September 19, 2012

Landlords say majority of tenants leave properties in disrepair

A recent survey of residential landlords shows 73% them claim their properties are left in a poor condition when their tenants leave.

According to the survey, by MeetMyAgent.co.uk, only 5% of the landlords surveyed reported properties being left in a state of utter disrepair however, 41% of landlords said that on at least one occasion a tenant had left a property in such a bad condition that it has required complete refurbishment before being able to let it again.

Only around a quarter of those landlords surveyed reported properties being vacated and left in a good condition.

What landlords should do when property is damaged:

As a landlord you will not be able to make a claim in relation to ‘fair wear and tear’ of the property or its contents over the period of the tenancy. However, if a tenant leaves your property in a poor condition you are entitled to seek a contribution towards repair or replacement. The first step to consider is keeping all or part of the deposit supplied by the tenant at the beginning of the tenancy. In order to keep the deposit monies you must formally write to the tenant explaining why you intend to keep the deposit, providing evidence for damage caused and any repair work required. If you are unable to locate the tenant due to a change of address, you must satisfy the deposit scheme used that you have used your best endeavours to contact the tenant.

If the tenant disputes your claim to keep all or part of the deposit monies, or disputes the amount you intend to retain, you must go through the relevant deposit scheme’s dispute resolution procedure. Whilst the exact procedure will vary from scheme to scheme this is likely to involve going through an alternative dispute resolution (ADR) procedure such as arbitration. The independent arbitrator will consider the evidence put before it by each party and make a decision based on the evidence produced.

In order to give yourself the best chance at winning the adjudication you must ensure you produce strong evidence from the outset and when required. This includes producing inventory reports relating to the start and end of the tenancy, copies of correspondence and the tenancy agreement, as well as opinions from any relevant professionals, e.g. a surveyor if there is structural damage to the property. 

You can also sue the tenant for damages or cost of repairs. This is because the tenant has a common law duty not to damage the property and may also be bound by certain contractual obligations to keep the property in good condition and repair.

To ensure your interests as a landlord are properly protected, it is recommended you have a tailored tenancy agreement. Compared to an off-the shelf agreement, this will offer greater protection and place you in a better position should a dispute arise.

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