In basic terms, an inventory is a written document, accompanied by photographs, that details the property contents as well as the condition. Even if a property is unfurnished, an inventory is still an extremely important document to have as it will be your proof of the appearance of the property before the tenants moved in. Although the condition of each item should be listed in the main inventory report, generally, an inventory will also include a schedule of condition as well. This tends to be a short statement of the overall condition of the contents, including (very importantly!) the cleanliness.
The property would be inspected before the tenants move in, once any works or cleaning has been carried out, and should be in the condition the tenants will receive it in. The closer this can be done to the tenancy move in date, the better. Inventories also cannot be “recycled” for new tenancies after the one they were originally created for as this would reduce accuracy and likely not stand as evidence in a dispute. An inventory clerk would need to return each time there is a new tenancy, thoroughly inspect the property again and update the inventory.
The inventory should also state the location of the meters and up to date meter readings and location of the smoke and CO2 alarms and whether they are working. It is also important to document the keys that are given to the tenant. Replacement keys can be expensive and if a landlord cannot prove how many keys a tenant was given at the start of the tenancy, it would be near to impossible to claim for any missing ones.
An inventory clerk may not necessarily test appliances however they would note down if things such as the toilet flush or light bulbs are in working order. Appliances should be listed with the make and potentially model of the item which can help identify if the appliance has been changed during the tenancy. It is also helpful to have this information on file if any parts fail and replacement parts need to be ordered.
The inventory must be as detailed as possible, which is why it is always recommended that a third-party independent inventory clerk carry these out as they are experts in the field. The report would need to include a written description of everything you see in the property as well as date stamped photographs for added detail and clarity. It is important to ensure that your inventory is as watertight and indisputable as possible. If there are any inconsistencies or detail is weak or ambiguous, an adjudicator could decide not to consider it as proof if a dispute were to occur at the end of the tenancy, meaning a landlord could lose out on hundreds, sometimes thousands of pounds of compensation.
When the tenants vacate at the end of their tenancy, a check out report should then be compiled which would use the initial inventory to identify any differences with the property condition and contents, compared with the start of the tenancy. Both documents are absolutely vital and act as proof if there are any disputes between landlord and tenant regarding how the property has been left. Any adjudicator sees the deposit as the tenant’s money, therefore indisputable proof has to be provided if a claim were to be made by the landlord to deduct any monies.