A tenant is moving out. How do you handle the deposit?
Notice, inspection, deductions and a clean return.
Take the notice in writing, set the inspection before they have fully moved out, compare the unit against the inventory and the move-in photographs, deduct only what you can evidence, and return the balance with a written statement. Deposit disputes almost always come from missing evidence rather than dishonesty.
When should the inspection happen?
Before the tenant removes everything, not after. If you inspect an empty unit, they are not there to agree with what you found, and every deduction becomes an argument.
What you can deduct, and what you cannot
- You can: damage beyond fair wear, missing inventory items, a unit left unclean, unpaid utilities, rent arrears.
- You cannot: faded paint, worn carpet, ordinary marks of living there. That is your cost as the owner.
The steps
- Confirm the written notice and the move-out date against the agreement's notice period.
- Take final meter readings on the day they leave.
- Inspect with the tenant present, holding the inventory and the move-in photographs.
- List deductions with real costs. A vendor quote carries more weight than an estimate.
- Return the balance with a written statement, within the period your agreement states.
What UrusPro does for you
- A tenant can give notice in the system, so the date is on the record.
- A credit note returns the deposit or an overpayment, with a trail.
- Final meter readings close their last utility bill.
One expensive mistake
Holding back a deposit without a written statement. Even where your deductions are fair, with no itemised list it looks like you are keeping their money.