Professional Tenancy Check-out Reports
A check-out report is completed when a tenant vacates your property. The main purpose of this report is to find any discrepancies between the property in the original inventory report and its present condition.
A major advantage to having this process completed professionally is that you'll benefit from a second opinion on whether items have been subject to 'reasonable' wear-and-tear or whether you can claim repair costs from your tenant's deposit – this protects you from being taken advantage of and can in some cases save you a considerable amount of money.
A major advantage to having this process completed professionally is that you'll benefit from a second opinion on whether items have been subject to 'reasonable' wear-and-tear or whether you can claim repair costs from your tenant's deposit – this protects you from being taken advantage of and can in some cases save you a considerable amount of money.
Legal Protection
At the end of the process your tenant will sign a declaration stating that they accept the contents of our report and any decisions made about the wear-and-tear of your flat. This will prove valuable should your tenant later try challenge the withholding of their deposit.
An additional benefit is that this report brings the tenancy to a natural close. You'll have peace of mind that an ex-tenant can't challenge your report years after vacating the premises.
An additional benefit is that this report brings the tenancy to a natural close. You'll have peace of mind that an ex-tenant can't challenge your report years after vacating the premises.
The Benefits of a Professional Tenancy Check-Out Report
Some property owners choose not to complete a check-out report – which opens them up to losing money, complaints from future tenants (due to unnoticed issues) and even legal costs.
In short, the check-out report is important to a property owner because it ensures they can recover any necessary costs before it's too late and gives them a legally-admissible declaration by the tenant.
- You'll benefit from a second opinion which saves you from being taken advantage of by tenants who failed to properly maintain the property
- You'll avoid any problems with future tenants due to missed issues or items in need of repair
- Your tenant will sign a declaration giving you enhanced legal protection should they later challenge any deposit issues
In short, the check-out report is important to a property owner because it ensures they can recover any necessary costs before it's too late and gives them a legally-admissible declaration by the tenant.
What The Check-Out Report Covers
Our check-out report is just as thorough as our check-in and inventory reports are. We'll check the condition of the building itself (walls, floors, ceilings etc.) the condition of the carpets, any included items or furniture and the condition of the utility cupboard / cabinet – including the electricity meter. This ensures that no tampering has occurred.
The Check-Out process serves primarily to note the differences between the original and current condition of a property in order to ensure timely return of a tenant deposit. We strongly encourage tenants to be present during the procedure.
Our clerk will go through the inventory in its entirety and check the condition of all items. Any differences are recorded and noted as either “Fair Wear & Tear”, “Unfair Wear & Tear” or “Landlord Aware”:
Fair Wear & Tear and Unfair Wear & Tear: In allowing for wear & tear, several factors need to be taken into consideration, for example the length of the tenancy & number of tenants. A 5 year tenancy would need allowances for a greater amount of wear & tear than a 1 year tenancy, for example.
Examples of fair vs unfair wear & tear:
In essence, fair wear & tear is what it says; wear & tear to a property based on normal everyday usage. Unfair wear & tear is where damage occurs due to carelessness, for example leaving hot curling tongs on a carpet.
Landlord aware: These are defects noted for the landlord’s information only and as such cannot be attributed to fair or unfair wear & tear – for example hairline cracks or a faulty electrical fixture.
The Check-Out Report is prepared off-site and includes full written descriptions of any differences from the original inventory or issues together with photographs of all items, including overall room views, keys, permits and meter readings.
A Check-Out Declaration is completed on site which serves to give an overall Schedule of Condition of all items in terms of cleanliness. Any issues with maintenance which require attention are also noted and separately communicated back to the agent/landlord. A record of keys handed over, permits and all meter readings are also recorded on the Declaration and the tenant signs this document which accompanies the Check Out Report.
The Check-Out process serves primarily to note the differences between the original and current condition of a property in order to ensure timely return of a tenant deposit. We strongly encourage tenants to be present during the procedure.
Our clerk will go through the inventory in its entirety and check the condition of all items. Any differences are recorded and noted as either “Fair Wear & Tear”, “Unfair Wear & Tear” or “Landlord Aware”:
Fair Wear & Tear and Unfair Wear & Tear: In allowing for wear & tear, several factors need to be taken into consideration, for example the length of the tenancy & number of tenants. A 5 year tenancy would need allowances for a greater amount of wear & tear than a 1 year tenancy, for example.
Examples of fair vs unfair wear & tear:
- A worn carpet to entrance – fair wear & tear
- A carpet with cigarette burns – unfair wear & tear
- A chip to a wall due to a door handle banging against the wall when opened – fair wear & tear (a door stop should have been situated in place to prevent this)
- A chip to a wall due to bad handling of furniture – unfair wear & tear
In essence, fair wear & tear is what it says; wear & tear to a property based on normal everyday usage. Unfair wear & tear is where damage occurs due to carelessness, for example leaving hot curling tongs on a carpet.
Landlord aware: These are defects noted for the landlord’s information only and as such cannot be attributed to fair or unfair wear & tear – for example hairline cracks or a faulty electrical fixture.
The Check-Out Report is prepared off-site and includes full written descriptions of any differences from the original inventory or issues together with photographs of all items, including overall room views, keys, permits and meter readings.
A Check-Out Declaration is completed on site which serves to give an overall Schedule of Condition of all items in terms of cleanliness. Any issues with maintenance which require attention are also noted and separately communicated back to the agent/landlord. A record of keys handed over, permits and all meter readings are also recorded on the Declaration and the tenant signs this document which accompanies the Check Out Report.
More Information
Would you like to find out how we can help protect your investment? Contact an advisor and we'll get back to you as quickly as possible.
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