Embracing Change: How the Evolving Short-Term Letting Market Impacts Your Community Scheme
The short-term letting landscape is shifting — and with it comes a ripple effect for residential complexes, community schemes, and professional property managers across South Africa. As larger cities worldwide tighten regulations on platforms like Airbnb, local authorities are following suit, preparing to roll out reforms that will reshape how short-term rentals operate. For Scheme Executives (Trustees and Directors), managing agents, and community scheme managers, staying ahead of these changes is crucial.
Understanding the Upcoming Regulations
The Department of Tourism (DoT) is in the process of finalising policies that aim to formalise short-term letting within the tourism sector. These new regulations may require properties listed on platforms such as Airbnb to:
Register with tourism boards.
Comply with health and safety standards.
Pay hospitality taxes.
Adhere to limits on the number of days a property can be let for short-term stays — similar to restrictions already in place in many global cities.
While the goal is to level the playing field between short-term rentals and traditional hospitality providers, these measures also aim to address the growing shortage of affordable long-term rentals. Property owners may need to consider how these regulations could influence their letting strategies, whether continuing with short-term stays, transitioning to long-term rentals, or exploring a balanced approach.
What This Means for Community Schemes
For many Sectional Title schemes and Homeowners Associations (HOAs), short-term letting has brought both opportunities and challenges — from generating additional income for owners to managing security risks and ensuring the upkeep of shared facilities. Scheme Executives often face the delicate task of balancing the interests of those who benefit from short-term lets with those advocating for greater stability and security within their communities.
As the landscape evolves, some owners may reassess their approach to short-term letting, while others might maintain their current strategies. This dynamic creates an opportunity for community schemes to foster open dialogue, ensuring that rules and regulations reflect the collective interests of all stakeholders.
A Supportive Role for Managing Agents and Scheme Executives
For professional managing agents like Solver Property Services and dedicated Scheme Executives, these changes highlight the importance of proactive management and clear communication. Whether navigating the nuances of short-term letting or updating conduct rules, the focus remains on building well-managed, cohesive communities.
Solver Property Services works closely with Scheme Executives to ensure all stakeholders are informed, conduct rules are clear and enforceable, and community interests are fairly represented. Our role is not to take sides but to support effective governance and harmonious living environments.
Solver Property Services: Your Trusted Partner
At Solver Property Services, we pride ourselves on delivering professional property management solutions tailored to the evolving needs of Sectional Title schemes and Homeowners Associations. Since 2005, we have partnered with community schemes across South Africa — from high-rise sectional title buildings to share blocks and residential estates — helping them navigate complex legal landscapes and property management challenges.
As the short-term letting market transforms, our role remains clear: to support Scheme Executives and property owners with expert advice, innovative strategies, and a firm commitment to enhancing property values and community wellbeing.
Looking Ahead
While regulatory changes may feel overwhelming, they also open the door to new opportunities. Managing agents, Trustees, and property owners have a chance to build stronger, safer, and more engaged communities. Solver Property Services is here to guide you every step of the way.
If you have any questions about how these new regulations might affect your scheme, do not hesitate to get in touch with us.
Disclaimer: This article is for general informational purposes only and does not constitute legal advice. Community Schemes should seek professional counsel to ensure compliance with all relevant laws and regulations.
Solver Property Services is a leading property management company in South Africa, providing expert support to community schemes since 2005. Contact us today at 010 822 2882 — our team of experienced Community Scheme Managers and Managing Agents is ready to assist you.
