Deposit Rights in South Africa: What Every Tenant Should Know

How your deposit must be held

Under the Rental Housing Act, any deposit you pay must be placed in an interest-bearing account for the full duration of your tenancy. The landlord is obliged to provide you with proof that the deposit is being held in such an account. You are entitled to ask for this at any time. A refusal to provide this information is itself an unfair practice under the Act.

When renting through The Property Bureau, the interest earned on your deposit belongs to you. When the deposit is returned, it must include all interest accrued during the tenancy.

When must the deposit be returned?

The timeframes under the Rental Housing Act are clear. If no deductions are claimed, within 7 days of lease expiry. If deductions are claimed, within 14 days of restoration of the dwelling to the landlord, accompanied by a written breakdown and supporting receipts. If the tenant failed to respond to the landlord/agent’s inspection request and the landlord/agent inspects alone, within 21 days of lease expiry.

What deductions are allowed, and what are not

A landlord may only deduct from your deposit for damage you caused beyond fair wear and tear. Fair wear and tear refers to the gradual deterioration of a property from normal everyday use. Scuffed paintwork, minor marks on walls, and worn carpets after a long tenancy are all examples that cannot be charged to you.

What can legitimately be charged: holes in walls, broken fittings, stained or damaged carpets beyond normal use, damage to appliances caused by misuse, or cleaning required well beyond reasonable housekeeping standards. The burden of proving damage lies with the landlord, and linking it to your occupancy requires a proper ingoing inspection report.

How to protect your deposit rights

• Complete a thorough joint inspection before moving in and ensure the report is signed by both parties
• Photograph every pre-existing mark, damage, or defect on the day you take occupation
• Request proof of the deposit bank account in writing within the first month of your tenancy
• Carry out a joint exit inspection and obtain a signed copy of the report
• Keep all correspondence with your landlord in writing, including WhatsApp messages, though email is better because it is easily searched

What to do if your deposit rights are ignored

If your deposit is not returned within the statutory timeframes, or if deductions are made without adequate justification or documentation, you can refer the matter to the Rental Housing Tribunal in your province. In the Western Cape, the Tribunal is free to use, does not require legal representation, and has the authority to order the return of the deposit plus interest and penalties.

Common misunderstandings about deposit rights

Two things come up again and again. The first is the belief that a landlord may hold the deposit for a month or more while working out what to deduct. The Act does not allow that. Where no deductions are claimed the money is due back within seven days of the lease ending, and where deductions are claimed the landlord must produce receipts and pay the balance within fourteen days of restoring the property.

The second is the assumption that a deposit can simply cover the final month of rent. The Act provides for the deposit to be applied by the landlord at the end of the lease against amounts the tenant owes. It does not give a tenant the right to stop paying rent and let the deposit stand in for the last payment. Doing that without the landlord agreeing in writing usually leaves the tenant in arrears, and still liable for any damage on top.

If you have a deposit dispute or a question about your rights as a tenant, get in touch with our team. We are happy to point you in the right direction.

For related tenant guidance, see our articles on what to check before signing a lease and the Rental Housing Act. Our tenant information page covers the full application and tenancy process.