“I wish it were this easy for everyone out there”: How digital platforms are reshaping rental experiences in Tanzania

When Shukuru Zambwe moved from Sikonge, Tabora, in mid-western Tanzania, to Dar es Salaam, the country’s most populous city, in 2014, he faced the challenge of finding his own place to live. He had arranged to stay with his relatives for at least a week, hoping it would suffice until he found a rental house. 

“Since I had been accustomed to personally searching for vacant residences and directly engaging with landlords, I felt uncertain about navigating the new city,” Zambwe, now 43 years old, recalls getting connected with one of the city’s informal housing middlemen, locally known as dalalis.

Zambwe shared his specific housing preferences with the dalali, who assured him of exciting options. This assurance initially thrilled him, as he hoped to avoid a longer stay at his relatives’ small house. But his excitement faded when he spent five days with the middleman, touring different neighbourhoods without finding a suitable house. “Despite promises that each subsequent house would be better, the search proved unsuccessful. And I was paying him almost TZS 20,000 ($8.15) per day as a viewing fee,” he says.

“Viewing fee” is paid by prospective tenants to middlemen for every house they are shown, regardless of whether they accept it or not.

After several more unsuccessful attempts, Zambwe decided to part ways with the dalali in search of a more reliable one. That was after he had spent nine days sleeping on a couch in his relative’s tiny house. To his dismay, he discovered that most middlemen operated similarly. Spending more days with another agent yielded no positive results either. 

To avoid further financial loss, Zambwe reluctantly agreed to rent two rooms in a house he didn’t particularly like, buying himself time to continue his search. “The rooms of the house were cramped, the roof was too low and in disrepair, and the ceiling was covered in stains. During the rainy season, the entire neighbourhood would turn into a pond,” he recalls.

Despite having paid six months’ rent upfront, Zambwe eventually relocated to a better house and neighbourhood three months later, giving up the remaining rent. “I wasn’t happy to let all that money go for nothing, but my mental health was way more important to me.”

Zambwe’s experience sheds light on the common challenges faced by Tanzanians dealing with housing middlemen in urban areas. 

The housing sector in big cities and towns is witnessing growth, driven by a significant influx of individuals migrating from rural to urban areas. Tanzania’s estimated annual urban population change rate is 5.2%, and it is projected to increase from 19.9 million in 2018 to 35.5 million in 2030. Dar es Salaam, for example, has the highest percentage of migrants from other areas, with 56% of its population originating from elsewhere. 

Not only does this population increase further deepens the demand for housing but it also attracts more individuals to venture into the role of middlemen. The sector serves as a source of employment, particularly within the informal sector, which accounts for 62% of Dar es Salaam’s total employment, according to data from the National Bureau of Statistics (NBS). NBS data also reveals that 31% of individuals engaged in informal sector activities in Tanzania cite the inability to find alternative employment opportunities.

Dalalis are crucial in connecting landlords with potential tenants in urban Tanzania. Their constant presence on the ground makes them well-informed about rental markets in their respective geographical areas, offering valuable insights to landlords and prospective tenants. However, these middlemen remain largely unregulated. Most of them operate without registration with government authorities and lack physical office spaces.

The lack of regulations also gives them unchecked control over fees and operations. “Most times, they understand they can’t get you what you’re looking for, but they can’t be honest. They’ll find a way to take you on those fruitless house viewing trips so they can earn something from you, and it’s rarely below TZS10,000 ($4.07) now,” says Dorcas Emmanuel, a 32-year-old Dar es Salaam resident who has dealt with multiple middlemen. “Others could also charge you based on how you are dressed.”

Godlove Mwakibinga, a 40-year-old renter in Dar es Salaam, has also experienced middlemen taking him to already paid-for houses and still demanding viewing fees. “For what? That’s daylight robbery,” he says. 

These middlemen are blamed for inflating rental costs beyond the owners’ intentions by focusing solely on high profits. “They decide what they want. They even have the power to raise the rent price if the landlord is not strong,” says Baraka Simbano, a landlord in Kimara Temboni, Dar es Salaam. 

“Many people have found themselves renting buildings at a very high cost, even three times the actual cost, because of increasing the dalali‘s commission,” says Zamda Magingi, a landlady in Kiluvya, Dar es Salaam. She highlights how disputes arise when a middleman brings a customer willing to pay more than the original rent and insists on taking a portion of the excess amount for several months. “There are cases where the owner rents a house for TZS100,000 ($40.76) a month, and the broker brings a customer willing to pay TZS150,000 ($61.14), then the dispute starts that the dalali wants to take the exceeding TZS50,000 ($20.38) for, let’s say, six months,” adds the 63-year-old retiree.

Amid Tanzania’s housing demand of 3 million units with an annual growth of 200,000 units, as reported by the Center for Affordable Housing in Africa (CAHF), dalalis exploit the situation using several techniques. They can give a house to a client, but before the tenancy expires, they bring another client to the landlord with more money and cause the occupying tenant to be evicted.

Shadya Mustafa, a 24-year-old student at St. Joseph University in Tanzania (SJUIT), Dar es Salaam, experienced first-hand this unjust practice. After renting a bedsitter for TZS80,000 ($32.60) per month and paying six months’ rent in advance, she was shocked to receive an eviction notice just two months later, supposedly due to renovations. Mustafa later discovered that another tenant had already secured the same house by paying TZS100,000 ($40.76). “It made me sad to experience such unfairness, but I couldn’t do anything about it,” she says.

In Tanzania, middlemen are paid by renters rather than landlords. It’s not easy to find a house in urban areas without a dalali who usually charges an equivalent of one month’s rent from the tenant – a system objected to by renters and discouraged by the government.

In November 2021, the government issued a ban against agents collecting an equivalent of one month’s rent from tenants, stating that their fees should be paid by landlords. “Those [middlemen] who charge renters the equivalent of one month’s rent are thieves; put a stop to this thievery. The tenant should not pay the agent,” emphasised William Lukuvi, then Minister for Lands, Housing, and Human Settlement Development.

Despite the ban, this unwritten rule persists, posing challenges for renters and often leading to silent conflicts. Most landlords charge rent biannually or annually, making it difficult for tenants to accumulate the necessary funds. The burden of dalalis’ charges adds to the weight making it more overwhelming for many people, especially the majority of the urban poor, 84% of the population, who, the housing sector difficulties hit the hardest. 

2% of Dar es Salaam’s renter households live in flats or low-rise apartments, whereas 59% live in freestanding houses and 39% in attached houses. Most residents in Dar es Salaam are unable to afford homeownership due to high property expenses, expensive building materials and value-added tax. Many are left with no choice but to rent their housing because the available mortgage financing choices that are available tend to favour individuals with middle-class or higher earnings. 

Esther Milinga, a 37-year-old single mother of two, resides in Ubungo Kibangu, a neighbourhood in Dar es Salaam. She is a tenant, renting a modest room as her home. To sustain herself and her family, she operates a fish vending stall along the roadside, earning TZS 6,000–7,000 ($2.44–2.85) per day, part of which is dedicated to covering the monthly rent of TZS 50,000 ($20.38), which she pays on a biannual basis.

Although Milinga dreams of moving to a larger house, she believes it’s not the right time. She worries that the fees charged by middlemen might eat into her hard-earned capital, making it difficult for her to afford a bigger place. “Whenever I think of the amount I’ll have to give to a dalali, I shrink and just hope that one day I’ll be able to move. I don’t want to cause any harm to my business now because I won’t be able to get back on my feet quickly,” she says 

Many renters have long believed there should be a professional body where individuals can lodge complaints when estate agents act contrary to the government’s directives. “With such a body, agents would act in the best interest of the clients, ensuring honesty, fairness, and promptness for both renters and homeowners,” says 35-year-old Charles Haule.

However, after years of people pushing, the Tanzanian government took proactive measures. In 2015, the Ministry of Lands, Housing and Human Settlements Development introduced a bill to regulate the real estate sector and protect consumers from inadequate services. The Estate Agency Act, 2015 is expected to significantly change property sales, rentals, and management within the 61 million-person country when passed.

Under the proposed bill, it is promised that the Estate Agency Board would be established as the governing body responsible for registering and overseeing the activities and behaviour of estate agents. The board would also have the authority to pursue legal action against unregistered agents and adjust the fees charged by the agents.

However, the bill is yet to be enacted, but Dr Angelina Mabula, the current Minister of Lands, Housing, and Human Settlements Development, reassured the public early this year that its finalisation is in progress.

In the face of the government’s slow response, individuals have been taking matters into their own hands. Digital platforms have emerged as an increasingly popular method for connecting landlords and potential renters. 

Edson Chonge, 42, manages a WhatsApp group with over 1,000 members where landlords and tenants can directly interact without the need for intermediaries. “Due to the government’s lack of prompt action, we have long taken it upon ourselves to tackle these scammers,” Chonge explains, highlighting the necessity for their proactive approach.

Chonge initiated the group back in 2018, aiming to assist renters and landlords who wanted to avoid middlemen. Having personally experienced the costly involvement of intermediaries, he felt the need for a change. Starting with a small circle of friends, the group gradually expanded as more people were invited. “Every day, I read thankful messages in the group, and that brings me joy knowing that people are being served well and deserving of it,” Chonge says.

Through the group, individuals have the opportunity to swap houses based on their preferred location and the affordability of the properties. The decision to swap lies with the two parties involved, as well as the landlords. 

Zeituni Mzee, 29, is among those who have benefited from the group’s services. Last year when she desired to relocate closer to her workplace, she utilised the group to announce her intention and provide details about the rental house she wished to vacate and the one she desired to move into. In less than a day, she found an interested party. “What would have taken me weeks and a significant amount of money became possible in less than a day and zero cost was incurred. I wish it were this simple for everyone out there,” she says.

Facebook, also serves as another convenient platform for connecting without dalalis’ interference. In 2020, a group named Chama cha Wapangaji TZ (Swahili for Tenants’ Association of Tanzania) was created by a group of friends who, having just graduated, struggled to get an apartment as they could not afford the dalali fee. Now with over 159,000 members, the group allows members to inform others about available houses and apartments, free from the involvement of middlemen. 

Joining the group requires a commitment to actively seeking rental property and an agreement to be removed and banned from the group if found to be a disguised dalali. “We have zero tolerance for dalalis in this group. We want people to have the freedom to find the properties they desire. Shelter is a basic necessity and shouldn’t be unaffordable for anyone,” says Andrew George, the group’s founder and co-admin.

Despite facing insults and threats online from individuals he believes to be disgruntled middlemen, George remains resilient in maintaining a safe space for renters through his group. In addition to insults, some people have even offered to buy the group from him, but he firmly declined. He says, “I wasn’t sure what would happen to the group if I sold it. It could be transformed into something that goes against our mission of helping people.”

Sadiki “Makuku” Rashid holds the same conviction and operates a Facebook group with over 17,000 members. His motivation to start the group stemmed from his own negative experience with a housing middleman while assisting a friend in finding a rental house. Since its establishment in 2021, Makuku has successfully attracted so many members to the group because “people understand the importance of not spending beyond their budgets.”

These groups help people like Anna Mbise to not worry about leaving their work to make time for working with dalalis in search of an apartment. “I have not used a dalali ever since I joined the group. There you can easily find a house,” says the 44-year-old resident of Tabata, Dar es Salaam. “According to my observation, there are more than thirty posts announcing vacant apartments on a daily basis. I wish more people get to know that there’s a way to not use dalalis who usually don’t think about our interests and time but their own.” To maintain an enjoyable and harmonious atmosphere among the members, the group also allows humour and real-life stories about tenant-to-tenant and tenant-landlord interactions. Makuku says that this practice helps cultivate a strong sense of community. “It’s not only a movement against middlemen exploitation; it’s also a space where we share our own experiences as tenants and landlords and find common solutions.”

Emmanuel Mkojera, a social media and digital security trainer with Jamii Forums, a social justice and digital rights organisation, supports these initiatives. He believes that utilising the digital space to address social problems is a great way for people to exercise their digital rights. “The fact that people are taking such measures to improve their lives, particularly through the use of social media, demonstrates a clear shift in societal understanding of the benefits and significance of social networks in addressing their needs,” he says.

Mkojera explains that there used to be a misperception that social media had no real benefits, but these recent developments demonstrate that when digital platforms are used effectively, they can bring significant advantages. “It’s not just about discussing housing issues; through these platforms, people can come together and collaborate on various social and developmental matters,” he emphasises.

Amidst the prevalence of fraudulent housing middlemen in the Tanzanian market, there are still competent ones who conduct their work diligently, according to Dickson Mwagange, who has been in the industry for over eight years. He is confident that the dalali-less platforms only impact those who lack a good reputation, but for him, who has established a loyal clientele, the business flourishes. “Throughout my eight years of service, none of my clients have ever voiced dissatisfaction. That is where my strength lies,” he proudly states.

Mwagange also emphasises that for the housing sector to operate fairly and benefit all parties involved, everyone needs to work without greed. “It is not always about us. Landlords should also have the courage to refuse to be swayed by duplicitous middlemen,” he says. 

The 38-year-old father of four, who has been supporting his family as a housing middleman, also expresses optimism about the upcoming law. He intends to transition into a legitimate role and even considers pursuing a short course in real estate agency. “The law may intimidate some of us, but I am confident that it will enhance professionalism in our work and earn us the respect we deserve,” he says.

Janeth Mhina is a 46-year-old landlady who has had both good and bad experiences with middlemen. She has a unique perspective as she was previously a tenant for over twelve years before becoming a homeowner herself. Recognising the benefits of the real estate sector for all parties involved, she emphasises the importance of landlords actively advertising their vacant rentals through printed posters and having a specific list of dalalis one can fully trust working with. “This approach can spare landlords of the troubles with unscrupulous middlemen, and renters will be relieved of the stress and frustrations they usually have to put up with,” she says.

Living with a low income and the uncertainty of rent increases or eviction notices can cause a lot of stress. According to psychologist George Chacha of the Tanzania Psychological Association (TAPA), “being stuck in a place one doesn’t like because the person has no other option can also lead to mental health problems.” Chacha explains, “Feeling safe is really important for everyone. When people feel safe where they live, it helps them be happier and have better relationships with others.”

After moving around many times, Zambwe, who is now living in his current rental house for a fourth year and feels content, reflects on his past experiences and the benefits of avoiding deceitful middlemen. He considers himself less fortunate compared to those who haven’t had to encounter dalalis’ tricks and wishes he had discovered dalali-free platforms earlier.

“I’m really relieved that others don’t have to go through what I went through for so long,”he says. “Whenever my friends are searching for housing, I always suggest they take the dalali-less route. It’s truly the best option for renters out there.”

Edited by Banjoko Samuel and Uzoma Ihejirika.