Over time, rental properties naturally show signs of aging and regular use, also known as normal wear and tear. But what is considered normal wear and tear in a rental, and how does it differ from actual tenant-caused damage? Understanding the distinction helps landlords and tenants navigate repair responsibilities and avoid conflicts. I’ll explore what’s considered normal wear and tear for rentals versus damage, how to document and deduct damage expenses from a security deposit, and how property management tools can automate payment and costs.
⭐Documenting wear and tear versus damage is necessary when tenants move in and out of a property. Download our checklist to get started.⭐
Differentiating Normal Wear & Tear from Property Damage
Landlords must be able to distinguish between typical deterioration and actual harm done within their properties. This is necessary to protect their property investment, keep money in their pockets, and keep investment properties free of hazards so tenants are safe.
Typically, what’s normal wear and tear for rentals includes repainting the apartment, repairing the bathroom and kitchen tile and grout, buffing the floors, and doing a deep cleaning. On the other hand, tenants are responsible for more considerable damages like holes in the wall, broken windows, or tears in the carpet. These are issues that would not arise because of age or deterioration but instead intentional harm or neglect.
Payment Responsibilities for Common Wear & Tear Concerns
The landlord is responsible for rental wear and tear concerns, including maintenance or tenant turnover expenses. Carpet, painting, and flooring are landlords’ most common wear and tear problems. However, a landlord needs to consider many other things, like countertops, walls, and windows.
Conversely, the tenant is responsible for any property damage found by the landlord during moving out or routine maintenance checks. This includes scratches on floors or walls, excessive stains on carpets and countertops, or holes in walls and ceilings. Check out the table below to learn what is considered normal wear and tear in a rental and how it differs from tenant-caused damage.
(Landlord’s Responsibility) | (Tenant’s Responsibility) |
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|---|---|---|---|
| Fading due to sunlight exposure or is highly worn from age and gently worn carpets that show some worn patches but no holes or stains | Heavily stained carpets, burns, tears, excessive fraying, and ripped carpeting because of pets, negligence, or abuse | ||
| Fading and peeling paint, sun damage, settling foundation, and minor scuffing from daily use | Severe scuffs, holes, drawings, scribbles in the paint, and unapproved paintwork and wallpapering | ||
| Fading of flooring due to sunlight exposure and minor scuffed wood floors | Deeply scratched hardwood floors, pieces of the hardwood missing, and ripped-out floorboards because of excessive force or neglect | ||
| Dirty grout surrounding the tiles and discolored tiles | Broken, cracked, chipped, or missing tiles | ||
| Lightly scratched glass, worn, loose hardware, uncomfortable drafts, air leaks, broken seals, rotten window frames, and clunky windows | Broken glass, ripped screens, broken window hardware and frames, broken blinds, torn drapes, and damaged window treatments because of pet scratches | ||
| Tiny scratches and light watermarks | Burn marks, multiple stains, cracked, and excessive grime on countertops | ||
| Cracks or marks in the walls caused by settling, damp patches, small holes, efflorescence, loose plaster, and staining due to mildew | Cracks and holes on the wall due to excessive force, as well as unauthorized wallpaper and paint jobs | ||
| Staining, minor cracks, spidering, bowed or sagging ceilings, and peeling paint | Punctured holes and cracks on the ceiling caused by physical force or abuse |
🐶Pets are frequently to blame for apartment damage. However, “pet rent” is not the same as pet fees or pet deposits that cover damage to the property caused by pets. Some state laws prohibit landlords from using the security deposit to cover pet damage costs if renters pay a pet deposit or fee. Remember that a pet fee is not refundable, but a pet deposit is a one-time fee. Check your state’s landlord-tenant laws to determine how much you can charge a tenant for pet damage.🐶
To avoid tenants with a history of property damage, properly examine applicants and contact prior landlords for references. You can accomplish this online with MyRental. With the aid of this tenant screening tool, you can carry out a wide range of financial and background checks. Its SafeRent Score identifies tenants as more likely to take care of their property and pay rent on time.
How to Document Normal Wear & Tear vs Damage
Keeping on top of the condition of rental property is pretty simple–you just need to be diligent about inspections and documentation. This prevents damage from occurring and keeps track of maintenance items that fall under the landlord’s responsibility.
Download The Close’s Move-in & Move-out Checklist (at the top of the article) and follow the below steps.
Step 1: Conduct a Move-in Inspection
When signing a lease with a new renter, show them the checklist so they know you will inspect the property on the day they enter. The tenant and landlord will inspect the property, work together to complete the checklist, and mutually agree on the state of the property upon move-in. Document the property’s condition and take pictures of every spot, including all appliances and outdoor areas. Each party should keep a copy of the signed checklist for their records.
All tenant expectations, such as who is accountable for mowing the lawn, shoveling snow, and maintaining common areas, should be clarified in the lease agreement to prevent legal conflicts. In the contract, you should also state that you can deduct expenses from the security deposit to repair tenant-caused damages. For damage costs exceeding the security deposit, landlords may seek reimbursement through an agreement with the tenant or legal action.
Property management tools, such as TurboTenant, make it simple to create state-specific lease agreements. TurboTenant lease agreement templates are created by lawyers and include all elements required to comply with your state’s landlord-tenant laws. Include lease details, rent, security deposits, other fees, pet and smoking regulations, and other clauses about your rental unit.
Step 2: Conduct Regular Maintenance
The landlord or property manager is in charge of performing periodic inspections and ensuring the property is safe. Evaluate each tenant’s property every three to four months, but also inspect the building’s interior and exterior weekly and monthly.
This shows the tenant that you care about the property and want them to do the same. This will also assist you in keeping track of normal depreciation, noting tenant-caused damage, and allow you to determine whether anything needs to be repaired.
Step 3: Respond to Tenant Requests
Always promptly reply to tenant requests to demonstrate that maintenance is done on time; thus, rent should be paid on time. It’s also less expensive to fix an issue when it arises than wait for it to worsen. If the request is for normal depreciation, making immediate repairs helps avoid tenant-caused damage.
Tenants must report any property damage immediately so landlords can repair it immediately. Tenants may quickly escalate maintenance requests to landlords and seek repairs using real estate software like Avail. It is a property management platform that allows landlords to manage their rentals and property maintenance online. Tenants could also upload images of the problem, send in-app messages, and monitor for updates on their requests.
Step 4: Conduct a Move-out Inspection
The tenant and the landlord should use the move-out checklist to determine whether any of the tenant’s security deposit will be retained for cleaning or repairs after they move out. Compare the move-out checklist with the move-in checklist to determine how the property was before the tenant moved in and whether there is any damage the renter should be accountable for. Remember to photograph and document any damage.
How to Deduct Damage Expenses from a Security Deposit
A security deposit helps protect landlords if tenants leave behind damage beyond normal wear and tear in a rental. For tenant-caused damage, landlords can deduct repair costs by getting a contractor’s quote, subtracting the repair amount from the deposit, and sending an itemized list of deductions to the tenant. Keep in mind, though, that security deposit laws vary by state.
While using a contractor’s bid is preferable, most states allow an itemized deduction list. Other deductions include unpaid utilities and overdue rent, for which you must submit proof of payment. If the landlord fails to deliver the complete list of itemized deductions within the specified time frame, the tenant may sue in small claims court.
Here is an example of a security deposit deduction spreadsheet:
| Items | Amount | Description |
|---|---|---|
| Security Deposit Received | $2,500 | |
| Past Due Rent | -$1,000 | June rent not paid in full |
| Late Fees | -$250 | June rent late fees |
| Past Due Utility Bills | -$175 | Electric Bill |
| Pet Damage | -$250 | Clean & deodorize carpets |
| Broken Tiles | -$350 | Replace broken tiles & grout |
| Total Deductions | $2,025 | |
| Security Deposit Amount Returned | $2,500 - $2,025 = $475 | Certified Funds mailed to tenant |
If the tenant’s security deposit doesn’t cover the cost of repairing all damages, landlords should address this directly with the tenant to get payment. The landlord may file a minor claims court complaint, which can be costly and time-consuming. If the damage exceeds small claims court limits, the landlord must employ an attorney and sue the renter in municipal court, which is even more expensive.
Prepare to provide proof of correspondence, such as how the renter was informed of the security deposit deductions, evidence of where the security deposit was held, and a copy of the lease. This is why submitting contractor bids or itemized deductions via certified mail is critical for easy tracking. Also, security deposits should be kept separate from other property-related expenses in a different bank account.
If the tenant violates lease terms, such as not paying rent or damaging the property, consider filing an eviction. An alternative would be paying the tenant to leave the property since eviction can be costly and time-consuming. This is called cash for keys, where the tenant is given a short period to leave and will receive cash for returning their keys to further not damage the property.
Providers to Assist With Damage Documentation & Payment
I’ve compiled a list of the best property management software for landlords to help them manage their rental properties and streamline tenant rental payments. This software features a professional website, listing syndication, maintenance management, accounting reporting, tenant application and screening, and online rent collecting. It also offers mobile apps with owner and tenant portals, making communication more efficient. Take a look at some of the top options:
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Frequently Asked Questions (FAQs)
What can a landlord deduct from a security deposit?
Security deposit laws vary by state, but landlords generally deduct delinquent rent, property damage, and cleaning fees from the security deposit. In cases where you need to keep a portion or all of a tenant’s security deposit to pay damages, ensure you provide the tenant with an extensive charge list and receipts that disclose all repairs and related expenses. If you omit this stage and the tenant decides to contest the accusations, your claim could fail to hold up in small claims court.
What is the most a landlord can charge for damages?
The maximum amount a landlord can charge for damages depends on state laws and how much the security deposit was. Some states don’t have limits as long as it’s reasonable. Be sure to check your state’s rules and regulations to determine how much is a reasonable amount you can charge for property damages.
How to write a letter to a tenant about damages?
Keep it straightforward, simple, and polite when writing a letter to a tenant about property damages. Be specific about the items needing repair, along with the cost breakdown. It also helps to include photos to accompany each item to show you’re being transparent about what is considered normal wear and tear on a rental versus actual damage.
Bringing It All Together
Wear and tear occurs when an item or material deteriorates over time because of aging and exposure. While landlords are responsible for fixing standard wear and tear on rental properties, any damage caused by a tenant’s neglect or abuse can be deducted from their security deposit. Remember, to avoid costly and stressful landlord-tenant disputes, you should be able to identify what is normal wear and tear for a rental vs damage and document everything through checklists and photos.
Have any questions? Let us know in the comments!
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