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Updated over 11 years ago on . Most recent reply

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9
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Burke B.
  • Investor
  • Newport, RI
1
Votes |
9
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Tenant Chargeback?

Burke B.
  • Investor
  • Newport, RI
Posted

Good Friday All!

I have a land lording question. I turned a primary residence in another state into a rental last summer. Since out of state and new to land lording, I turned property management over to a PM. Our first tenant from last summer just vacated at the end of their lease. PM said that the tenant left the property in exceptional condition. However, there were a few items 1) there was a light stain in the master that neither my wife and I remember or that the PM caught upon assuming responsibility when we left. We believe it to be new but admittedly could have all missed it. Carpet cleaner got it out but at a $75 cost. 2) there was some small "dent" damage to a wall in a spare bedroom that we are certain was not there before. Repair estimate is $100 plus paint. Easily fixable if I weren't 8 hours away but I am.

Would most of you experienced landlords charge this stuff back to the tenant or would you give them some slack and cover as a part of doing business because of leaving the rest of the house in such exceptional condition otherwise?

Thanks!

Burke

Most Popular Reply

User Stats

988
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258
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Tom Goans
  • Real Estate Investor
  • Englewood, CO
258
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988
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Tom Goans
  • Real Estate Investor
  • Englewood, CO
Replied

Burke Bristow,

No, in your case, it is a waste of time attempting to charge the tenant for the damages.

Primarily, you have no proof the tenant caused the damage. If the tenant challenged your claims, your recourse is in front of a judge. The judge will insist you prove your claim. If you deducted any amount from the deposit and you lose the lawsuit, in some states you may be facing triple damages.

You may want to consider employing a better property manager in the future.

A good method of renting is to take photographs each time prior to leasing the property. Be sure the photos are dated (picture of newspaper if using a digital camera). The photos need to be of high quality and depict every room.

I also use a room-by-room inspection form. This is extremely detailed down to the wall plates. The form is completed with the tenant prior to the execution of the lease. The tenant initials every page and receives a copy that is attached to the lease agreement.

The opposite procedure is followed when a tenant vacates. I like to do this with the tenant and including the tenant in the photos to demonstrate the presence of the tenant.

The first time you have the teenager of the tenant put holes the size of baseballs in the wall, you have extremely creditable proof for collecting damages from the tenant.

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