As 2025 unfolds, Gauteng’s rental market is showing strong signs of resilience. While high interest rates have slowed property purchases, the rental sector has flourished -with demand for quality, well-managed properties climbing across Sandton, Bryanston, Morningside, and beyond.
For landlords, this environment presents opportunity -but only if they adapt to new tenant expectations, cost pressures, and compliance requirements.
Rising Demand for Rentals
Economic uncertainty and tighter credit conditions mean more South Africans are choosing to rent rather than buy. The Q3 2024 PayProp Rental Index showed national rental growth at 5.2 %, the highest since 2019. Gauteng remains a top performer, especially in urban hubs close to work and transport.
In Sandton and Rosebank, lifestyle remains the key drawcard - proximity to offices, schools, and malls makes these suburbs attractive to professionals and expatriates.
Tenant Quality and Screening
With higher demand comes a wider applicant pool -but also more risk. Many tenants are financially stretched by inflation.
Landlords should prioritise affordability screening, employment verification, and credit checks. A good rental agency -like YouRealty -can protect landlords by filtering applicants using up-to-date data and digital application systems.
Regulatory Pressures: PPRA & Disclosure
The Property Practitioners Regulatory Authority (PPRA) continues tightening compliance. Mandatory disclosure forms, signed mandates, and clear communication protect all parties.
At You Realty, we integrate compliance into every step- from onboarding to handover -ensuring your property marketing is both legal and transparent.
Maintenance & Yield
Inflation has increased maintenance costs by nearly 12 % year-on-year. To protect returns:
Budget at least 8–10 % of annual rent for maintenance.
Schedule preventive inspections every six months.
Prioritise tenant retention-a good tenant is cheaper than constant turnover.
Outlook for 2025–2026
Analysts expect rental yields to remain between 7 – 9 % in prime Gauteng suburbs. Demand for smaller, energy-efficient, secure units will keep rising.
Properties offering inverters, water backup, and fibre connectivity command premium rents- sometimes 10–15 % higher.
Final Thought
Gauteng landlords stand to benefit from the 2025 market -but success depends on proactive management, compliance, and professional representation.
Thinking about letting your property? Contact You Realty today for a free rental valuation and compliance check.
082 33 444 33 trevor@yourealty.co.za
www.yourealty.co.za