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Old And Working Doesn't Mean It Will Hold Up And Keep Working.

By
Real Estate Broker/Owner with KGC Properties LLC, Tucson Property Management & Real Estate

When a tenant moves out, security deposits and what you can deduct become a sensitive issue.

The main thing to remember is tenants are responsible for damage  -   but they cannot be held accountable for normal wear and tear.

And this is where things get a little confusing and "iffy".  Often I hear DIY landlords say, "It's old, but it works." Or, "Flooring is old and used, but it's holding up."  Which leads to a major source of conflict and judgment debate.

Most damage to property is obvious, but other things that fall into the "old but working" is subjective. Though not "exact" - here are some guidelines to follow when deciding whether it's a result of everyday use or damage:

Carpets. Normal wear and tear would include shoe marks and light stains.  If the carpet is light color - there will be more stains and marks.  If the tenant has been there many years, expect heavier stains and more marks.  Damage to carpet include (but not limited to) things such as pet urine stains, other sever stains such as paint, markers, tears, etc.

Pet damage.  First of all, charge a pet fee to offset damage - because there will be.  Damage includes chewed up walls, carpet, pet stains, dug up yards, etc.

Floors and hardware.  If floors were old and cracking to begin with - that has to be considered. Old doesn't usually make these items hold up better. If one or two tiles or vinyl were already cracked, chances are, several more will be. But if tons of tiles are cracked and chipped, or vinyl is heavily torn, that's damage.  Same with cabinet hardware or door handles and old appliances.  Simply said, don't charge tenants for items that are already nearing the end of their use.

Walls.  This one I narrow down easily:  if the condition of the wall needs repair (nail holes, holes, coloring marks, dark paint, etc.) - it's damage.  Furniture marks on walls,dirt around door handles, etc., normal.

Cleanliness.  It is unreasonable to expect that a tenant will return the rental to you in the exact condition they received it.  If it's cleaned, repairs made, no food in the fridge, etc., that's reasonable. As a landlord, you should expect to do more cleaning, painting and repairs prior to the next tenant moving in. But if you have to empty a fridge, scrub dirty baths, etc., charge for cleaning.

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Buying or selling Tucson real estate, Mt Lemmon, Tucson bank-owned homes, Tucson rental homes, or Tucson lease option homes? Visit www.KGCPropertiesLLC.com .

                                                 

 

This blog is written with my opinions and my opinions are  presented with accuracy but not guarantees. Please talk to a professional before making any real estate, financial or agency decisions.    Gabrielle Kamahele Rhind - 2014. If you want to reprint parts of this - just email me for my permission: KGCProperties@gmail.com .

 

Comments(42)

James Dray
Fathom Realty - Bentonville, AR

Morning Gabrielle congrats on the feature.  I'm old and still working but who knows when things will start to to function as they did in the past.  Wait a minute that's happening now.

Jul 26, 2012 09:08 PM
Travis "the SOLD man" Parker; Broker/Owner
Travis Realty - Enterprise, AL
email: Travis@theSOLDman.me / cell: 334-494-7846

Good article. The last paragraph pretty much sums up the whole issue!!

Jul 26, 2012 11:25 PM
Sylvia Jonathan
Coldwell Banker Platinum Properties - Irvine, CA
Broker Associate, SFR

Very good, practical and common sense advice to landlords.

Jul 26, 2012 11:30 PM
Lottie Kendall
Compass - San Francisco, CA
Helping make your real estate dreams a reality

Nice guidelines, Gabrielle - helpful to both landlords and tenants.

Jul 27, 2012 12:15 AM
Mitch Muller - Charlotte NC Real Estate
ProStead Realty Charlotte, NC CRS SRES mitch@prostead.com - Charlotte, NC
Certified Residential Specialist

Excellent post Gabrielle! Some really good points and tips in the comments as well.

Jul 27, 2012 12:51 AM
Jon Quist
REALTY EXECUTIVES ARIZONA TERRITORY - Tucson, AZ
Tucson's BUYERS ONLY Realtor since 1996

Good article. And as part of the move-in walk through, the DIY landlord could take a series of digital photos to be filed away, just in case. A picture is worth...

Jul 27, 2012 01:11 AM
Thomas McCombs
Century 21 HomeStar - Akron, OH

Landlording 101.  If it is not in writing it will not be enforced, and without pictures it is a "he said - she said" situation, which the courts will generally rule on in the tenant's favor.

Jul 27, 2012 01:13 AM
Lyn Sims
Schaumburg, IL
Real Estate Broker Retired

Good post for both landlords & tenants alike.  I will have to say though, there doesn't have to be any pet damage if the tenants really care.

Jul 27, 2012 02:20 AM
Terry McCarley
Coastal Real Estate - Cape Coral FL - Cape Coral, FL
REALTOR, SRES, CDPE - Cape Coral, FL

Tenants should take photos of any issues at time of move in so if something comes up at time of move out they have proof of the original condition.

Jul 27, 2012 02:35 AM
Evelyn Kennedy
Alain Pinel Realtors - Alameda, CA
Alameda, Real Estate, Alameda, CA

Gabrielle:

This is a good list for landlords to keep and review when a tenant vacates a property.  My husband manages our units and he is sometimes inflexible, but our tenants are good, so he tries to be reasonable with them.

Jul 27, 2012 03:21 AM
Liane Thomas, Top Listing Agent
Professional Realty Services® - Corona, CA
Bringing you Home!

some landlords forget they are supposed to allow for normal "wear and tear".

Jul 27, 2012 03:28 AM
Frank Cash
Frank Cash, Realtor (Sole Proprietor) - Kamuela, HI
RB, ABR, Ecobroker

Landlords need to understand that also that Carpet and or flooring has a useful RENTAL life. normal wear and tear is going to happen.  Carpets have a life of 10 years if well taken care of. One common method of calculating the deduction for replacement prorates the total cost of replacement so that the tenant pays only for the remaining useful life of the item that the tenant has damaged or destroyed. For example, suppose a tenant has damaged beyond repair an 8 old carpet that had a life expectancy of ten years, and that a replacement carpet of similar quality would cost $3,000. 20% of $3000 is $600.  same with paint. Flooring (for Rentals) is the same. Paint life is approx 5 years (its a gray area where as to how to prorate for repainting. )

Now on the otherhand if there was extreme flagrant negligence in the damage created by the tenant, one could argue that all damage will be tenants liability.

My key to good management is to screen out heavily the destructive irrisponisible tenants. One such tool I use is to not only call their last landlords (common practice)  but to physically visit the tenants last rental to check on condition. But this is hard to do if the tenant is out of state or out of the area.

Jul 27, 2012 04:11 AM
Tammie White, Broker
Franklin Homes Realty LLC - Franklin, TN
Franklin TN Homes for Sale

Gabrielle, I met with a possible client last week. They are currently upside-down. Rather than suffer the loss, they are contemplating rentling their home and moving out of state. I was shocked at the condition of this $800,000 home. They purchased it brand-new 4 years ago.

The wood flooring needs to be replaced in the entire house and some of the baseboards (doggy damage). The finish on the wood floors had been completely eaten off the floor. I wondered how something like that could happen. But within short order I saw a three-year-old spill apple juice on the floor and mom didn't even bother to wipe it up. She just left it on the floor.

They were thinking of leaving their living room furniture for staging purposes. The owner said he had purchased it three years ago and spent a lot of money on it but it was covered with stains from food, juices and even vomit. I suggested he replace the floors and remove the furniture rather than leaving it for staging.

If this is how they took care of this $800,000 home, I shutter to think the havoc they will wreak on a rental unit.

Jul 27, 2012 04:38 AM
Bob Miller
Keller Williams Cornerstone Realty - Ocala, FL
The Ocala Dream Team

Hi Gabrielle, I understand.  I am a landlord myself but sometimes wonder what a tenant is abusing.

Jul 27, 2012 05:16 AM
Bob Crane
Woodland Management Service / Woodland Real Estate, KW Diversified - Stevens Point, WI
Forestland Experts! 715-204-9671

Great posting Gabrielle, worth a reblog, a lot of grey areas in the deposit debate, best to be lenient unless something big comes up.

Jul 27, 2012 11:35 AM
Teri Clardy
Colorado Premier Staging, LLC - Littleton, CO
APSD Certified Home Stager Pro

Great points for landlords.  I am going to pass this on to my landlord customers.

Jul 28, 2012 08:41 AM
Marte Cliff
Marte Cliff Copywriting - Priest River, ID
Your real estate writer

My son had tenants from hell this last winter. They moved out with 3 days notice, but couldn't "quite" get out by the first of the month. Had only been there 2 months of a 3 month agreement (I know, he's easy.) Then they wanted their deposit back.

This couple left the place filthier than I could have imagined even a family with 4 kids and a dog could have managed in just 2 months. On top of that, they left trash in the garage, including some kind of old stove that had to be hauled away on a truck.

I don't know - I think I'd be embarrassed if someone had to come and scrub the bathtub and toilet after I moved out.

Jul 28, 2012 09:51 AM
John DL Arendsen
CREST "BACKYARD' HOMES, ON THE LEVEL General & Manufactured Home Contractor, TAG Real Estate Sales & Investments - Leucadia, CA
Crest Backyard Homes "ADU" dealer & RE Developer

Under pet damage. What about the tenant who continuously bathes his perpetually shedding dog in the bathtub thereby causing a major drainage stoppage and blames it on the sewer line.

Jul 29, 2012 04:14 AM
Nan Jester
Exit Real Estate Gallery Jacksonville Beach, FL - Jacksonville Beach, FL
Realtor, Exit Real Estate Gallery

If you properly vet the tenant, you will not usually have a home returned to you in an unreasonable condition. I have made this mistake to give someone a break and they broke me right back.  Just use caution on the front end for best results.

Aug 03, 2012 03:45 AM
Susan Neal
RE/MAX Gold, Fair Oaks - Fair Oaks, CA
Fair Oaks CA & Sacramento Area Real Estate Broker
When I was practicing law in Southern California, the courts often had me sit as a judge when judges went on vacation, or when workloads were heavy. I heard many unlawful detainer (eviction) cases, and the biggest fights were over the security deposits. The easiest disputes to resolve were the ones with before and after photos, and the most common damage was cigarette burns in formica countertops and carpets. I could tell you some pretty wild stories about some of what I heard from people though!
Aug 06, 2012 04:40 AM