiring a major renovation.

Don't Ignore the Cost of Vacancy

One of the biggest mistakes landlords make is focusing exclusively on achieving the highest monthly rental.

Suppose a property could potentially achieve R10,000 per month, but it takes two months longer to secure a tenant because it is priced too aggressively.

The landlord may have sacrificed R20,000 in rental income while waiting.

That doesn't mean landlords should automatically reduce their rental. It means the total financial picture needs to be considered.

Higher Rent Doesn't Automatically Mean a Better Tenant

This is another area where landlords need to be careful.

A tenant offering more than the asking rental can certainly be attractive. But the rental amount alone should not replace proper tenant screening.

We recently experienced exactly this situation.

A prospective tenant offered R1,000 more than the asking rental. The offer was obviously attractive, but we made it clear that the normal vetting process would still apply.

The application was never received.

Rather than simply accepting the higher offer, we continued with the proper process and placed a very strong tenant at the original asking rental.

That experience reinforced an important principle: the highest rental offer isn't necessarily the best rental outcome.

Tenant Quality Should Form Part of Your Rental Strategy

Landlords are not simply renting out four walls.

They are entering into a contractual relationship with another person, and that relationship can have significant financial consequences.

A strong tenant who pays on time, looks after the property and complies with the lease can potentially be far more valuable than a tenant who promises to pay more but creates problems later.

This is why rental pricing and tenant selection should be considered together.

If you are looking for a more structured approach to tenant assessment, our Tenant Screening & Risk Assessment Application provides landlords with access to professional screening.

Should You Renovate Before Increasing the Rent?

Not every renovation makes financial sense.

Before spending R50,000 on improvements to try to increase rent by R500 per month, calculate how long it would take to recover the investment.

Sometimes the better approach is simply to repair, clean, declutter and present the property properly.

Other improvements may make more sense when they address something tenants consistently value, such as security, parking, storage or functional living space.

Consider What Your Target Tenant Actually Wants

A rental property isn't marketed to everyone.

A bachelor unit, family home, townhouse and luxury property will each attract different tenant profiles.

Think about who your property is realistically suited to and what that tenant is likely to value.

For example, a young professional may place considerable value on security, access to transport and low-maintenance living, while a family may prioritise bedrooms, schools, garden space and parking.

Don't Set Your Rental Based on Your Bond

Your bond repayment is important to you as the owner, but it does not determine the property's market rental.

If your bond, rates, insurance and other expenses total R15,000 per month, that does not mean the market will necessarily support a R15,000 rental.

The rental market determines what tenants are prepared to pay for the property.

Your financial position should therefore be considered alongside the property's market value rather than confused with it.

What If You're Unsure Whether to Rent or Sell?

Sometimes the bigger question isn't simply “What rent can I charge?”

It is “Should I rent this property at all?”

There can be good reasons to rent, but there can also be circumstances where selling makes more financial sense.

A+ Properties has developed the A+ Property Decision Score™ to help property owners work through the factors that can influence the decision between selling and renting.

It is designed to help you look at the decision more objectively rather than making a major property decision based purely on emotion or one monthly figure.

Landlords Don't Have to Manage Everything Alone

Some landlords prefer to manage their own properties, while others would rather have a professional handle the day-to-day administration.

If you want to remain involved but would like professional assistance when you need it, our Landlord Support Services for Self-Managing Landlords may be worth exploring.

The important thing is that you choose a management approach that suits your circumstances, experience and available time.

Before You Advertise Your Rental, Ask These Questions

• What are genuinely comparable properties achieving?
• How does my property's condition compare?
• What features make my property more attractive?
• What could make it less attractive?
• How much vacancy can I realistically afford?
• Who is my target tenant?
• Am I pricing for the market or simply trying to cover my expenses?
• Do I have a proper tenant screening process?
• Should I manage the property myself or obtain professional assistance?

And Remember: The Best Rental Isn't Always the Highest Rental

Getting the rental price right is about much more than putting the biggest possible number on an advertisement.

A successful rental strategy considers market demand, property condition, vacancy risk, tenant quality and the owner's long-term objectives.

That is why we believe landlords should look at the complete picture before making a decision.

If you're considering renting out your property anywhere in the East Rand, A+ Properties can help you assess your options and decide on a practical strategy.

A+ Properties — BUY // SELL // RENT SMARTLY