Tenancy deposit disputes can be messy and very frustrating for all involved. The number of formal disputes still remains low but we must prepare for the pandemic's far reaching effects on all our finances.
Tenancy deposit disputes can be messy and very frustrating for all involved. The number of formal disputes still remains low but we must prepare for the pandemic's far reaching effects on all our finances.
Disputes often stem from lack of knowledge or understanding about how this part of renting or leasing works.
Documentation is of course imperative, but its worth spending extra time with the tenant at the inventory stage of the process to prevent problems arising at the end of the tenancy.
Good inventory management protects both the landlord and the tenant and establishes what the tenant obligations are at both the start and end of the tenancy.
Deposit schemes will advise tenants to attend both the inventory and check-out appointment, but this is not always practical with these reports taking 1-2 hours or longer.
It is much easier, once the tenant has the report, to check that the report is accurate
Detailed inventory and condition reports can run into 40+ pages and the tenant will usually be allowed seven days to settle into the property and check through the inventory in detail.
1) Educate Tenants
Tenants must be aware that it is their responsibility to check the inventory carefully, note anything that has been left out and take pictures of any discrepancies.
Talking them through the process and explaining how the inventory protects them, is more effective than simply relying on T&Cs.
2) Check-In
n accompanied check-in assists the tenant to understand the potential impact an inventory may have on the deposit.
Highlighting any issues within the property also makes them feel part of the process.
As minimising contact is now a priority, use digital platforms to capture areas of concern and obtain signatures within seven days.
3) Terms and Guidelines
Cleanliness is the main area of dispute, so take steps at the start of the tenancy to avoid this
A good inventory will show the overall cleanliness of the property and every room, using terms defined in the beginning of the document.
Fair wear and tear does not apply to cleanliness, and so the property must be returned to the same standard, otherwise a deduction may apply.
4) Not all cleaners are ‘professional’
Just because a professional cleaner has attended the property, it does not always mean the clean is to a professional standard.
If something is clean but at closer inspection reveals dust, we use the term ‘good domestic standard’.
This often causes disputes when the tenant believes it has been professionally cleaned so discuss the service provider with your tenant before
5) Educate Yourself About Fair Wear & Tear
Landlords can often be disappointed when a claim goes as far as an adjudicator, because the adjudicator will rule in favour of "fair wear and tear". So to avoid lengthy disputes that won't benefit you, educate yourself on what fair wear & tear is. It is vital to manage the landlords’ expectations.
6) Changes to the property – requesting permission
This is covered in most ASTs, but it is good practice to remind tenants to ask permission first.
The most common deductions are attributed to damage or changes to walls from hanging pictures, painting or using blue tack.
It’s not unreasonable for tenants to make minor adjustments to their new home, but get them in the habit of asking first so you have the opportunity to remind them of their obligations.
7) Outside maintenance
Tenants often forget about the garden at check-out so they need to ensure it is left as they found it, otherwise they will face a gardening deduction.
Be sure to remind them of this.
8) Videos are not the whole picture
Some tenants use these as a quick alternative to an inspection, but video tends not to go up and down and all around!
Video evidence is acceptable by the deposit dispute schemes, but often does not capture quite enough detail, as its easier to miss items using this method– so if you go to dispute, the landlord may end up disappointed!
Written By Neil Raja
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