The Inventory - for residential lettings

What is an inventory?

The rental application and letting agreement, the inventory is perhaps the most important document in the lettings process.

The Inventory is very simply a listing of all the contents of a property and a record of the condition of each item - usually referred to by the professionals as - a schedule of condition. 

The LandlordZONE Universal Inventory is a very detailed combined Inventory, Schedule of condition, and Safety Check List. The document is 10 pages long and is downloaded as an Acrdobat .pdf file.

How is an Inventory Prepared?

The Landlord, Agent or an Independent Inventory Clerk should prepare the Inventory which should be agreed with the tenant on move-in day. The Landlord/Agent and tenant/s sign the Inventory and initial every page to signify agreement.

Photographic or video evidence of the property contents and condition is optional but often a wise precaution.

Mid-Tenancy Inspections

It is common, and sometimes a wise precaution, for landlords or agents to require regular inspections when managing a tenancy. 

3 monthly inspections where the condition is compared to the inventory should be perfectly acceptable to both parties 

What happens at the end of the tenancy?

The inventory must be checked and agreed with the tenant prior to the deposit being returned, preferably on move-out day. 

This will be done by the landlord, agent of inventory clerk meeting the tenant at the premises and inspecting the contents together.

It is very important that the inventory is checked in this way immediately prior to the tenant leaving, so there can be no argument about any damage occurring after the tenant has gone.

The deposit should be retained until all outstanding issues have been resolved, usually:

• Damage beyond normal wear and tear

• Cleaning

• Rubbish removal

• Lost keys, lock replacements

• Outstanding rent

• Other outstanding liabilities

All of these possibilities should be specified in the letting agreement.

If all is well the deposit should be returned within a reasonable time, preferably within 7 to 14 days, but within 30 days at the outside.

What happens if items have been damaged?

Where damage (dilapidations) have occurred and these can be agreed between the parties, estimates should be obtained for repairs/replacements. 

The tenant should be informed of all the costs in writing and amounts of deductions from the deposit clearly shown.

Where the deposit is not enough to cover damage, an invoice should be raised itemising all costs involved for additional payments.

Where items need to be replaced, betterment may be involved. This means that the original age and condition of the replaced item should be taken into account, and the landlord should be prepared to accept less that the full replacement cost of the item.

What if the parties Cannot Agree?

If the parties cannot reach agreement as to which items have been damaged, the severity of the damage or dilapidation, the repair or replacement costs etc, then great care should be taken in:

• recording the state and condition with photographs

• obtaining estimates and repair or replacement costs

• informing the tenant/landlord in writing

Disputes over these matters may eventually need to be solved through arbitration by a third party - most usually, the Small Claims Court.

What if the Property is Unfurnished - is an Inventory still needed?

If a property is deemed to be unfurnished, though there is no statutory definition of this, it does not mean the property is totally bare. Fixtures and fittings such as sinks, worktops, refrigerators are usually provided, and also soft furnishings such as carpets and curtains are usually included.

Therefore, it is still very important to have a detailed inventory.

In addition, a detailed inventory like the one supplied by landlordZONE records the condition of walls, floors, doors and windows and also equipment such as the heating system, smoke alarms etc. 

What Constitutes a Furnished Property?

Fully furnished implies that you need no addition furniture or equipment to live in the property. This in theory would include everything right down to bedding and kitchen crockery and cutlery.

However, it is rare for letting to have this level of service. Often tenants would prefer their own bedding and are happy to supply their own kitchen utensils.

Also, it is rare for tenants to have not possessions or furnishings of their own , so even fully furnished accommodation should leave room for tenants' items.

Below is a list of typical items a reasonable tenant could expect to be included in a furnished let:

Kitchen/Dining

Kitchen Units, wall cupboards and good worktop

Cooker

Refrigerator and Freezer or combined Fridge freezer

Washing machine

Dishwasher

Dinner set 

Tea set

Cutlery

Small Medium and Large pans

Frying pan

Baking trays

Casserole dishes

Basic Utensils 

Hoover/Vacuum cleaner

Kettle

Ironing board

Iron

Dining

Dining Table

Four Chairs

Lounge

Three piece suite 

Coffee Table

Dining Table

Four Chairs

Sideboard

Bedroom

Double bed 

Bedside Tables and lamps

Double wardrobe

Chest of drawers

Additional Bedrooms

Single beds

Single wardrobes

Chest of drawers

Outside

Gardening Tools

Lawn Mower

Throughout

Light Fittings with shades, Carpets and Curtains