ULTIMATE LANDLORD GUIDE

Rental inspections

The purpose of doing an entry inspection

The (RHA) Rental Housing Act requires that a joint inspection between the tenant and the landlord (or agent) be conducted before the tenant moves into the property.  The aim of the inspection is to record the condition of the property and the existence or not of any defects or damage, as well as to determine the landlord’s responsibility for rectifying said defects. The landlord is only required to rectify items that will impact  the beneficial occupation of the tenant. The tenant cannot be held liable for items registered on the defects list (usually called an entry inspection) when the lease ends.
DID YOU KNOW that if a joint entry inspection is not done in the presence of the tenant at the start of the lease, this is deemed to be an acknowledgement by the landlord that they will have no claim against the tenant for any damage caused to the property at the end of the lease. At Etchells & Young we utilise comprehensive online property inspection software that was specifically developed for rental property inspections. Making it a lot easier to compare the entry and exit inspections, which is an integral part of managing the property rental and the tenant's deposit.
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Purpose of the exit inspection

The purpose of the exit inspection is to determine if the tenant caused any damage to the property during their lease period.  The approach during the exit inspection is simply noting the condition of the property at the time of the exit. Either the stove is clean or dirty. The carpets are clean or not. That window has a crack or it does not. That light bulb is working or not. The walls have stains or they don’t. The tenant will sign the document upon inspection and the entry and exit inspections will then be compared to make a list of defects that have occured during the lease period.

Fair wear and tear vs damage

Items damaged as a result of fair wear and tear are for the landlord’s account. Fair wear and tear is defined as damage to an item over time due to the normal or ordinary use of that item, or normal exposure to the elements or nature. As a rule, the tenant is responsible for any items that need to be cleaned or are damaged (not as a result of normal use) either deliberately, accidentally or negligently. The RHA (Rental Housing Act) specifies that the cost of repairs done by the landlord, using the tenant’s deposit, must be “reasonable”.

Handling repairs due to damages

Should there be any damage caused to the property by the tenant at this point (the exit inspection), the tenant has effectively waived their rights to receive quotes or to do the repairs themselves. The tenant has the right to see the receipts or invoices of the actual cost of repairs that the landlord has done. The landlord cannot withhold any money for damages if the damages are not actually repaired. The tenant's deposit may only be used if the landlord has incurred the cost of the repairs that need to be done. The deposit plus interest can now be used to pay for any repairs that the tenant is liable for (if any), and the balance must be refunded to the tenant in terms of the timelines discussed in the deposit section.

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