Entering into a rental Agreement in 2025? Read this for peace of mind

New year, new home? If that’s you—congratulations! Moving into a new place is always exciting, whether it’s your first rental or an upgrade to something bigger.

However, signing a lease is a legally binding commitment, and understanding its terms is crucial to avoid misunderstandings or financial surprises down the line.

“Ultimately, the purpose of a rental agreement is to protect both the tenant and the landlord,” explains Harry van der Linde, Rentals Principal at Leapfrog Moreleta Park.

The rental agreement serves to eliminate ambiguity regarding essential details such as rent amount, lease duration, notice periods, maintenance responsibilities, and even rules around aesthetic changes to the property.

To help tenants navigate this process, Van der Linde shares five key considerations to keep in mind before signing on the dotted line.

1. Clarify the financials

While it may seem obvious, ensure that all parties are crystal clear on the rental amount and what it covers. “Never assume that rent includes utilities like electricity, water, or levies—always confirm with the landlord,” advises Van der Linde.

A trustworthy landlord should be upfront about inclusions and exclusions, but it’s always best to double-check. Typically, tenants cover once-off costs like drafting the lease agreement or cutting extra keys, but terms may vary—so ask upfront.

Van der Linde recommends getting all costs in writing and confirming when payments are due, as well as which expenses are recurring.

2. Know your lease term and termination conditions

Most lease agreements run for 6 or 12 months, often with an option to renew. However, it’s essential to review the terms regarding renewal, termination, and possible penalties for early cancellation.

“Early termination could mean forfeiting your deposit, but the specifics depend on the agreement—always check with the landlord,” says Van der Linde.

3. Understand rental increases

Annual rent increases are common, but tenants can negotiate a cap on the percentage increase and have it documented in the lease.

“Increases should align with market trends and be communicated well in advance,” advises Van der Linde. Open discussions about rental hikes can prevent unexpected financial strain.

As a landlord you want your tenants to stay as long as possible, we explore how you can improve tenant retention here

4. Pet policies: know the rules

“Pets can be a contentious issue in rental agreements, so it’s important to clarify the rules upfront,” says Van der Linde.

Some agreements restrict specific breeds or sizes, which is why transparency is key. For instance, two small Yorkshire Terriers are vastly different from two large Boerboels, yet both count as ‘two dogs.’ Similarly, a ‘no pets’ policy might still allow caged animals like birds or hamsters. Always confirm in writing to avoid surprises.

5. Maintenance responsibilities: who covers what?

Property maintenance is often a grey area in rental agreements. While landlords generally handle major repairs, tenants may be responsible for tasks like mowing the lawn or basic upkeep.

“A trusted property advisor can help clarify maintenance obligations to prevent disputes,” suggests Van der Linde.

It’s also important to distinguish between normal wear and tear versus damage caused by neglect or misuse. The rental agreement should explicitly outline these responsibilities to protect both parties.

If you are wondering about pest control in your rental property, our guide will help you understand this tricky situation better. Read it here

Transparency is key

“An ‘open-door policy’—where both tenant and landlord communicate clearly and transparently—is the best approach to a rental agreement,” Van der Linde concludes. “A well-structured lease ensures fairness and peace of mind for everyone involved.”

By understanding your rental agreement thoroughly before signing, you can ensure a smooth and hassle-free tenancy experience in 2025.

For a comprehensive rental guide read our guide on Landlord Rights and Obligations