22 September 2011
my|deposits, the tenancy deposit protection scheme, is offering landlords valuable support on how to “dispute-proof” themselves when they take new tenants.
September is one of the busiest months for new tenancies. There are several key steps that landlords should take at the start of every new tenancy to ensure they are able to provide suitable evidence if they are faced with a dispute over the deposit when the tenant moves out.
Firstly, an Assured Shorthold Tenancy (AST) agreement should be used, and signed by both the landlord and tenant. The AST should clearly state all the terms of the tenancy, and importantly should spell out what is expected in terms of cleanliness of the property at the end of the tenancy, always allowing for fair wear and tear.
The AST acts as your legal contract with the tenant so make sure it’s clear.
Landlords should also produce an inventory that is signed and dated by both parties when the tenant moves in. Rent account statements must be kept up to date and invoices or receipts for any repairs or work done on the property should be kept as evidence.
When the time comes to move out, the landlord and tenant should meet for a check-out inspection, so both can come to an agreement over the return of the deposit.
Eddie Hooker, CEO of my|deposits, commented:
“Landlords can take steps to “dispute-proof” themselves before the tenancy begins, to ensure they have all the necessary evidence in the unlikely event of a dispute at the end of the tenancy.
“By taking some simple precautions, landlords can minimise the risk of being left out of pocket in the event of damage to the property or unpaid rent.
“This is a timely reminder as student landlords prepare their properties for the return of university students.”
A recent survey by my|deposits found more than half of landlords and letting agents now use photo evidence in their inventories.
Nick Lyons, Managing Director of inventory management firm No Letting Go commented:
“Inventories are now a vital part of setting up a tenancy to prove the condition of a property when the tenant moves in. More landlords are adding photographs to their written inventories for peace of mind. It’s vitally important that landlords not only list the contents of the property but also clearly describe the condition.”
For more information about my|deposits, visit www.mydeposits.co.uk or call 0844 980 0290. To find out more about the ‘No Letting Go’ inventory service, visit http://www.nolettinggo.co.uk or call 0800 8815 366.
* my|deposits surveyed 696 landlords and agents about tenancy deposit protection.
For further information, please contact:
T: 020 7840 8925
M: 07508 031 084
NOTES TO EDITORS:
Mydeposits is the trading name of Tenancy Deposit Solutions Limited, a company jointly owned by the National Landlords Association and HFIS plc T/A Hamilton Fraser Insurance (the Scheme Administrator) to deliver an insurance-backed tenancy deposit protection scheme under contract from Communities & Local Government. Landlords and letting agents wishing to use this scheme are required to register with the Scheme Administrator. They can find out more and register by visiting www.mydeposits.co.uk. Registered members of the Scheme are able to protect and unprotect deposits at the beginning and end of tenancies. Fees are tax-deductible. In the event of a dispute at the end of the tenancy agreement, both parties are offered access to alternative dispute resolution (ADR). This procedure will be evidence-based, relying on documentation and records.