NSFAS Enforces Accreditation Rules for Private Student Housing Ahead of 2025 Academic Year

When NSFAS unveiled its new accommodation rules for the 2025 academic year, it didn’t just update a policy—it rewrote the rules of survival for thousands of South African students relying on public funding to stay off the streets. Starting this year, no student living in an unaccredited private room will receive a cent from NSFAS. And landlords who ignore the process? They get paid nothing. The shift is abrupt, uncompromising, and coming just months before the new academic year kicks off.

Why This Matters Now

For years, student housing in South Africa has been a patchwork of neglect. Stories of leaking roofs, broken toilets, and rooms with no running water were common, especially near universities in Johannesburg, Cape Town, and Durban. Students often paid out of pocket for substandard digs, with no recourse. Then came the 2023 protests at the University of the Western Cape, where students barricaded their dorms demanding safe housing. The government listened. By December 2024, the Department of Higher Education and Training (DHET) endorsed the NSFAS Bursary Guidelines 2025, turning long-standing complaints into enforceable law.

The Accreditation Process: Fees, Forms, and Firewalls

Private landlords now have to register on the Accommodation Provider Application portal, a digital gateway that demands everything from ID copies to photos of each bedroom. The fee structure is tiered: R200 per bed for properties with 1–20 beds, dropping to R100 per bed for those housing over 100 students. That’s a potential R100,000 bill for a large student hostel. Small operators, many of whom rent out spare rooms in their homes, are groaning under the weight.

After payment, NSFAS sends accredited inspectors—trained agents from DHET—to evaluate each property using a strict grading tool. Criteria include: proximity to campus, number of bathrooms per room, whether meals are provided, gender separation, and fire safety compliance. No exceptions. One provider in Pretoria told reporters she spent R18,000 upgrading her bathroom and installing smoke detectors just to qualify.

Students Are Caught in the Middle

For students, the process is simpler but no less stressful. Those approved for NSFAS funding must log into their myNSFAS portal, browse only accredited listings, and book their room before the deadline. If they choose an unaccredited place—say, a cheap room near a TVET college that hasn’t applied—they won’t get paid. Period. And if they’re already living there? NSFAS says they must move, or forfeit their allowance. That’s a nightmare for students with part-time jobs, family responsibilities, or disabilities.

“We’ve had students sleeping in lecture halls because they couldn’t find an accredited room,” said one university counselor in Bloemfontein. “This policy is good in theory, but it’s not ready for real life.”

Small Landlords vs. Municipal Bureaucracy

Here’s the twist: many small landlords aren’t refusing to comply—they’re blocked. Gift Moleko, spokesperson for the National Association of Student Accommodation Transformation (NASAT), confirmed in a March 24, 2025 interview with SABC News that local municipalities are refusing to issue rezoning certificates or occupancy permits for homes turned into student lodgings. In informal settlements near universities, homes were never zoned for commercial use. Now, they’re being told to get a certificate they can’t get.

NASAT is pushing for a temporary exemption for homes with fewer than five beds, arguing that treating granny flats like hotels is absurd. “A widow who rents out her spare room to one student shouldn’t pay R1,000 to register,” Moleko said. “That’s not regulation—that’s exclusion.”

What Happens to Landlords Who Don’t Comply?

NSFAS is crystal clear: Unaccredited providers will not be paid. No exceptions. Even if a student is enrolled and approved, if their housing isn’t on the approved list, the money stops. That means landlords who’ve been renting to NSFAS students for years could lose their entire income stream overnight. Some have already shut down operations. Others are filing appeals.

There’s a path out: providers can appeal their grading through the NSFAS Review Panel. They can request a re-inspection after upgrades—but they must pay for it. One landlord in East London spent R7,500 on new flooring and a water heater, reapplied, and was upgraded from a “Grade C” to “Grade A.” He’s now signed a three-year contract with guaranteed monthly payments.

Looking Ahead: A System Under Pressure

The timeline is tight. With the 2025 academic year starting in February, thousands of students still need housing. NSFAS claims over 12,000 properties have applied, but only 3,800 have been fully accredited as of April 2025. That’s a gap of nearly 70%. The agency says it’s hiring 50 more inspectors and extending deadlines for students who can’t find accredited rooms—but only if they apply for a formal exception.

Meanwhile, universities are scrambling. The University of Pretoria has partnered with three private providers to create emergency housing blocks. Stellenbosch University is offering free shuttle services to approved off-campus sites. But for many students in rural areas or at TVET colleges, options are vanishing.

What’s Next?

NSFAS plans to launch a public dashboard in May 2025 showing real-time accreditation status by province. NASAT is lobbying Parliament for a municipal reform task force to fast-track permits. And students? They’re organizing WhatsApp groups to share accredited listings, warn about scams, and even pool money to upgrade properties together.

It’s messy. It’s unfair in places. But it’s also the first time the government has dared to treat student housing as a right—not a privilege.

Frequently Asked Questions

How do I know if my accommodation is accredited?

Students must log into their myNSFAS portal and check the official list of accredited properties near their institution. Only properties displayed there are eligible for payment. If your landlord says they’re accredited but it’s not on the portal, they’re not. NSFAS does not recognize verbal assurances or screenshots.

What if I can’t find an accredited room near my campus?

You can apply for an exception through your institution’s financial aid office. You’ll need to submit proof that no accredited options exist within 10km. If approved, NSFAS may grant a temporary allowance—but only for one semester, and you must reapply. This is rare and not guaranteed.

Why is the fee based on the number of beds?

NSFAS says the fee covers inspection, verification, and administrative costs. Larger properties generate more revenue and require more oversight. A single-room rental costs R200 to register; a 50-bed hostel pays R7,500. Critics argue it penalizes small operators, but NSFAS insists it’s proportional to risk and scale.

Can I appeal if my property is graded poorly?

Yes. Providers can submit an online appeal to the NSFAS Review Panel with evidence of upgrades or misjudgment. If approved, a re-inspection is scheduled. But you must pay for the re-inspection if you requested upgrades. There’s no free redo—only one free initial inspection per application.

Are there any exemptions for low-income landlords?

Currently, no. NSFAS has no fee waiver program, despite NASAT’s requests. However, the Department of Higher Education is reviewing a proposal to exempt properties with fewer than five beds and owned by individuals earning under R15,000/month. A decision is expected by July 2025.

What happens if a student moves into an unaccredited room after being approved?

NSFAS will stop all accommodation payments immediately. Students may be required to repay any allowances already received for unaccredited housing. In extreme cases, this could affect future funding eligibility. Always confirm your accommodation is on the portal before signing any lease.