Many landlords will probably have experienced at some point damage to their property during a tenancy, often items such as appliances, carpets and furniture.
Thankfully many tenancies do end amicably with little issues relating to the return of deposits, and in the event of damage, agreements relating to the deposit are reached without the need to go to a settlement dispute.
However there are of course tenancies which result in a tenant vs landlord dispute relating to damage to the property. For example this could be when the landlord claims the carpet was unfairly damaged by the tenant and is beyond what can reasonably be considered fair wear and tear.
In this scenario, should a resolution not be reached between the tenant and the landlord, it will often go to an adjudicator who will consider a number of facts.
Considerations of Betterment
One area is very clear and that is landlords cannot gain from 'betterment'. In simple terms, betterment is where a landlord will benefit financially or be materially better off at the end of a tenancy as a result of damage and this must be avoided. This also leads onto an area called 'apportionment'. The whole meaning of apportionment will be for an upcoming blog article, but essentially what this means is the cost to replace or repair a damaged item must be appropriately divided between the landlord and the tenant. Misunderstanding this can lead to disputes at the end of tenancy.
Where an item has damage a landlord can claim an apportioned cost as compensation or use that portion to offset the overall cost of replacement. The cost to the tenant should be appropriate to the damage.
We'll give you an example. If a carpet cost, for example, £500 to lay and was new at the start of the property, the landlord cannot expect to be awarded the same amount after a four year tenancy where the carpet is used every day. This is because a number of factors are taken into account.
These will include the average lifespan of the item. If the average lifespan of the carpet is 6.5 years, and it has had 4.5 years use, then the landlord can only reasonably be expected to be awarded the monetary equivalent of two years, which is around £154 because the carpet has had 4.5 years use.
It is also important to note that other factors affect the lifespan of an item. A property with one tenant in would cause less wear and tear to a carpet than a tenancy with 4 people for example. A carpet in the hallway will have more use than one in a spare bedroom. These are factors also considered when it comes to fair wear and tear and preventing betterment.
There are very useful average lifespan guides and what formulas are used for property tenancy dispute resolutions on websites such as the TDS which are well worth a read.
Organising and ensuring you have a professional property inventory is a key tool in avoiding costly disputes between landlords and tenants. Speak to Valerien Property Services about all of our Isle of Wight inventory clerk services including property inventory and schedule of condition reports for the Isle of Wight, check outs, check ins, midterm/interim inspections and vacant property checks.
We also run a number of other services on the Isle of Wight including PAT testing, legionella risk assessments, floorplans and property videos. See our full list of services for the Isle of Wight www.valerien.co.uk/services.