As a landlord all you want for your property is for it to be taken care of and respected. And the majority of tenants do just that by taking reasonably good care of their unit. There are some exceptions though and these may leave you wondering how to prevent damage to your rental property.
If you are a landlord (or tenant) one way to set up a good working relationship on this topic is to complete an inspection and inventory record at the beginning of the lease. I have included more information about a printable example at the end of this article.
*As a side note, if you as a landlord regularly have problem tenants and excessive property damage you might want to revisit your tenant screening process. Here are a few articles that cover our application process and a few good questions to ask of potential tenants.
Complete Guide for Screening and Selecting Tenants
Complete List of 30 Questions to Ask Potential Tenants
What is an Inspection and Inventory Record?
So what is an Inspection and Inventory Record? An Inspection and Inventory Record is a tool that landlords and tenants can use to agree upon the condition of the property before and after occupancy. It works by the landlord and tenant inspecting the property room by room together and noting any imperfections or damages. If there is any furniture or appliances included with the unit, those are also inventoried and inspected. In addition to the record, I would also recommend taking pictures of anything worth noting to include with the record.
Why is an Inspection and Inventory Record Important?
An Inspection and Inventory Record is important because it creates a signed agreement between both parties around the condition of a rental property before the lease even begins. It creates much more objectivity and documentation to the state of the property especially if you include pictures. Overall it can help eliminate the blame game between landlords and tenants by making sure everyone is on the same page.
When do you use an Inspection and Inventory Record?
As mentioned earlier, the first time to pull out an Inspection and Inventory Record is before the tenant moves in. This is when you will walk the property together and note any pre-existing issues. Once you have done your inspection, each party should sign the document.
You will use the same report again at the end of the lease when the tenant moves out. Landlord and tenant can do the same process of walking the property and noting any new damages not present at the start of the lease. Any damages incurred above normal wear and tear should be noted and deducted from the security deposit.
Not sure what is considered “normal wear and tear”? Here are a couple websites that go into more detail about normal wear and tear verse property damage when it comes to returning a security deposit.
Landlord’s Guide to Normal Wear and Tear in Rentals
What Can a Landlord Deduct from a Security Deposit?
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Preventing Damage to Your Rental Property
It might seem like a small step, but creating an agreement on the condition of the property before it is occupied can make a significant difference in how the property is treated. It shows tenants that you value your property and expect it to remain in good condition.
