How to charge tenants for damages

[Matt Harris]

HI BP and everyone 

So I'm trying to figure out best way to charge back tenants for damages or fixes,repairs during stay that they caused. For instance a broken window in my case I provide most my own services and know some decently priced contractors if it's something I can't handle. my question do I charge a fixed price for all tenants based on repair service and material cost and offer a settlement guide as to general related cost at move in. or do I charge based on my own time which to me makes sense but what if they dispute bill or refuse to pay saying price is too high or they could do for cheaper. which for one never let a tenant make own repairs usually makes more work or could injure self and sue.But let's say tenant disputes charges do you then just remove from security deposit and let tenant take you to small claims court to dispute? my one experience in small claims court I had a move in inspection report with pictires ended up evicting tenant tried to claim damages at move out also with pictures for before and after. Judge sided with tenant claiming I made up cost of damages said I needed 3 contractor quotes as my pictures and evidence she refused to look at. so my other question is how do you handle maintenance and repairs if doing yourself do you tell tenants up front in lease of general fees or just send bill at time of repair based on what you see fair of which could be argued later on as biased since your making up the charges and doing work yourself,judge may side with tenant so how do you protect yourself. As a landlord that self manages whats the best way around this? as we all have to be paid fairly for our time who deems what's a fair price, I generally charge on the lower end anyhow but my time is money also and isn't free. thanks for any ideas or feedback  

[Thomas S.]

You must advise tenants when there is damage that they will be responsible for the costs. When this is the case you always hire contractors to do the work and provide the tenant a copy of their bill. If you do the work yourself a landlords time, in the eyes of a court, is worth nothing. Your time is simply part of your costs and not something you are entitled to compensation for. In this case you only bill tenants for the cost of material. 

It is the landlords decision and not something that a tenant can negotiate or dispute. Contractor costs or material costs, when the work is done by the landlord, are your only options that will always stand up in court.

Damage and repairs incurred during a tenancy is never to be deducted from the security deposit. Legally the deposit is only to be used at the end of a tenancy to cover repairs found at the move out inspection. 

When a tenant is billed for repairs and refuses to pay a landlord issues the tenant a pay or quit notice (whatever notice your state codes requires).

Your first/best option in the case of a tenant paying for damages is always for you to hire your contractors to do repairs. This should be your standard business practice.