Posts Tagged "AIIC"

Why I Joined the AIIC – And Why You Should Too

When I first became an inventory clerk, it wasn’t just a career move—it was the culmination of a vision. My initial goal was to help landlords make more money from their properties by providing detailed market analysis, competitive insights, and tailored recommendations. I wanted to give landlords reports that were as comprehensive as those you’d receive for owning shares in a company.. Then it hit me: this could be paired perfectly with inventories. I realised the value of creating reports that provided not just a list of what was in a property but detailed insights into its condition and maintenance needs—reports that I, as a busy property manager, would have found invaluable. From that idea, I hammered out a template for what I believed a perfect inventory report should look like, and I haven’t looked back since.

The Struggles of Starting Out

Starting any business is daunting, and my journey as an inventory clerk was no exception. I gave up my job as a property manager based on a gut feeling. I took the risk to step out on my own—a decision that raised a few eyebrows among friends and family.

The early days weren’t easy. Gaining clients with no track record was a real struggle, but luckily, an old property manager friend, John, threw me a lifeline. He trusted me with all his inventory work and even gave me side jobs like decorating and gardening to keep me afloat. That first boost of trust and business helped me build momentum and eventually grow my client base.

Why I Joined the AIIC

As someone new to the field, I knew I needed to build credibility quickly. Convincing agents and landlords to trust you when you’re just starting is tough. Joining the Association of Independent Inventory Clerks (AIIC) was the first step in establishing legitimacy.

The AIIC gave me more than just a logo on my reports—it gave me confidence. I wanted to know what standards I needed to adhere to, and I wanted advice on how to grow. Joining also gave me access to the PRS redress scheme, which further legitimised my business. When you’re trying to stand out, being part of a recognised organisation like the AIIC makes all the difference.

How the AIIC Has Helped Me

The greatest value I’ve gained from being an AIIC member is recognition for the quality of my reports and the opportunity to connect with other members. As someone who constantly rethinks and refines their product, having access to experienced members and even the CEO for advice has been incredibly valuable.

Although I haven’t yet accessed the training materials, I’m excited about the improvements coming under the guidance of our Head of Training, Sally Carter. Sally has a wealth of knowledge—arguably more than I could ever hope to learn—and I look forward to brushing up on my skills.

AIIC membership has also helped me land larger clients, like Dolphin Living in central London, which has been a huge honour. It’s allowed me to transform my career and my life. I’m no longer the underpaid, overworked property manager I once was. Instead, I’m a business owner who serves tenants and landlords directly, offering them a great service while earning more and finding personal fulfilment.

A Life-Changing Decision

The AIIC hasn’t just improved my business—it’s changed my life. It gave me the confidence to take risks, grow my business, and pursue my passions. It’s even part of the reason I met my gorgeous wife, Sharon. We’ll soon be celebrating our one-year anniversary, something I might not have achieved without the change in direction that joining the AIIC helped facilitate.

Winning awards like Best Newcomer and Best Sole Trader has been a highlight of my career. After years of feeling overlooked and undervalued as a property manager, those moments made me realise the power of trusting your gut, taking pride in your work, and serving clients to the best of your ability.

Why You Should Join the AIIC

For anyone on the fence about joining, I’ll say this: we’re all in this together. As inventory clerks, we might be competitors at times, but no one else truly understands the challenges of our work like we do. The AIIC provides a community where you can connect, share stories, and grow professionally.

At the very least, joining gives you PRS cover, which changes you from a “have-a-go hero” to someone businesses take seriously. Even if you never attend a meeting or talk to another member, that alone is worth it.

What’s more, the AIIC is undergoing a big transformation. As a new board member, I’m thrilled to be part of exciting plans to improve the lives of our members, raise industry standards, and build a stronger community. Our jobs are critical—we hold the keys to resolving deposit disputes fairly and ensuring a smoother moving process for tenants and landlords.

Final Thoughts

Joining the AIIC has been one of the best decisions I’ve made, both professionally and personally. It’s not just an organisation—it’s a support system, a mark of quality, and a gateway to greater success.

If you’re ready to take your career to the next level, visit www.theaiic.co.uk and join today. You won’t regret it.

Published on 09/03/2025 | Tags: AIIC, AIICmembership, Deposit Disputes, Inventories, inventoryclerks, Landlords, Tenants, The AIIC | Category: Blog | No Comments »

TDS Launches My Housing Gateway – A Step Forward for Tenants, But Could Landlords Benefit Too?

Key Takeaways:

My Housing Gateway, developed by the TDS Charitable Foundation, is a new platform providing tenants with clear guidance on where to report housing issues and how to resolve disputes.
The initiative is a positive step towards transparency and early resolution of rental disputes, ensuring tenants know their rights.
AIIC reporting standards align with TDS expectations, ensuring independent inventory reports serve as trusted evidence in deposit disputes and legal proceedings.
With landlords facing increasingly complex regulations, a similar advisory platform for landlords could help them better understand and comply with their obligations.
AIIC commends this initiative and hopes to see further collaborative efforts to enhance support for both tenants and landlords alike.

TDS Launches My Housing Gateway – A Step Forward for Tenants, But Could Landlords Benefit Too?

The rental sector continues to evolve, with growing efforts to improve tenant protections and dispute resolution mechanisms. At AIIC, we welcome initiatives that enhance transparency, accessibility, and fairness for all parties involved in the private rented sector. The launch of My Housing Gateway, developed by the TDS Charitable Foundation, is an important step in this direction, providing tenants with clear guidance on where and how to raise concerns about their rental properties.

This initiative is a commendable effort to simplify what can often be a complex and overwhelming process for tenants. With research showing that 50% of private renters do not know where to go for help when an issue arises, My Housing Gateway has the potential to bridge this knowledge gap and support early dispute resolution.

However, as the industry continues to move towards greater regulation and professionalisation, we believe that a similar resource for landlords could also prove invaluable.

My Housing Gateway – A Much-Needed Resource for Tenants

At its core, My Housing Gateway is designed to direct tenants to the correct authority or service depending on the nature of their housing issue. Many renters are unaware of whether they should be speaking to their landlord, managing agent, local council, or an independent redress scheme, leading to confusion and unresolved disputes that could have been addressed more efficiently.

This initiative is particularly timely given the ongoing rental reforms, which are introducing new enforcement mechanisms and regulatory standards. By equipping tenants with the right knowledge, My Housing Gateway can help ensure that complaints are raised in the appropriate manner, ultimately leading to faster and fairer resolutions.

At AIIC, we have always advocated for professionalism and transparency in the rental sector, and we commend TDS for taking proactive steps to empower tenants with clear, accessible information.

The Importance of Accredited Inventory Reports

As rental disputes become more visible through platforms such as My Housing Gateway, the importance of comprehensive, professionally compiled inventory reports cannot be overstated.

AIIC inventory reporting standards have been developed in line with the expectations set out by deposit protection schemes such as TDS, ensuring that reports are:

Impartial and comprehensive – Providing an accurate record of the property’s condition at the start and end of a tenancy.
Detailed and time-stamped – Ensuring that all issues are documented in a way that holds up in tribunals and court proceedings.
Consistent with dispute resolution frameworks – Making sure reports are accepted as reliable evidence by adjudicators.

When disputes arise over damage, cleaning, or missing items, an AIIC-accredited inventory report can be the deciding factor in a fair resolution. Without a properly documented inventory, landlords risk losing deposit claims, and tenants may face unjust deductions due to poor-quality evidence.

This is why we strongly advocate for independent, professional inventory clerks—not only to protect both landlords and tenants, but to reduce the number of disputes reaching adjudicators in the first place.

With initiatives like My Housing Gateway highlighting tenant concerns, it is more important than ever to ensure that accurate, high-quality inventories remain at the heart of dispute resolution processes.

A Balanced Approach – Could Landlords Benefit From a Similar Resource?

As we celebrate this progress, it is also important to recognise that landlords face an increasingly complex regulatory landscape. While there are strict compliance requirements placed upon landlords, there is currently no equivalent, centralised guidance service to help them understand their obligations in a simple and structured way.

The penalties for non-compliance in the private rented sector can be incredibly severe—ranging from significant financial penalties to criminal prosecution. A minor administrative error, such as an incorrect date on an eviction notice, can invalidate an entire possession claim, whereas a failure to comply with deposit protection rules could result in heavy fines and legal repercussions.

Given that My Housing Gateway serves as a clear and structured advisory tool for tenants, we believe that a similar initiative tailored to landlords could be an equally valuable asset to the industry.

Such a platform could:

Provide landlords with a step-by-step guide on their responsibilities and legal obligations.
Help prevent compliance issues by ensuring landlords have access to clear, up-to-date guidance.
Support fair and effective dispute resolution by encouraging best practices from the outset.

At AIIC, we have seen first-hand how misunderstandings between landlords and tenants can escalate into disputes that could have been avoided with better information and guidance. Just as tenants need clarity on their rights, landlords should also have access to a trusted, centralised resource that outlines their responsibilities in an accessible way.

A Collaborative Approach to Industry Improvement

We believe that initiatives like My Housing Gateway represent a positive step towards a more informed and transparent rental sector. TDS has taken a leading role in empowering tenants with valuable resources, and we fully support the principles behind this initiative.

At the same time, landlords play a crucial role in ensuring a well-functioning rental market, and providing them with a dedicated advisory platform would complement existing efforts to improve standards across the sector.

As the rental market continues to evolve, we hope to see further collaborative efforts between industry leaders, policymakers, and organisations like TDS to create balanced solutions that support both tenants and landlords alike. AIIC remains committed to raising professional standards, supporting fair dispute resolution, and contributing to industry discussions that help shape a more effective and transparent rental sector.

Final Thoughts

The introduction of My Housing Gateway is a welcome step towards ensuring that tenants have access to clear, structured guidance on their rights and dispute resolution options. AIIC commends this initiative and hopes to see further collaborative efforts to enhance support for both tenants and landlords alike.

At the same time, we recognise the challenges that landlords face and encourage further discussions on how similar initiatives could support landlords in navigating their responsibilities with equal clarity. Ensuring that both tenants and landlords have access to the right information at the right time will be key to fostering a more professional and well-regulated private rented sector.

At AIIC, we look forward to seeing how My Housing Gateway evolves and remain optimistic about the potential for future innovations that benefit all stakeholders in the industry.

What do you think? Would a similar advisory platform for landlords be a useful addition to the rental sector? Let’s keep the conversation going.

Published on 03/03/2025 | Tags: AIIC, Inventories, Landlords, Tenants | Category: Blog | No Comments »

New law should make independent inventories compulsory

The Renters’ Reform Bill must include measures to make independent inventories compulsory in every tenancy agreement, says AIIC Chair Daniel Evans.

The controversial and long-awaited Bill was introduced into the House of Commons last month after being delayed for what the Government described as ‘procedural reasons.’

Now, Daniel has called on Ministers to take this opportunity to add strict regulations making the use of independent inventories by landlords and letting agents mandatory.

The Renters’ Reform Bill has been described as the most radical reform of the Private Rented Sector for a decade.

The proposals laid out in the Bill include:

The abolition of Section 21 (so-called ‘no-fault’) evictions;
The introduction of a Decent Homes Standard for the PRS;
A Government-appointed Ombudsman;
Restrictions on landlords’ ability to put up rents

It is generally believed that the Bill is intended to address imbalances within the PRS which, up to now, favoured landlords.

But Daniel believes this new legislation is the perfect opportunity to include a reform which would be independent of both landlord and tenant.

“Inventory companies have the capability of being the only truly independent agencies operating throughout the lettings process,” he says.

“It is clear the Government wants to ‘professionalise’ the PRS and this is an obvious place to start. Ministers should take this opportunity to include a clause which makes independent inventory mandatory.

Credibility

“Then, in the event of a dispute, the inventory will be valuable evidence to offer to the deposit protection scheme provider.

“But if this process is going to have credibility for the tenant as well as the landlord, that inventory must be curated by an independent agency.

“This increase in transparency is not just about tenants. Landlords, too, can benefit from utilising the services of a professional independent inventory clerk to improve the service for everyone.”

Daniel’s call comes after new data suggests the number of landlords planning to sell rented properties has reached its highest rate on record.

Polling by research consultancy BVA-BDRC found that in Q1 2023, 33% of private landlords in England and Wales said they planned to cut the number of properties they rent out. This is an all-time high recorded by BVA-BDRC and is up from the 20% who said they planned to cut the number of properties they let in Q1 2022. This comes despite demand being at a record high with landlords blaming taxation policy, high interest rates and legislation for their withdrawal from the market. It is estimated that 65,000 properties were offloaded by landlords in the first quarter of 2023.

Published on 29/06/2023 | Tags: AIIC, Inventories, Landlords, Tenants | Category: Blog | Comments Off on New law should make independent inventories compulsory

Chancellor’s Autumn Statement – what did it mean for lettings?

In his first major fiscal address as Chancellor, and Rishi Sunak’s first Autumn Statement as Prime Minister, the former Health and Foreign Secretary Jeremy Hunt laid out the government’s tax and spending plans.

And, as predicted, it included some large spending cuts and tax rises as the Chancellor sought to fill a £55 billion fiscal black hole.

He said he was delivering a plan designed to tackle the cost-of-living crisis and rebuild the UK economy, adding that he would be prioritising stability, growth and protecting public services.

While his speech was light on specific housing policy or vision, he did announce a number of measures that will have a direct impact on the lettings sector.

Here, we lay out what they were.

CGT tax-free allowance halved next year

Hunt announced that he would more than halve the tax-free allowance for capital gains in the next tax year (2023-24) from £12,300 to £6,000. It will then be halved again to £3,000 in 2024-25. The Chancellor explained this was in order to make the tax system fairer and restore the public finances.

Those landlords looking to sell their home will be most affected by this change, as capital gains tax is charged at a much higher rate for residential property sales.

As a result, more landlords could look to exit the sector sooner to make sure they aren’t hit by the change. That would, of course, have a knock-on effect on rental supply, which is already low.

“These swingeing cuts to Capital Gains Tax allowances will dissuade investment for years to come,” was the verdict of Ben Beadle, CEO of landlord trade body NRLA, adding that it will deter investment in new rental homes and increase the cost of renting.

Higher earners to face more tax

The Chancellor also revealed in his speech that higher earners will start paying the top rate of tax (45%) when they earn £125,140. Previously, they wouldn’t start paying this rate until they started earning £150,000.

This could see more landlords being dragged into the highest paying tax bracket, which will then have an impact on the profits they can make because of the changes to mortgage interest tax relief (phased in from April 2017).

There were other tax changes, too, with Hunt announcing that Inheritance Tax thresholds will be frozen for the next two years, which will mean hundreds of thousands of home owners remain subject to paying this tax.

Time-limited stamp duty cut

In a measure that hadn’t been trailed beforehand, unlike many of the other things he announced, the Chancellor said the recent cuts to stamp duty would be time-limited, coming to an end on March 31 2025.

This means, for the next few years, there is effectively another stamp duty holiday – which could encourage more buyers, including landlords, to take advantage of the savings.

In his now infamous mini-Budget, Kwarteng increased the nil rate threshold for stamp duty from £125,000 to £250,000. He also upped the threshold at which first-time buyers pay stamp duty on their first home to £425,000 from £300,000 on purchases worth up to £625,000.

The Treasury confirmed the move in a tweet shortly after Hunt’s announcement, saying the reductions would cease by the end of March 2025. “This is to help the jobs & firms that rely on the housing market through the current challenges, while strengthening the public finances,” it added.

The above points were the main areas of consequence for landlords, but Hunt’s wide-ranging speech included a number of other measures – ranging from electric cars to the energy price guarantee, which are explained in much greater detail here.

As an agent or landlord, you want to protect your investments and establish smooth transitions from one tenant to the next. Here at AIIC, we are dedicated to promoting the highest possible standards of accuracy and reliability in the inventory process and have been endorsing high levels of professionalism in the inventory business since 1996.

It is our mission to ensure proper information and training is provided and our bank of highly skilled members will provide the best possible service. For more information, please contact us or search for your local AIIC member clerk now.

You can also download a copy of our Code of Practice and Guidelines for Professional Practice guide here.

Published on 25/11/2022 | Tags: AIIC, Autumn Statement, Capital Gains Tax, Chancellor, Jeremy Hunt, Lettings, Stamp Duty | Category: Blog | Comments Off on Chancellor’s Autumn Statement – what did it mean for lettings?

Everything you need to know about smoke and carbon monoxide alarms

There has been an update regarding the carbon monoxide and smoke alarm guidance and the Association of Independent Inventory Clerks (AIIC) is here to provide all the information you need to remain compliant.

The current regulation states that landlords must have a single smoke alarm fitted per storey and a carbon monoxide alarm where there is a solid fuel appliance, such as an open fire.

The new regulations are an updated version of the existing Smoke and Carbon Monoxide Alarm (England) Regulations 2015 which has now been updated by the Department for Levelling Up, Housing and Communities, and the new changes came into effect on 1 October 2022.

Which revisions do you need to be aware of?

From the due date, landlords will find themselves with increased responsibilities around the provision of smoke and carbon monoxide alarms within their properties.

A remedial notice will be introduced alongside the update, with fines of up to £5,000 for non-compliance.

Since October, landlords have the duty of equipping any room used as living accommodation containing a fixed combustion appliance, i.e., boilers with a carbon monoxide alarm. Gas cookers are exempted from this although it is also best practise to install these even if they aren’t legislated.

Meanwhile, once a tenant notifies their landlord that a smoke or carbon monoxide alarm is faulty, any non-operational smoke or carbon monoxide alarms must be repaired or replaced ‘as soon as practically possible’. This is one of the most significant changes to come about, whereas previously it was only necessary to ensure they worked at the start of the tenancy.

What type of smoke and carbon monoxide alarms are required?

There aren’t any specific regulations that state which type of alarms must be installed, such as hard wired or battery powered. If you have a battery powered alarm or you have plans on purchasing one, make sure that the alarm you choose is equipped with ‘sealed for life’ batteries rather than alarms with replaceable batteries since this is the preferred option.

It is, however, recommended that landlords make an informed decision and opt for alarms based on the individual needs of their property and their tenants. The only known requirements are that smoke alarms are compliant with British Standards BS 5839-6, and carbon monoxide alarms with BS 50291.

Who does this apply to?

Currently, the amendments only apply to England and involves all tenancies presently in place, which also includes both private and social landlords. There are some tenancies that are exempted, such as shared accommodation with a landlord or landlord’s family, long leases, and student halls of residence.

According to the government’s guidance, unlicensed HMOs will be affected by the changes; however, licensed HMOs are exempt from Parts 1 to 5 of the regulations, but only because the regulations also amend the HMO licensing obligations in the Housing Act 2004 so as to implement similar requirements.

It will be up to the tenants to report any faulty devices to the landlord or agent, and it will therefore be their responsibility to test their alarms throughout the duration of their tenancy.

Additionally, clerks in particular, should make sure the ‘expiry date’ is written on the alarms because this information is rarely included as standard on the alarm itself.

The government states that the new updated regulations, which will now be known as Smoke and Carbon Monoxide Alarm (Amendment) Regulations 2022, should be considered alongside other relevant laws on carbon monoxide and fire safety in rented accommodation. These include:

How do landlords prove the alarms have been tested?

As with the previous regulation, alarms should be tested at the start of the tenancy and it’s the landlord’s responsibility to keep a well-documented record of when alarms are tested thereafter.

As always, an inventory and check-in should be arranged at the start of the tenancy which will include smoke and carbon monoxide alarm testing. The report will set out the condition of the alarms, and the tenant should sign this if they are satisfied that they are in good working order.

You can also download a copy of our Code of Practice and Guidelines for Professional Practice guide here.

Published on 28/10/2022 | Tags: agents, AIIC, compliancy, Landlords, smoke and carbon monoxide alarms, Tenants, UK regulations | Category: Blog | Comments Off on Everything you need to know about smoke and carbon monoxide alarms

Everything landlords need to know about deposit disputes

Deposits are a core element of any tenancy that keeps both the tenant and landlord satisfied and secured during the tenancy.

However, when things go awry, disputes may occur. Landlords and tenants sometimes disagree about deposits at the end of a tenancy and in many cases these disagreements can be resolved by having a detailed and comprehensive inventory in place.

While deposit disputes are relatively rare, they do still happen and can prove costly. So, landlords need to understand why they happen and how they can be prevented.

Providing that it is stipulated in the tenancy agreement, which should have been looked over and signed by both the tenant and the landlord, a deposit can be withheld to cover any loss incurred by the landlord that is caused by the tenant, such as non-payment of rent or damage to the property.

Under the terms of the Housing Act 2004, it has been a legal requirement since April 6 2007, for landlords who rent a property on an assured shorthold tenancy to protect any deposit taken within 30 days of receipt.

Additionally, the tenant must also be served with a copy of the deposit scheme leaflet along with any other prescribed information.

At the start of a tenancy, landlords should ensure that all deposits relating to assured shorthold tenancies are protected within a government-approved tenancy deposit scheme – namely the Deposit Protection Scheme, mydeposits and the Tenancy Deposit Scheme.

In the scenario where the deposit has been paid by a third party, they must then also be provided with the statutory notice and associated documents.

But the real question is, what should landlords know about deposit disputes, and how curated inventories and training can reduce the number of instances these occur.

Figures from the Deposit Protection Scheme (DPS) show that, following disputes, 18.5% of tenant deposits are returned in full to the landlord, 54.7% are split between both landlord and tenant, and 26.8% are refunded in full to the tenants.

There is a clear difference between damage and fair wear and tear, which needs to be fully understood.

The criteria for deposit deduction must be properly understood before raising any disputes, with deductions not possible for fair wear and tear.

This seeks to prevent the landlord from ending up in a better position than they would otherwise have been.

The role of an inventory

At the beginning of the tenancy, your job as the landlord is not only to provide an adequate home for your tenant, but this is after all your investment, so to protect yourself and your property financially, it’s wise to turn to an inventory.

This document provides a detailed description of the condition of the property when the tenancy started, including everything from the state of the carpets to the position of the furniture.

Photos are usually also included, which provides additional evidence for your inventory.

During the course of the tenancy, you should also consider carrying out systematic inspection of your property to update the inventory as necessary. Your tenant should also receive a copy of this inventory so they can check off items as they’re returned at the end of the tenancy.

Deposit dispute resolution and prevention

Thankfully, tenant deposit disputes are relatively rare, but in the event that they do occur, a landlord should first try and resolve any disagreement with their tenant amicably.

Give your tenant a breakdown of the amounts and items with the use of your inventory along with the tenancy agreement and show why and what any withhold money is for, whether that be for owed rent or damage to the property.

This is why it is absolutely vital that you prepare a quality inventory with a precise schedule of the condition of the property since this will substantiate any damage or missing items in the rental property, and how they go beyond what should be considered the reasonable wear and tear of the home.

Inventories provide supporting evidence that clarifies what does and does not count as fair wear and tear. Nonetheless, it is essential that before entering into a tenancy agreement, all parties have a firm understanding of this issue.”

As a landlord, you want to protect your investments and establish smooth transitions from one tenant to the next. Here at AIIC, we are dedicated to promoting the highest possible standards of accuracy and reliability in the inventory process and have been endorsing high levels of professionalism in the inventory business since 1996.

You can also download a copy of our Code of Practice and Guidelines for Professional Practice guide here.

Published on 14/10/2022 | Tags: AIIC, Daniel Evans, Deposit Disputes, Deposit Protection Scheme, Inventories, Landlords, TDP, Tenants | Category: Blog | Comments Off on Everything landlords need to know about deposit disputes

Landlords – ways to cut down costs with the use of inventories

With landlords facing rising costs, many are looking at ways in which to make efficiencies where they can.

Inventories, which offer a detailed list of all items and their condition included in the property – contents, fixtures, and fittings, etc – can help to reduce the chances of disputes occurring or landlords not getting money towards any repairs or maintenance for damaged goods.

Inventories can ensure a stress-free changeover between tenants, protect your investment, and ultimately help you cut costs in the long term. Although this is not a legal requirement, it is best practice since having a complete record of the condition of your property and its contents before and after the tenant’s stay will save you a world of hassle later if a dispute should arise between you and the tenant.

To ensure that the sector remains compliant, and evolves in a sustainable way, streamlined processes and time-saving efficiencies with the use of inventories has become a vital aspect in helping the letting industry while keeping standards at an exceptional level.

Here at the Association of Independent Inventory Clerks (AIIC), we recognise the financial trials landlords are faced with. Below, we look at how inventories can aid in cutting costs which will save landlords money and stress in the long-term.

Reducing the number of errors

Since inventories are meant to be a compilation of all the contents within your property along with details about the condition of the property – if done thoroughly and correctly, as a landlord you should be able to reduce the number of errors that may occur if you’re solely relying on memory.

For example, if contents are damaged and you don’t have evidence that it was in mint condition before the tenant moved in, then it will fall to you to replace the item – unnecessary expenditure on your part.

Therefore, having an inventory can prevent these occurrences from happening and can make clear that any damages or repair costs should be taken out of the tenants’ deposit. This way, you as the landlord won’t be liable for paying for repairs that were caused by the tenant and weren’t natural wear and tear.

Preventing disputes

Disputes can be another costly occurrence and if an inventory hasn’t been carried out correctly, this could make deposit disputes more probable, and also make the odds of you getting a deposit back less likely.

Therefore, having a concise, clear compiled inventory will help to prevent or lessen the chances of deposit disputes occurring. With a clear evidence trail for all parties to see, you will be able to avoid forking out cash to resolve the issue, which can take time to resolve – and we all know the saying, ‘time is money’.

By protecting yourself and your asset against deposit disputes with the use of an inventory, you can focus on things like growing your portfolio and sourcing the best kind of tenants.

Thwarting stress

Stress and finances have always been linked to a certain degree, and as a landlord you are already faced with many potential stresses on a daily basis, which is why cutting costs with the help of inventories can drastically make a difference to your overall wellbeing.

According to research, more than three in four Brits (74%) feel overwhelmed by stress, especially due to their financial situation. Having a comprehensive inventory not only gives you peace of mind, but will ultimately help you save a few pounds that’ll keep your blood pressure lower knowing that you’re protected.

You can also download a copy of our Code of Practice and Guidelines for Professional Practice guide here.

Published on 03/10/2022 | Tags: AIIC, Allowable Expenses, Cutting Costs, Financial Security, Inventory, Landlords, Letting Agents, Property Industry, Tenants | Category: Blog | Comments Off on Landlords – ways to cut down costs with the use of inventories

Agents and landlords – what should a good inventory include?

During the check-in and check-out process of any tenancy, one of the most important pieces of documentation you will have will be your inventory.

Not only do they ensure the maintenance and good condition of a rental property, but they are also crucial for preventing deposit disputes between the landlord and tenant.

At the start of a tenancy, tenants will sign a tenancy agreement detailing the rules and regulations they must adhere to. During this time, the inventory must be conducted, agreed upon, and signed by both parties.

Throughout the tenancy, landlords should make periodic inspections to note any damage that does not correspond to the inventory report.

Finally, at check-out, landlords must compare the condition of the property to the initial inventory to identify whether any deductions will need to be made from the tenant’s deposit.

With inventories playing an absolutely vital role in any successful tenancy, it’s important to understand what they entail and which pitfalls to avoid.

Here at AIIC, using our experience as the leading association of dedicated independent inventory clerks, we provide a comprehensive breakdown below.

What should a good inventory consist of?

In layman’s terms, an inventory is a list of all the items and contents in a property, as well as a detailed record of its general condition.

Before the tenant moves in, an inventory is created to ensure the landlord can monitor the state of the property and the items/contents included throughout the tenancy, and when the tenant moves out.

A good, detailed inventory will include a full written report of condition – also known as a schedule of condition – which is a thorough documentation of the property’s interior and exterior. That includes appliances, white goods, décor, fixtures and fittings, all contents, the garden and any outbuildings.

In addition, a full list of keys (and who they’re given to), equipment serial numbers, meter readings and alarm codes should be noted down. There must also be a declaration page at the end of the inventory for signatures.

While it isn’t mandatory, taking video or photographic evidence of the state of the home is advisable – particularly in regard to expensive items. This helps to remove any doubt about the original condition of items if a tenant tries to claim no damage has been caused.

Who compiles an inventory?

A comprehensive inventory requires time, effort, and skill, and should be unbiased and compiled to a rigorous, professional standard.

While an inventory can be crafted by the landlord, it is common to appoint an independent inventory clerk to do the job.

An inventory clerk who will offer an impartial, specialised service must be AIIC-vetted to guarantee peace of mind.

As an association, AIIC are committed to excellence and professionalism in the inventory process. Our efficient members work hard to avoid unnecessary costs and legal disputes – ensuring every party is aware of its responsibilities.

By appointing an AIIC-vetted inventory clerk with specialist knowledge, landlords can have confidence that everyone is legally protected and abiding by the necessary regulations.

Another alternative is for the letting agent to carry out the inventory. This could include the arranging of inventories and the management of the check-in process, quarterly inspections and overseeing the check-out process.

What happens at check-out?

At the end of a tenancy, a final inventory check should be passed as tenants move out. This is when landlords compare the two reports to see what, if anything, to deduct from their deposit.

The tenant must be present during check-out to run through the inventory piece by piece, and both parties should agree on any discrepancies before their deposit is returned. If anything is missing or has been damaged, calculations should be made as to how much it will cost for replacements/repairs.

An independent inventory clerk will mark on the check-out report whether they consider any damage or deterioration to be the landlord’s or the tenant’s responsibility. This should make it easier to decide if deductions need to be taken from the deposit.

On those rare occasions where there isn’t agreement between both parties, a third party may need to be brought in to mediate – this might be the letting agent or a tenancy deposit dispute service.

This, however, should always be a last resort, and all other avenues should be exhausted before taking this route. If the damage is clear, most tenants are likely to play ball. Still, the tenant must be made aware in writing what they owe and how much will be taken from their deposit as a result.

You can also download a copy of our Code of Practice and Guidelines for Professional Practice guide here.

Published on 10/02/2022 | Tags: AIIC, Deposit Disputes, Inventories, Inventory Clerks, Landlords, Letting Agents, Schedule of Condition, Tenancies, Tenancy Management, Tenants | Category: In the Press | Comments Off on Agents and landlords – what should a good inventory include?

Insight – how should the check-out process be carried out?

The check-out process involves much more than just collecting the keys from tenants and arranging the return of the deposit.

In fact, it is one of the most crucial steps at the end of a tenancy, with a successful check-out able to reduce the chances of any deposit disputes occurring between you and your tenants.

For landlords, the check-out provides a concise record of the state of the property and its contents, while for tenants it offers the opportunity to state a case for any damage caused during the tenancy that might affect how much deposit is returned.

Below, we provide thorough insight into the check-out process and what steps are needed to avoid disputes and give you the best chance of getting your full deposit back.

Before check-out

Assuming the correct notice has been given and an end date has been established, the first step is to confirm, in writing, that any notice has been received and is being processed.

While the tenancy agreement will contain everything the tenants need to know, it’s important to familiarise them with key information of the tenancy agreement, as it may have been several years since they last saw it.

Leading up to check-out, your tenant will need to thoroughly clean the property (including flooring, upholstery, furniture, and all appliances), defrost the freezer, remove all waste, and clear the garden.

Arrangements will need to be made with the tenants to collect the keys, which is often best carried out at the property. This will allow you to walk through any issues found with the tenant in person.

Prevention is better than cure, so it’s worth explaining to tenants while they are still in the property what the consequences may be if items are found to be damaged in the property.

It’s also good idea to include ‘a guide to deposits disputes and damages’ from the chosen deposit protection scheme. Although lengthy, it could help answer any questions the tenants may have about the process.

During check-out

The process itself should go fairly smoothly, provided your tenant has carried out any necessary repair works and left the property in the same condition as when they first moved in.

However, if anything is missing or has been damaged, the only way you are able to make a claim against the tenant’s deposit, would be by providing evidence – and this is done via an inventory.

The most useful evidence that a tenancy deposit scheme would consider is a fully conditioned check-out inventory combined with a fully conditioned check-in inventory taken at the start of the tenancy.

An inventory should be professional and detailed enough to show clear photos of every item, the date and time stamp, and the document signed by the tenants to show they accept it as being fair and accurate.

If an inventory isn’t taken at the end of the tenancy, and the tenant disagrees with any deductions you’d like to make, you would find it extremely difficult to make a successful claim against them.

Appointing an independent inventory clerk could help to abate any uncertainty, as they will mark on the check-out report whether they consider any damage or deterioration to be the landlord’s or the tenant’s responsibility.

After check-out

If an agreement can’t be reached between both parties, or if there are issues that need rectifying, you’ll want to carry them out right away. If using contractors, for instance, you’ll need to keep copies of all the invoices as this would be evidence you’ll need in the event of any dispute.

Once all the work has been completed, you’ll need to formally explain your findings to the tenants, and have them sign their approval to deduct any funds from their deposit.

When compiling this document, it’s best to show the condition of the item in question at the start of the tenancy and at the end of the tenancy, which clauses in the tenancy agreement they have allegedly breached, explain what actions have been taken and detail the costs and any adjustments

At this point, the evidence will be self-explanatory, and tenants should agree to any deductions. If not, however, a third party may need to be brought in to mediate, such as a tenancy deposit dispute service. This should always be a last resort, and all other avenues should be exhausted before taking this route.

If the case goes to adjudication, you will be required to provide evidence to the tenancy deposit scheme that you use. Once you have agreed on how much of the deposit should be returned to the tenant, you then have 10 days to send the money back.

Here at AIIC, our independent inventory clerks can help to streamline the check-out process, providing detailed reports, photographic evidence, suggestions for compensation costs, and more.

We are dedicated to promoting the highest possible standards of accuracy and reliability in the inventory process and have been endorsing high levels of professionalism in the inventory business since 1996.

You can also download a copy of our Code of Practice and Guidelines for Professional Practice guide here.

Published on 10/02/2022 | Tags: AIIC, Check-In, Check-Out, Deposit Disputes, Deposit Protection Schemes Inventory Clerks, Inventories, Landlords, Tenancies, Tenants | Category: Blog, In the Press | Comments Off on Insight – how should the check-out process be carried out?