Why incoming and outgoing inspections are vital for landlords
Category Rentals
Landlords often mistakenly think they can simply make deductions or withhold the rental deposit in lieu of repairs or damage. It is unfortunately not that simple and the tenant can take the matter to the Rental Housing Tribunal.
Without formal incoming and outgoing inspections, it may be difficult for the landlord and tenant alike to prove their case. In fact, once the Rental Housing Amendment Act 35 of 2014 comes into full operation, it will include consequences for landlords and tenants around the condition of the property and rental deposit.
Legal compliance is vital. At Seeff, we have formalised processes aimed at protecting the landlord and tenant. Inspections must be done prior to occupation and again after the tenant has moved out and the house is empty. They should be in writing, contain a full condition report, be signed by both the landlord (or agent) and tenant and annexed to the lease so that there can be no misunderstanding about the property's condition.
Incoming inspections
These must be done prior to, or on occupation day. A checklist is vital, and the property must be inspected room-by-room including garages and outbuildings and the garden. Every aspect should be checked including fittings and furnishings (if furnished). The reports must be signed by both parties and annexed to the lease agreement. The property is then handed over in the agreed condition.
Repairs and upgrades should be done before occupation and inspection so that nothing is left to be done. Everything should be fully functional and inn working condition. The property should be thoroughly cleaned, carpets, curtains and blinds steam cleaned, and the garden and pool cleaned. All refuse and garden rubble must be removed, and a clean bin left for the new occupant.
Outgoing inspections
These should be after the tenant has moved out of the property, or on the last day. The tenant must start preparing the property for handover before moving day so that there are no issues left undone. This includes removing all nails, filling the holes and painting the property. It must be thoroughly cleaned including scrubbing the kitchen, bathrooms, all cupboards and floors, all light fittings, windows, doors and walls. Carpets must be professionally cleaned and an invoice must be presented of such. If there were pets, the property should be fumigated.
Everything should be in full working order, from the taps, stove and lights (with new working globes) to the geyser, pool pump and garage doors, and two sets of working keys and remotes must be handed over. All garden refuse and rubble must be removed. The property must be handed over in the same condition as it was upon occupation and agreed in the incoming inspection. Failing this, the tenant runs the risk of the costs of repairs being deducted from their deposit.
The rental deposit
The tenant's deposit must be placed in an interest-bearing account and repaid (with interest) at the end of the lease. The landlord may deduct the reasonable costs as per agreement with the outgoing tenant in writing to restore the property as guided by the incoming versus the outgoing inspection. The deposit must be refunded within 7 days. Should there be items needing repair for damage caused by the tenant, the landlord has a further 7 days to get quotations on repairs needed, then return the rest of the deposit to the tenant within 14 days. A landlord may NOT use the outgoing tenant's deposit to do general maintenance on his property. This is illegal.
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Author: Gina Meintjes
