Landlords should complete a property inventory at the start and end of each tenancy. We create professional inventories for fully managed and rent collection landlords that have selected it as an optional extra. What is a property inventory, and what is its significance?
Property inventories explained
An inventory is a report that documents the condition of a rental property and its all its furnishings.
An inventory report will document every item in the property, room by room, detailing all its features (doors, windows, walls, etc...) and all its furnishings. It will clearly state what they are and the condition they are in, noting any damage.
Stronger property inventories will also feature images to support the written aspects of the report.
The purpose of creating a property inventory is to create a record of the state the property was in when the landlord handed over the keys to the tenants, and vice versa at the end of the tenancy.
The importance of a robust property inventory
The rental property inventory can be used to support deposit deductions. If an item is damaged during the tenancy and the tenant is liable, the inventory will act as evidence to support the landlord's claims for deposit deductions.
Deposit deductions cover the cost of repairing or replacing items that have been damaged by the tenant during their let.
A proper inventory report will also protect the tenant from landlords making unsubstantiated claims. Ideally, the inventory report should settle disputes between the tenant and the landlord over deposit deductions.
Our rent collection and fully managed landlords can get professional inventories created for them as one of our optional extras. Take a look at our services for landlords today.
Creating a robust property inventory
You should let a professional agent, like Reeds Rains, manage the creation of property inventories for you. That way you can rest assured it's detailed and foolproof. Find out more about our landlord services here.
To create a property inventory you'll need a document. There are inventory templates you can find online, or you can create your own. There are also inventory apps and services, but they generally come at a cost.
Photography can help make your inventory stronger by supporting your written claims with clear visual evidence, so use your phone to take photos of each item as you inventory it.
Be methodical with how you fill out your inventory. The best practice is to go through the property one room at a time, filling in the form one row at a time, item by item. Remember to include the exterior of the property in your inventory, including details such as the garden, a shed or outhouse, the bins, etc...
In the first column, simply name the item. You'll have an opportunity to add more detail later, so keep this short.
Next, rate the quality of the item. This is just a general indicator as you'll be detailing specific damage later. We recommend a general system, such as ranking an item as poor, average, good, great or new.
In the next column, you can now describe the item and detail any damage. If there is no damage, you should note that it's undamaged. For example: 'Metal bed frame, one broken slate, marked to side'.
Finally, support what you have written with photographs. Take photos of the item in it's entirety, and then take close ups of damage. Put these photos in the last column of your inventory if you are filling it out digitally.
It takes time and patience to create a complete inventory at the start and end of a tenancy. If you aren't attentive throughout you could miss details that could be vital to later deposit deduction claims. Let our local experts create a robust inventory for you with our services for landlords.
At the end of conducting an inventory you should always back up your report. You will need the report at the end of the tenancy so it should be stored safely. If you have any questions about conducting inventories, you are welcome to contact your local lettings experts for advice.
Is your property being let for the best price possible? You need to keep your monthly yield optimised to ensure your investment remains profitable. Book a free lettings consultation to find out how much your property could be let for.
Reeds Rains E-marketing Executive
