Stories of nightmare tenants causing damage often make headlines.
For example, in 2024, a tenant caused £20,000 worth of damage after subletting a canary wharf apartment.
Another landlord discovered his property had been modified to grow illegal drugs. This had caused £10,000 worth of damage.
So, what are landlords’ rights when property is damaged? And how can damage be prevented in the future?
Read on to find out.
Understand the difference between damage and wear and tear
Wear and tear refers to gradual deterioration. It’s what happens to all properties as a result of normal and intended use.
Damage refers to the intentional or unintentional harm.
For example, over time, a carpet fades in colour and picks up small markings – this is normal wear and tear. However, a large, permanent stain is damage.
Who is responsible for the damages?
This depends on who caused the damage.
If the tenant – or their guest – did, the tenant is responsible. After all, tenants are responsible for taking adequate care of the property.
However, tenants are not responsible if:
- The landlord or someone they sent caused damage
- The damage predates tenant’s residence (Japanese knotweed, subsidence, etc.)
- A rare event that was caused by neither the tenant nor landlord occurs (lightning, burglary, etc.).
Your rights as a landlord (when your property is damaged)
If a tenant causes damage, landlords’ can use the tenant’s deposit to make repairs.
By contrast, the deposit can not be used to fix wear and tear issues.
If the damage cost exceeds the deposit, the landlord should send their tenant a letter of demand. This letter will act as an invoice.
If it’s ignored, landlords can try and claim the damages through a small claims court.
Things you can do to prevent damage to your rental property in the future
Conduct regular inspections
Most landlords don’t visit their rental properties during tenancies. Some see it as intrusive.
However, according to the law – it’s perfectly legal.
Landlords can keep a copy of the key, and they only need to give tenants at least 24-hours’ notice before visits.
Insure your property
By law, landlords don’t need to insure their property.
Many make this mistake whilst attempting to save money and increase profit margins.
However, in the long-run, landlord insurance can save money and provide peace of mind.
Be more selective with future tenants
Landlords are allowed to choose their tenants.
To better choose tenants, they should go carry out background checks. This includes getting a reference from tenants’ previous landlords.
Create contract clauses
Landlords can add specific clauses (within reason) to contracts. These can help reduce the chance of property damage.
For example, they can add a clause about frequency of inspections. Or they can specify if pets are allowed in the property (and if so, which kinds).
Of course, this depends on the type of tenancy contract involved. Each type comes with different restrictions.
Selling tenanted property
Each year, many landlords decide to sell tenanted properties.
Some do this to diversify their portfolio. Others simply leave the rental market altogether.
Many face the problem of finding a buyer. After all, sitting tenants can reduce the value of property.
Many solve this by turning to cash buyers like We Buy Any Home, who can buy property with tenants in situ.
If you would like a free quote on your tenanted property, contact us today.
