In Portland, Oregon, a new law about security deposits and rental inspections this year has prompted landlords and property managers to re-assess their move-out procedures. It also wouldn’t be a surprise if other municipal areas and states would adopt these new requirements in the future.
The requirement of the new bill is for landlords and property managers to provide full documentation of the property’s condition at move-in and damage to the occupied unit during a tenancy. Aside from photographic images, the bill requires the inclusion of a condition report.
Condition Report for Rental Properties
A condition report ensures that tenants and landlords are both fully informed of all potential damage or wear and tear that exist in the rental property upon the tenant’s move-in. With the documentation, the security deposit deductions at the end of a tenancy will not be subjective or rely on the inspector’s inaccurate memory of the rental’s condition during move-in.
The new Portland law states:
“Prior to the Commencement Date, the Landlord will make reasonable efforts to schedule a time which is convenient for both the Landlord and the Tenant for a walk through of the unit to complete a report noting the condition of all fixtures, appliances, equipment and personal property listed in the rental agreement and noting damage (the “Condition Report”). Both the Tenant and the Landlord shall sign the Condition Report. The Landlord shall take pictures of the items noted in the Condition Report and share those photographs with the Tenant.” PCC 30.01.087”
If the landlord and tenant could not meet, the former must provide photographic documentation and share them with the latter.
Benefits of Documented Move-In Inspections
Aside from being able to comply with local regulations and update security deposit laws, you would also benefit from move-in inspections with documentation because you would have a clear reference for move-out inspections. The documentation would serve as evidence in the instance of litigations from a tenant. It would also come in handy during property insurance claims.
Doing the move-in is also an opportunity to provide tenants with concrete expectations.
Preventing Damage to the Rental Property
While documentation comes in handy when proving that damages were done during the tenancy, preventing those damages is still better. Landlords don’t want to deal with damages and every tenant wants to get back their security deposit in full at the end of their tenancy. It would be a win for both parties.
After publishing a listing on Padleads and receiving tons of rental applications, the rental agent must perform a thorough screening process to ensure that tenants would be responsible enough to maintain the property in good condition.
It is also good to educate tenants from the get-go. Some tenants have never owned a home. Educating them on basic home maintenance like changing HVAC filters, mildew prevention, operating appliances, and reporting leaks would guide them to become more responsible renters.
Before signing the lease, it is ideal to have a verbal walkthrough of everything written on the agreement, including repair and maintenance clauses. Information is key. Ensuring that all parties understand every detail in the agreement is important.
Regular Inspections
Conducting rental inspections allow landlords and property managers to assess any potential issues to prevent them from progressing. Just like with diseases, early detection is good.
These inspections are also a good opportunity to connect with tenants and check for any concerns and complaints they might have. Let them report even the small unusual noises coming from appliances or other parts of the rental. Sometimes, those are early signs of damage. Never take those inspections for granted.