Free tool
Rent increase calculator
Enter the current rent and the percentage increase to get the new monthly rent, or type the new rent to see the percentage. The calculator also shows the increase per month and per year.
Leave blank to calculate from the percentage.
- New monthly rent
- 9 095.00
- Increase per month
- 595.00
- Increase per year
- 7 140.00
- Percentage increase
- 7.00%
How rent increases work in South Africa
- The increase has to be allowed by the lease. Most leases state an annual escalation, for example 7% on each anniversary.
- If the lease does not set one, the increase must be agreed with the tenant, usually when the lease is renewed.
- Under the Consumer Protection Act, a landlord must notify a tenant on a fixed-term lease 40 to 80 business days before it ends of the renewal terms, including any rent change.
- Put every increase in writing and keep a signed copy with the lease.
Setting a fair increase
Weigh inflation, your rising costs (rates, levies, insurance, maintenance) and what similar units nearby rent for. Losing a good tenant over a few hundred rand often costs more in vacant months than the increase brings in.
PropAssist records the escalation on each lease, reminds you before the anniversary and drafts the notice for your approval. Need a lease that sets the escalation clearly? Start with our lease agreement template.
Questions
How do I calculate a rent increase?
Multiply the current rent by the percentage increase and add it on. A 7% increase on R8 500 is R8 500 × 0.07 = R595, so the new rent is R9 095. To find the percentage from a new rent, divide the difference by the old rent.
Is there a legal limit on rent increases in South Africa?
There is no fixed legal cap. The increase must be the one agreed in the lease, or agreed when the lease is renewed, and must not be unfair under the Rental Housing Act. Most leases set one increase a year.
How much notice must a landlord give for a rent increase?
Follow the lease. For a fixed-term lease covered by the Consumer Protection Act, the landlord must tell the tenant 40 to 80 business days before the lease ends about the renewal and any material changes, such as a new rent.
What is a normal annual rent increase?
Many residential leases increase rent once a year by a rate close to inflation, often somewhere between 5% and 10%. Check what comparable units in the area rent for before setting yours.
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