How to Start a Successful Property Stokvel

If you live in South Africa, then you’re no stranger to stokvels.


They have been around for many years. However, the concept of property stokvels- also known as investment clubs- is fairly new. Property stokvels help people to invest in real estate in South Africa with little risk and money involved.


In today’s blog post, I’ll be sharing my top tips on how to start a successful property stokvel:


What is a stokvel?



Have you heard of a stokvel, but don’t know exactly how they work? It’s quite simple.


A stokvel is an investment club comprised of several members who all contribute a small amount monthly. At certain intervals, each member will receive a lump sum payment, which they pay back in time with their monthly contributions.


Stokvels have been a prominent part of black South African cultures for many years. They were traditionally used to help members buy groceries and pay off debts.


While stokvels have continued to grow in popularity, they are now oftentimes used for investments.


How to start a successful property stokvel



There are so many articles out there that can teach you how to start a stokvel. However, none actually tell you how to start a successful property stokvel.


Anyone can create a stokvel, but if you don’t know what you’re doing, you will only waste your time and money. Here are a few tips to creating a lucrative property stokvel:


Pick the right members

When you’re a stokvel member, you rely on other members to fulfill their duties in the same way that other members rely on you. If stokvel members aren’t serious, dedicated and committed, the entire stokvel can fail.


When starting a stokvel, it’s important that you only ask people that you trust.


Ensure you have the correct structure

I have worked with several stokvels that, despite existing for several years, have never been approved for a bond. Why?


The leading cause is because they have the wrong structure. South African banks can be sticklers when it comes to approving stokvels for bonds. Everything has to be by the book.


Unfortunately, many of these stokvels didn’t even know that they lacked the proper structure!




Pin down an investment strategy

Your stokvel’s investment strategy will inform members of the investment direction and goals. If you don’t use a strategy, you will be investing blindly and are thus more likely to fall victim to bad deals.


In fact, lack of clear strategy is a leading cause of stokvel failure.


How I can help...

For the past several years, I have been working directly with property stokvels to help them get bonds, generate more profits and invest wisely.


I have experience in both starting property stokvels and helping already established stokvels achieve high levels of success.


So...how exactly do I help? Here is what I can do for your stokvel:

  • Assist with the technical aspects of starting a stokvel

  • Help your stokvel find the right structure to ensure quick bond approval

  • Mentor members about real estate investment

  • Help stokvels acquire their first income-generating investment property

  • Create an investment strategy to help grow members’ earnings

  • Much more...


Don’t hesitate to contact me if you’re interested in my stokvel mentorship!



South Africa’s stokvel industry generates R44 billion annually. And there’s a reason why it’s so lucrative!


Property stokvels allow South Africans to get their feet wet in real estate investment- and make some money- without investing their life savings. This low-risk investment option is especially perfect for millennials new to the real estate industry.


However, if you decide to start a stokvel of your own, it’s best to get expert advice. After all, if your stokvel isn’t successful, you will not only waste your own time and money, but also that of other members.



Hi, I’m Ezra Rasethe, an entrepreneur, real estate investor and coach who facilitated millions of rands in investment opportunities in just 3 years. This year, I am launching my Real Estate Wealth Mentorship Program where I help 20 real estate investors start, grow and scale their businesses. Are you interested in becoming a real estate mogul? Click HERE to schedule a FREE mentorship call with me and gain access to exclusive resources.


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