I recently had a tenant express frustration over the fact that I wouldn’t come meet him to conduct a final move-out walk-through at the rental property. I’ve been moving tenants in and out of rental property in Austin since 1990, and I’ve learned a few lessons in doing so. One is that there is no upside for a landlord in conducting a final walk-through with a tenant. Only bad outcomes can occur.
Namely, the tenant is going to want you to affirm or state that everything looks “ok” and that they’ll get all of their deposit back. Nowhere in Texas Property Code is this sort of “instant accounting” required. You’d be a fool to agree to say something like that, because a lot of possible damage is not discernible on a cursory walk-through.
Just a few examples off the top of my head are flaes that haven’t hatched yet, carpet stains that were scrubbed invisible that morning but will re-appear tomorrow, the dirty A/C filter your HVAC guy could find sucked up into air intake cavity (as I encountered last month), pet odors that are masked at walk-through but which return in a couple of days, the cat hair blanketing the refrigerator coil, and a long list of other possibilities.
Therefore, even if I wanted to, even if the place appeared to be in great condition with no visible problems, there is nothing I could or would say to a tenant with regard to whether the home “passes” inspection or not. The reason the tenant wants the walk-through – to receive assurances – simply can’t and won’t be provided.
And then, as I learned in the old days when I thought it made sense to do a move-out walk through, an argument ensues. So I just don’t go there anymore.
To better and more fully see my position, there are a few things one must understand.
First, as a Property Manager and Agent, I work for and represent property owners, not tenants. I therefore have a fiduciary duty to protect the interests of my owners by not commiting errors in judgment that increase the owner’s legal exposure and potential liability.
Second, Landlords, as a business class, are sued more than any other type of defendant in small claims courts in America. Most of these lawsuits are about deposits and deductions that were made after move-out. Knowing that, a prudent landlord will always operate from a careful defensive position, remaining fair to the tenant, but not accomodating risky requests such as personal move-out walk-throughs.
The best defense against lawsuits is a well documented accounting of what the specific deductions were and why the deductions were fair and justifiable.
The best way to end up with that type of documented paper trail, which can easily be handed to a JP Court Judge as evidence, is to employ a consistent and static turnover process that removes as many variables as possible. Of the many different variables a landlord might have to contend with in defending legitimate deposit deductions for damages and/or cleaning, the very worst and most problematic ones are the “He said, She said” type, where the landlord is placed in a position of having to refute things that in fact were never said, or that are being mischaracterized by the tenant.
And, finally, the best way to avoid “He said, She said” debates, is to simply not say anything in the first place. Instead, reduce all communications to documented written steps and stages so that when (not if) you do end up in court someday with a tenant, you have a nice packet of printed and easy to understand paper trail evidence that represents all communication that took place.
The very dumbest, worst thing a landlord can do is spend 30 minutes or so walking around a house with a departing tenant, trying to respond to comments/questions from the tenant such as “does everything look ok”? “So, we’ll be getting all of our deposit back”? “When will we be getting the deposit”? And my favorite, “it’s cleaner than when we moved in, so we expect all of our deposit back”. You have lost control of the entire process as soon as you allow that to happen, and you have to assume that every utterance you make can and will be misconstrued and mischaracterized later if you end up in court. So just don’t go there.
I’ve accounted back the deposit for thousands of tenants in almost 20 years of owning and managing rental homes in Austin. I’ve been to court a total of three times and have prevailed 100% all three times. No tenant has ever convinced a judge that I’ve ever done anything wrong. My process works for me and protects my owners.
A Well Documented Turnover Process
The turnover process begins at the moment written notice to vacate is received from or provided to a tenant. Instantly, upon receiving a move-out notice, I mail to our tenants a two page set of instructions documenting everything they need to know and do in order to have a successful departure and deposit refund.
Move-out Acknowledgment and Instructions
This sets expectations and clarifies for the tenant what was agreed to in the lease agreement and the process that will be followed.
After the tenant’s departure, I walk through the vacant property and check it out. Then I have a 150+ point preventative maintenance checklist that will be conducted and which will reveal problems or issues not readily apparent during a cursory walk-through. Only after this full and thorough evaluation of the property can a final assessment be made as to whether or not there existed damage beying normal wear and tear that needs to be charged to the tenant deposit.
Conclusion: You control the process, not the tenant. Don’t have casual conversations about the deposit or condition of the property. Don’t attend a final walk-through. The tenant is free to take hundreds of digital photos, videotape, etc. if they want to document the final condition. You don’t need to be there. Keep everything in writing, stick to the process and don’t subject yourself to exposure or risk that Texas Property Code does not require of you.
Finally, be fair with the deposit, don’t be greedy or heavy handed. Be firm but fair. Remember you might end up in court defending yourself and judges do give the benefit of doubt to tenants. Don’t be an idiot and get dragged into court over something that could have been avoided had you not been petty or greedy.
{ 35 comments… read them below or add one }
You’ve got a typo in 3rd para 1st line on ‘why I never do a move out walkthough.
‘flaes’ s/b FLAWS
i just ran this articel though words spellig check… it turnd up 5 mis-speled words…
soon as i have the time.. i’ll run the rest of steves blogs… i shudder at wehat might come up…
Though I agree that a walk-through should never be about confirming the return of a deposit, I have to disagree that they are not important enough to push through. Instate a policy about discussing the deposit during the walk-though if you must.
The walk through should not be a time for the tenant to get the landlord’s approval. It should be a time to 1) discuss any problems that have not yet been addressed or have been discovered during cleaning and 2) for the landlord to point out to the tenant anything that the latter might have missed but would drain the deposit. That is, it’s a final chance to bring it up to the landlord’s standards. What is very obvious to you as a landlord, a tenant might be completely oblivious to.
In my state, CA, (and my previous state in New England), a final walk-through is a legal requirement.
> That is, it’s a final chance to bring it up to the landlord’s standards.
Hi Roxanne, unfortunately I can say without reservation that such an accommodation would result in nothing but trouble for a landlord. It’s human nature to debate and argue. A 2nd chance would turn into a third, and this would be a no-win for the landlord.
Most of the failed move-outs I see are not even close calls either. They are home that have obviously received little to no effort.
On the sales side we have the same problem, though sellers usually do a pretty good job of leaving a clean home for the new owner to move into. Nevertheless, we write into all sales contracts for buyers that “seller to have home and carpets professionally cleaned prior to closing”.
Steve
Wow. If a carpet stain is scrubbed invisible one day only to reappear after the tenant has moved out, it could safely be assumed that “you”or your guest made the stains, not the tenant.
I am a landlord and as such have to say that your “faulty logic” gives us all a bad rap. I will always give the tenant an opportunity to accompany me on my final walk-thru. What’s there to hide from the tenant? Be thorough and you won’t need to do anything on the sly.
Hi Gina,
Thanks for your comments. Check with your carpet person about the issue of returning stains. This is a common, known problem.
You are free to run your landlord business as you see fit, and I won’t argue with you. I can promise that your method, if applied to 2,000+ move-outs, would cause major headaches and you’d soon change your mind. Dealing with one property and a move-out every 2 or 3 years won’t expose you fully to the validity of the rationale, until you encounter that one pita tenant who changes your views (and your policies) forever.
Good luck on your walk-throughs!
Steve
I so understand your thought process. I’ve been doing final walk throughs and it becomes an argument. Tenants are ticked off when I point out things that are not done and the argument begins. Stress that I do not need…
I never used to do them and then started for some reason. Perhaps I read that I had too. My property is in Minnesota. Does anyone know if I have too? I’m sick of it and I don’t care to do final walk throughs anymore. My lease is very clear about my expectations and I am very clear when tenants move in.
Hi Mary,
> My property is in Minnesota. Does anyone know if I have too (attend walk-through)?
Check your state/local laws/ordinances. You could probably just call a NARPM property manager and ask. http://www.narpm.org.
Thanks for your comment.
Steve
Wow, Steve. You read my mind. I’ve only done walkthroughs a few times, but that limited experience has told me I simply don’t want to do them, EVER.
Every time, tenants argue about everything. EVERYTHING. They throw every excuse in the book at me. They say ANYTHING. I was about to undertake the policy of refusing to do it simply because I do not want the agony of dealing with a 30-60 minute argument over something that is, inherently, not subjective:
1) Was it there when you moved in?
2) Does it fall under the definition of “reasonable wear and tear”?
No, and no? Simple. You get billed. Shut up.
It seems like renters often are people who are incapable of reading or understanding leases, and beyond that, are people who are incapable of grasping a basic sense of responsibility for what they’re paying for. I think that they think I’m getting rich off of them, but they don’t see the cost of vacancy, repairs, updates, and property tax.
Hi Joey,
Thanks for the vote of understanding! Sounds like you’ve “been there, done that”.
Steve
I only wish I would have seen this article a month ago!! My husband and I are military and are renting our house in Texas out to other military… I recently check out the second set of renters we have had, yikes!! they were given a copy of the cleaning list when they moved in so that they could use it as a reference for filling out the move-in condition sheet and where told that those where the things we would be looking for when they moved out, I also gave them a copy the day after they gave us their 30 day move-out notice and told them that they needed to have all of it done before the walk-thru and they even had two extra days to complete everything. When I began the walk-thru (the first one I had ever done, the first renters we had left before the walk-thru could be done) I started to point things out and they began to get extremely defensive and started giving me every excuse in the book as to why they didn’t have time to do it all. On top of not cleaning the property, they painted with an unapproved paint color and did a terrible job and neglected the front garden to the point where I had to pull out all of the bushes and plant new ones in order to bring it back up to HOA standards… we withheld most of their small deposit (less than half of one months rent) and now they are threatening to sue us… ugg… they are trying to say that I made an agreement with them during the walk-thru which is NOT the case!! I just stopped pointing things out and started writing things down because I didn’t want to get into a confrontation with them… I was there by myself and it was two against one. :/
In a world full of slum lords who refuse to fix anything but call you before your rent is even due and you have never missed a payment. Things from the former tenants stay where pointed out , documented date upon move in with said LL, which we both had copies. But nothing had ever been fixed. To not have the courtesy to walk through YOUR property shows how much you actually gave a crap your property and your greed in wanting to keep your tenants deposit. Before you rent ask your LL if he does a move in and move out walk through, get it in writing. If he refuses look for another landlord because that says a lot about what kind of ignorant, careless person you will have to deal with for the duration of your stay in their dwelling. Finally, your article does not entice anyone to set foot on your property because you clearly show that it is only important to you when it comes to returning the deposit that you surely want to keep. It’s always good business to form a good relationship with your tenants and have everything in writing so that there are no arguments when your tenants vacate. As a person who has had to take said slum lord to court, I was smart enough to keep everything documented , dated photos, saved emails and certified letters and most importantly a few professional acquaintances, one who is also a Realtor as my witness to assist me in the process when the landlord refused to walk through with me, the guy got slammed and I got my money back. The lesson here… do a walk through with your tenants…the small headache you get is worth it if it keeps your but out of court.
Hello,
As landlords, my husband and I abide by California law which requires the final walk-through. It may not be required in your state but really opens you up to litigation. Also, as one poster remarked, it doesn’t make for a strong tenant-landlord relationship.
You are obviously a slummy landlord.
Hi Jasmine and Alice,
Thanks for your comments. You’re certainly welcome to run your landlording business a different way once you acquire some rentals of your own. How I handle move-outs with tenants is a tried and tested business decision, and it’s fair for to tenant, as explained in the article.
But thanks for your feedback.
Steve
While Texas may allow you to conduct business that way, you should alert your readers to the fact that in many other states (e.g., California), it is illegal for a landlord to fail to notify the tenant of his or her right to a walk-through, and it is illegal to refuse to conduct such a walk-through.
As a practical matter, I suspect that the way you deal with your tenants in the long run saves you money, because most tenants are ignorant of their rights and get intimidated by classic unethical practices like restrictive endorsements (e.g., “by cashing this check I agree…”). Your readers should know, however, that at least in states in which landlord-tenant laws are fair, that in individual cases where the tenant presses his or her rights, a court can and often does award substantial punitive statutory damages, sometimes up to double the original security deposit amount (in addition to the security deposit itself).
Tenants are always at a disadvantage in these kinds of conflicts, because the landlord is holding their money (and as you well know, a security deposit belongs to the tenant and is held in trust by the landlord), and for financial reasons they have to give in to landlords’ demands. Don’t get me wrong, I know that some tenants are out to rip you off, but you act like they all are. You may make a few extra bucks conducting yourself this way, but your priority seems to be to retain the largest amount of money possible, rather than making sure the right thing happens, and frankly, that is why so many Americans regard business practices like those you advocate as slimy and unethical. You really make good landlords look bad.
I don’t think anyone here that advocates against walkthroughs is trying to squash or even chill tenant rights. You’re barking up the wrong tree.
The potential of a tenant being awarded 3-6x damages, the necessity to prove such damages were real, and the hassle of court are enough to make any ill-gotten gain be not worthwhile. What we are talking about here is the reality that the vast majority of tenants will never admit to you that there is any damage. Infact, they will argue with you. A lot. At this point, even if you go back to your photos and documents and can prove the damage, you’ve riled them up. Now they’re fired up and when they get that deduction, I personally believe they’re going to argue more. My best tenants ever turned nasty when I pointed out a few minor things. And that was even prefaced by “I’m not going to charge you for this”.
If I were forced to do a walkthrough, I would make it so brutal the tenant would leave early on their own. Why should I be held to that which I spot immediately, under pressure, under certain lighting and conditions? I’d get out pictures, carefully examine the place, and so on. What about the urine smell in the carpet that is not evident until you clean–but once you start doing so is unbearable? What about scratches and gouges on expensive wood floors that aren’t immediately obvious, but once you see them, you see that they’re all over the place and show an obvious carelessness, and constitute significant damage? Oh yeah, I’m the scumbag.. right.. but the tenant who managed to puncture a laminate floor in 7 different places–they’re the poor, oppressed tenant that I’m taking advantage of. Yeah, I’m what’s wrong with America. Do you have any idea how difficult it is to puncture a well made laminate floor? That’s not even in the class of accidental damage. That’s deliberate damage.
Hi Paul,
> You may make a few extra bucks conducting yourself this way
Property Managers don’t “make” any money on repairs. We only deduct for legitimate damages. The entire balance is returned to the departing tenant.
I have a lot of property manager friends in California. It’s hardly a model of sanity. It’s the joke of our nationwide email list-serve. The laws there are so pro-tenant it’s ridiculous. And despite that, based on the war stories shared on the list-serve, the tenants there have the biggest chips on their shoulders and complain more than in any other state. Which really just proves my point. No good deed goes unpunished. The more accommodating and “nice” landlords are, the more complaining and flack they receive at move-outs.
Texas has sensible, fair laws that balance landlord-tenant rights. Nowadays, every tenant can take a gazillion photos before move-in and at move-out to document condition. Texas has a triple-damage law for unlawful withholding of deposits, and JP Courts are very accessible and easy to use. There is nothing a Texas tenant can hope to gain by trying to pin down a move-out assessment at an attended walk-through. They just need to follow the lease and Texas Property Code and their rights remain fully intact.
Steve
You know, I think the positions people take here reflect the situations they have been in more than anything else. As landlords, you take note when tenants try to screw you. You might be totally ethical business people, I don’t know you, but if you think that landlords don’t routinely try to screw tenants, you just don’t know. I’m not saying all, or perhaps not even a majority, but a substantial percentage of landlords do whatever they can to deprive tenants of their rights. In some areas it is gray, but in others it is black and white.
I had a landlord in Los Angeles once try to not pay any interest on my security deposit — something required by law in Los Angeles, and where it isn’t prescribed by law, it is certainly the only ethical thing to do, for obvious reasons. When I pointed out the law, the landlord with a straight face said “oh that doesn’t apply.” The same day he was served, he wrote me a check.
People, whether landlords or tenants, can be evil. I’m sure not giving your tenants walkthroughs saves you money, and you might very well be relatively honest in your dealings with your tenants. But please don’t pretend that there isn’t a substantial amount of fraud, charges for ordinary wear and tear, repainting charges after a tenant lived there for 10 years, etc., and that not giving a walkthrough is a strategy used by unscrupulous landlords to facilitate fraud. It happens all the time. You might not care since you’ll never be on the receiving end, just like people who aren’t landlords might not be very sensitive to the terrible things tenants do, but if you deny that it happens on a regular basis, you are out of touch.
Far more leases are breeches by tenants than landlords, mainly for non-payment of rent, skipping out early, moving people in who are not authorized by the lease, bringing in unauthorized animals, etc.
Do some landlords try to screw tenants out of deposits? Of course. But if you’re trying to make the argument that the typical American lease contract is violated more by landlords than by tenants, the actual facts say otherwise.
But this article was simply explaining why we have this particular business practice and why it makes sense to do it our way. Any landlord is free to do it differently, but in Texas, a tenant in fact has no right to a move-out walk-through and it would serve no useful purpose if they did. That’s the point I’m making.
Steve
This is simply put an easy way to have to provide justification and/or the tenant with an opportunity to repair any supposed damages. The fact of the matter is that Texas needs to provide more legislation around renter’s rights… i.e. Landlords should have to pay interest on the balance of the deposit retained over the 30 days post vacation. The fact of the matter is that Real Estate agents that handle rentals, only do it to supplement their income… and because its harder work with a lower pay off… they simply see tenants as a nuisance. Most Real Estate agents are not properly trained or qualified to be in the business, and are very disorganized. That is the main reason for avoiding direct interaction with the tenants. It simply results from a lack of planning, a clear exit strategy or process. Because of that lack of preparation it causes delays in doing the “walk though” (which many don’t happen at all)… and even further delays in refunding the deposit. Deposits are simply put… NOT OPERATING CAPITAL… they are monies held in lieu of “damages”. The definition of which will continue to be subjective (based on the Landlords opinion only) until there is sufficient regulations in place to protect people from LAZY Realtors.
Hi Joe,
Paying interest on deposits is done in some states, but not all. It’s a huge hassle, especially for the software makers and also when the agreed rate (as prescribed by some states) is higher than the rate paid by the banks who hold the actual deposit funds.
> Most Real Estate agents are not properly trained or qualified to be in the business, and are very disorganized.
I agree. Those of us who have been professional property managers constantly encounter part timers who have no idea how to run a management company. The serious property managers belong to NARPM (National Association of Residential Property Managers) and obtain professional designations such as MPM (Master Property Manager).
Thanks for your comments.
Steve
Perhaps a middle way that would help both parties would be to do a non-binding walk-through. I understand the arguments here against binding walk-throughs (basically, hidden damages that surface later) — but often tenants just would like to know what they need to address. If the walk-through isn’t binding, and everyone is very clear about it, it gives the landlord an opportunity to point out some of the things the renter should fix before moving out, which has to save everyone money.
The law in Los Angeles is basically this — landlords are required to do walk-throughs if requested, but they are allowed to make deductions from the security deposit for damages that weren’t visible or apparent during the walk-through, either b/c furniture was in the way, or because it was temporarily concealed by a cleaner but clearly visible after.
I know this might seem like a hassle, and it might be personally annoying to deal with combative renters, but if everyone is very clear in advance about the non-binding nature of the walk-through, there isn’t any reason why the tenants would be combative, since knowing it is not binding, they will only request it if they genuinely want some direction (rather than trying to lock the landlord into agreeing that the tenant isn’t liable for anything not seen in the walk-through).
Besides, if a hidden smell or something comes up after the tenant moves out, what are they going to say, that the landlord intentionally damaged his/her own apartment so that he/she could deduct additional damages? In any event, it won’t matter b/c there is no legally binding document.
As for Joe’s comment about interest on security deposits — this is obviously right, and is I think a clear litmus test to see whether the landlord is acting in good faith. I’ve lived in several different states (military), and wherever I go, whether it is required by law or not, there are honest landlords who will pay interest on security deposits, and I would never agree to lease from a landlord who won’t. The deposit is the tenant’s money, held in trust to cover damages. If the landlord is going to use that money in the meantime either as an investment or to facilitate operations, the tenant is ethically and in many places legally entitled to interest. That being said, if the landlord chooses to invest the money, he/she shouldn’t be forced to pay any more than the actual interest earned. But I think everyone can agree that it is a common sense good faith practice — I’ve never heard an explanation for why the landlord shouldn’t pay interest, though if I’m not seeing this properly, I invite someone to explain the justification.
> I’ve never heard an explanation for why the landlord shouldn’t pay interest
Well, no Texas Landlord I know of pays interest. We’d have to send a 1099 to the tenant for interest earned, plus other regulatory hassles, not to mention the difficulty of tracking this without special software. Some professional property managers manage 100s of tenants and the reporting and compliance costs would be higher than the interest amount earned on the deposit. Then you have the small mom and pop landlord who owns only one rent house and isn’t equiped to deal with the reporting burdens.
It’s nothing to do with fairness or ethics. It’s simply a needless burden on business which would cause more trouble than it solves. It’s the sort of “feel good” law that is now driving business away from California to Texas, by the droves.
Luckily Texas leads the Nation in NOT imposing this sort of nonsense on business owners.
Steve
REPUBLICAN much??laziness is a character flaw and can’t be legislated… I agree with you there. A manlier should have no right to earn interest for monies held in trust… period. When a security deposit is required… it is required immediately… and should be refunded with the same haste. If the walk through is done properly and by a qualified individual… there wouldn’t be these suspicious “after the fact” issues. Many properties rent the day after a tenant moves out… so a walk through would make sense and avoid needless finger pointing. STOP being lazy… and do your job!
Well, Joe, all I can say is that if/when you own your investment properties, you can differentiate yourself from the competition by offering instant deposit refunds with interest.
I simply spelled out why I do it the way I do. It’s a business decision and it’s a fair and reasonable approach.
>It’s nothing to do with fairness or ethics. It’s simply a needless burden on business which would cause more trouble than it solves.
I agree that if you had to track it like you say, it would be a pretty cumbersome hassle (though I don’t know if it would be as much trouble as you describe if you just put every tenant’s deposit in a separate savings account and passed on the tax liability to them). But, I don’t think that is really necessary, as you could just set an interest rate and then just multiply it by the amount of the deposit and then time it was held. In Los Angeles, the interest rate for 2011 is .29% — so if the deposit is $1000, that’s less than 3 dollars a year (and negligibly more if you compounded it continuously, though that would be above and beyond). In terms of costs, it is extremely trivial, but it is a matter of principle and, at least for a certain population of potential tenants like myself, it is a way to compete against other landlords. For me, it isn’t about the savings– it’s a cue I use to help predict how fair the landlord is going to be with me. In that respect, it works better in places where it isn’t legally mandated, as it is then that there is an opportunity to use it to distinguish between otherwise equal potential apartments.
I’ve never lived in Texas and it may be so alien there that it wouldn’t make a difference, but I dunno, I think the cost is so low that it is a basically free advertisement. And if/when there is a conflict with a tenant, if the tenant thinks you are being fair, they are probably going to be a little more reasonable (speculation on my part since I’ve never been a landlord, but it seems logical).
Anyway, just a thought.
Hello: I see this is a little bit old but I am wondering if you or any of your readers, would share your ‘checklist’ of things you check after the tenant has vacated?
The laws regarding landlords and tenants vary from state to state, and are also subject to various local ordinances as well. I find your advise very sound and prudent, but it may not be applicable to all Landlords. In my state and in accordance to local ordinances, a Landlord is required to return the security deposit within 45 days after a tenant vacates, and itemize all amounts withheld. There is no legal law or ordinance here that requires a landlord to agree to providing an exiting tenant with a walkthrough.
That said, in this current economic crisis, I know more landlords who have ended up losing their rentals and even filing bankruptcy due to the difficulties of evicting nonpaying tenants. To avoid the time and expense of the eviction process, we do whatever it takes to mitigate our damages, up to, and including letting tenants out of their leases early without penalty, and even refunding at least a portion of their security deposit upfront, in return for leaving voluntarily without forcing us to take them to court.
It is far cheaper to buy a $15 gallon of odor remover, and dump it on the carpet ourselves, than to hire and pay $1,000 to an attorney to defend against a tenant lawsuit. I can vaccum the cat hair off the refrigerator coil in a couple minutes for free. If we ever tried withholding any portion of the security deposit for anything like that, I have no doubt that the tenant would prevail in court because the laws here prohibit landlords from with holding any portion of the security deposit for “normal wear and tear.”
Under that same principle, if the tenant tore great big holes in dime store linoleum, they might also prevail in court, because they could argue “normal wear and tear” for crap material. Instead, we use an extremely high-end wood grain laminate that is made out of rubber, waterproof and designed for heavy duty industrial traffic. We haven’t had a tenant yet who’s managed to find a way to damage it, but if one ever did, its just snapped together, so individual pieces can be easily and cheaply replaced. We also spend the extra $5 per gallon for the expensive paint, that cleans up easily with a “magic eraser”, and don’t use $10 faucets that are bound to break in rentals.
Rather than nickel and dime departing tenants over the security deposit, we cover our costs by charging a higher monthly rent than most other landlords in our area. We don’t have a problem renting out our properties because tenants can see the difference in the quality, practically the second they walk through the door. It also helps attract higher quality tenants, who would not want their credit harmed by an eviction and unpaid utility bills.
Basically, we automatically build an extra $50/month into the rent, to cover the costs of cleaning and repairs, which amounts to $600 over the course of a 1 year lease. As long as any damage does not exceed that amount, we refund departing tenants security deposits in full.
Steve is on point. I have seen a carpet stain “clean away” by a reliable professional carpet cleaner. I was very happy and the new tenant was very happy. (The next day I received a call that the carpet stain “reappeared”.)
Hi Steve,
this is such a timely find for me. My tenant is threatening filing a complaint as she does not agree with my reasonable charges for the damages. I have one question. If the tenant fails to submit move-in condition report (within 7 days according to my lease terms), per property code, it is deemed that the property is free of damage. She submitted the document 20 days after move-in. In this case, do I have the right to assume everything was ok without a written statement letting her know at the time of move-in.
She is disputing items that are clearly not marked in move-in report. However, i want to know if not turning in report within specified limit in the lease nullifies her claims. I appreciate your insight.
thanks,
Sue
Sue,
Since any dispute would ultimately be in JP Court, you’d be at the mercy of the particulat JP Court Judge (assuming you are in Texas). The Judge may or may not care about the move-in condition turn-in timeline, so I’d show up prepared to argue on the merits, as if the move-in condition form had been turned in on time.
Steve
Thank you for your prompt response. what happens if the property is in texas, tenant moved out and i am out of state??
Sue, you’d have to hire an attorney to represent you or come into town for the court hearing. You’d need to weigh those costs against whatever the disputed amount is. Sometimes it’s best to just settle for small amounts.
Steve
Hi Steve,
Do u have any attorney(real property law) recommendations in Austin??
thanks,
sue.