Piggybank News

November 23, 2011

How to avoid rental property deposit disputes.

Filed under: Property — nspresources @ 8:32 pm
Tags: , , , ,

Even if you use a letting agent to manage your rental property, when the tenant disputes the deposit it is the landlord who suffers.  Making sure that correct procedures have been followed right from the start of the tenancy and that good records are kept throughout  is essential.

  • Go round the property with your new tenant to show them how everything works and to complete an inventory that they fully agree with.  Get them to sign off every page of the inventory and if pictures are taken ensure that they sign a printed copy.  Be comprehensive in your inventory reporting, if everything is detailed correctly and agreed by both you and your tenants, it’s difficult to argue.
  • Within a month of your new tenant moving in,  you should pop back to inspect your property and meet with your tenant again. If things look good  then you can agree inspections on a quarterly basis, if you are a little worried keep your inspections up monthly and make your concerns clear to the tenant both verbally and in writing.   Communication is key, most disputes occur because of poor communication!  
  • When your tenant gives notice draw their attention to the inventory, any special clauses in the tenancy agreement (such as flea treatments for carpets if they have had pets) and any agreed changes made during their tenancy.  Visit to go through it with them, conduct a last inspection and discuss any concerns.  This gives the tenant time to resolve any issues before they move out. On move out day inspect the property with the tenant, referring to the original inventory.  If there is damage agree what work needs to be done and confirm this in writing.  If possible get the tenant to sign off on the check out inventory too as this makes it difficult to contest.
  • Having agreed the work to be done, let your tenant know what the cost could be ASAP (the estimate), in writing. After the work is completed show them the final bill.

If all else fails, all the deposit protection schemes have dispute resolution systems in place and the records you have kept will help to achieve a favourable outcome.


1 Comment »

  1. […] How to avoid rental prop­erty deposit dis­putes. (nsputilityconsultants.wordpress.com) […]

    Pingback by Landing The Rental Property You Want — November 24, 2011 @ 12:21 pm | Reply

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