The importance of Inventory Management Reports.
The importance of correct paperwork when letting a property cannot be underestimated. There are over 55 pieces of legislation to rent a single property and all require adhering too. Mostly, this legislation can be effectively managed at the start of the tenancy.
Condition and misuse of property reporting comes under the general term of Inventory Management reporting. These reports cover:
- Inventory and Schedule of Condition – a detailed professionally prepared aesthetic description of the internals and externals of a property, an inventory of all fixtures and fittings and their condition.
- Check In – the process of agreeing the inventory, the condition and cleanliness with the incoming tenant and registering of meters and keys.
- Property Visits – mid-term periodic inspections to check that the property is not being misused and that the tenant is adhering to the tenancy agreement.
- Check Out with Damage and Dilapidations – the report that determines the change between the start and the end of the tenancy, lists damages, missing items, the state of the cleanliness, property and garden condition, outstanding or due maintenance items, meters read and keys returned. The check out is carried out as the last act of the tenancy and is therefore usually carried out on the last day of tenancy.
Should the dispute end up at adjudication with one of the deposit schemes (ADR), the requirements for inventory management documentation are clearly defined as crucial. The onus is on the landlord to show why they are entitled to claim money from the deposit. The landlord must support their claim with robust and reliable evidence to show that the tenant has broken the tenancy agreement, and that the landlord has suffered, or is likely to suffer, a loss as a result.
The dispute service states the following:
“…..inventories that are not prepared by independent companies or individuals…..are likely to place less weight on their contents. It may also be necessary for a landlord to provide more corroborating evidence to show the condition of the property than would normally be required if the process was carried out by qualified and independent inventory clerks”.
“where landlords use their agents to conduct their check-in and check-out inspections………there is an added need to show that the process, and the person undertaking the inspection, was impartial. Adjudicators will take into consideration the general circumstances and relationship between the parties in determining what weight to put on the evidence”
“…..where a landlord puts the onus on the tenant to complete their own check in inspection, this type of check in is far less robust than a ‘full’ check in”.
“Just providing an inventory to the tenant and expecting them to note any discrepancies, or relying on a document that has not been signed, will not be sufficient to convince an adjudicator; the landlord will need to provide other evidence to show that their expectations and the tenant’s obligations were fully explained to the tenant”.
“Where a check-in is challenged by the tenant, a full audit trail of what remedial action has occurred should be provided and a revised check-in agreed and signed”
Further information on the requirements of the deposit schemes and other useful articles on inventory management can be found https://nolettinggo.co.uk/property-inventory-articles.html
You might also like
Why Are More People Choosing To Rent Than Buy Their Property?Upload on January 25, 2022 by Lydia Horsley
Our perception of homeownership is changing. For the vast majority, buying a property used to seem like a natural step, but it’s now predicted that by 2025 over 50% of adults under the age of 40 will be in private rented accommodation. In the UK, demand from renters is 43% higher than the last five-year [...]READ MORE
Our 2022 Predictions For The Property MarketUpload on January 25, 2022 by Lydia Horsley
The home buying and rental markets have faired well over the past couple of years, despite the challenges presented by the pandemic and possibly because of government help. But as we head into 2022, should we expect to see a continued buoyancy in the market? While no one is predicting a sudden or dramatic decline [...]READ MORE
New Carbon Monoxide Alarm LawsUpload on December 23, 2021 by Lydia Horsley
According to the NHS, around 60 people die of accidental carbon monoxide (CO) poisoning every year. In a significant step to reduce accidental carbon monoxide poisoning in rented accommodation, the government has announced changes to the law regarding carbon monoxide alarms that all landlords and agents must respond to. Landlord’s current responsibilities regarding CO [...]READ MORE
How To Deal With Damp And MildewUpload on December 23, 2021 by Lydia Horsley
During the winter months, dampness and mildew become a problem for landlords and agents to resolve with the tenants, but by completing regular property inventories, you could stop it from becoming a serious issue. What causes dampness & mildew? When there is too much moisture in the air, and the air is also cold, [...]READ MORE