Managing a South African rental property from abroad
Thousands of South Africans in the UK, Australia, Europe and elsewhere still own a flat or a house at home and let it out. Leaving the country doesn't take the property out of South African tax, and a tenant's burst geyser still happens on South African time.
Tax: South African rent stays South African income
South Africa taxes non-residents on income from a South African source, and rent from a property here is exactly that. So when you leave, the rental doesn't leave SARS:
- Keep your tax number and file a return every year, declaring the rent and claiming the same deductions any landlord can (see our rental income tax guide).
- Expect provisional tax. Nobody withholds tax from rent, so a landlord with a rental profit usually pays twice a year in advance (see our IRP6 guide).
- Your new country may tax it too. South Africa has tax treaties with the UK, Australia and many other countries that generally stop the same income being taxed in full twice, usually by a credit in your country of residence. How that works for you is a question for a practitioner in both places.
When you sell: 7.5% is withheld
If you are not a South African tax resident and sell for more than R2 million, the buyer must withhold 7.5% of the price (for an individual seller) and pay it to SARS as an advance on your tax, unless SARS issues a directive for a lower amount. It is set off against the capital gains tax you actually owe when you file. Our capital gains tax guide covers how the gain is worked out and the records that lower it.
Getting the money out
Rent is paid into your South African bank account in rand. Sending rental income abroad goes through your bank as an authorised dealer; ask it what it needs from you (often your tax compliance status with SARS) before the first transfer, not when you need the money.
The tenancy doesn't move with you
- The deposit must still sit in an interest-bearing account, with joint inspections at move-in and move-out and refunds on the Rental Housing Act's deadlines (see our deposit guide).
- Renewals and notices still follow the Consumer Protection Act's dates where it applies, whatever time zone you are in (see ending a lease).
- Tenant data is still under POPIA, even if you keep it on a laptop overseas (see our POPIA checklist).
- Someone local has to hold keys, let in a plumber and attend the inspections: a letting agent, a trusted friend or family member, or a caretaker.
Agent or self-managed?
A full-management letting agent does all of the above for a percentage of the rent, often around 8% to 10% plus VAT, and is the simplest choice if you want no involvement. Many landlords abroad self-manage instead, with a local contact for the physical jobs, and do the rest themselves from overseas. That works when the tenant can reach you quickly and you can see, from anywhere, what has been paid, what is owed and what needs fixing.
Mastendi lets you run a South African tenancy from anywhere
Your tenants reach you on WhatsApp and their own portal, whatever the time difference, and you see every payment, arrear and maintenance request from your phone, with a weekly digest by email on Fridays. The SARS page keeps the year's rental income and deductions and estimates your IRP6 payments. Rent goes straight into your own South African account: Mastendi never holds your money. You can pay your subscription with a card from abroad; it is charged in rand.
Start your 30-day free trialFrequently asked questions
Do I pay South African tax on rent if I live overseas?
Yes. Rent from a property in South Africa is South African-source income, taxed in South Africa whether or not you are a tax resident. You file a South African return and usually pay provisional tax.
Will I be taxed twice on the same rent?
South Africa has tax treaties with the UK, Australia and many other countries that generally prevent full double taxation, usually by a credit in the country where you live. Ask a practitioner who knows both countries.
What is withheld when a non-resident sells property in South Africa?
If you sell for more than R2 million as a non-resident individual, the buyer must withhold 7.5% of the price and pay it to SARS as an advance on your tax, unless SARS issues a directive for a lower amount.
Can I manage my South African rental myself from abroad?
Yes, with someone local for keys, repairs and inspections, and tools that let tenants reach you and let you see payments and maintenance from anywhere. The deposit, CPA and POPIA rules apply as they would if you lived here.
Disclaimer: This guide is general information for South African landlords living abroad and is not tax, legal or exchange control advice. Tax residence, treaty relief, withholding and the rules for sending money abroad depend on your circumstances and change over time. Confirm your position with SARS, your bank and a registered tax practitioner in South Africa and in your country of residence before acting.