Due to new legislation (Tenancy Deposit Protection) landlords can no longer make dilapidation deductions from the tenancy deposit without the tenant’s agreement.

The usual tenant argument: “it was like that when I moved in,” can be swiftly dismissed with a professional, independent inventory.

Furthermore, a tenant is more likely to look after the accommodation when party to a detailed professional, independent inventory.

In the event of a dispute over dilapidation deductions an adjudicator’s or judge’s decision will be strictly evidence based. In the absence of an inventory there is no evidence and therefore no claim and an order will be made to return the disputed sum to the tenant.

A London Inventories Ltd inventory is a legally binding document prepared by an independent professional inventory clerk and forms part of the tenancy agreement. It is not a legal requirement that the tenant signs the report, much the same as a structural survey report does not require a signature. The tenant is advised to check the inventory and is invited to challenge the contents there in. The Landlord’s legal position could be in jeopardy where the tenant fails to sign an inventory report when required to do so, regardless of the clause deeming the report as accepted within a certain time frame. It is preferable to have the tenant’s signature on the inventory, which can only be guaranteed by instructing a check in.

The condition of your property will deteriorate over time due to wear and tear. A check out at the end of a tenancy documents any changes to the inventory due to fair wear and tear as will a check in report on any subsequent new tenancy. Therefore, you do not necessarily require a check out unless you and or your managing agent feel that there are dilapidation deductions to be made from the tenancy deposit. A check in at commencement of the next tenancy will add, by hand, any changes to the existing inventory due to fair wear and tear with the ingoing tenants present as witnesses, who will agree the changes and sign the amended document, which will then be retyped for future use.

Where a check out is deemed necessary to support any proposed dilapidation deductions, one must also opt for a check in to document any improvements that may have been made since the check out ie. redecoration, new carpets etc in order to facilitate a re-let.

Why bother?