Protecting your investment – The importance of property condition reports

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At the commencement of a tenancy it is important to protect your investment by providing a detailed Property Condition Report (PCR) in which the owner and tenant agree on the condition of the property. This PCR is an extremely important document as it is a record of the condition of the premises at the start of the tenancy.

Completing a PCR it is not a quick process of ticking and flicking that everything is clean, working and undamaged.Extreme caution and time needs to be taken to describe all of the fixtures and fittings. This includes:

  • The colour of the carpets and walls,
  • A full description of the window coverings and light fittings,
  • Detailed information on appliances, including the make and model, plus testing the working order
  • A list of any inclusions
  • Numerous photographs
  • Plus much more…

If a Property Manger or Landlord fails to adequately describe the inclusions, fixtures and fittings it can cause unnecessary disputes at the end of the tenancy or lead to a possible financial loss for the property owner.

For example, if the Property Manager / Landlord just ticks window coverings as being good and undamaged and fails to describe them, the tenant can leave any form of window coverings when they vacate. If the property was fitted with custom cedar venetian blinds for example which was not documented and the tenant damaged these blinds and replaced them with inferior window treatments, this can affect the presentation of the property and may impact on the rental price when being re-let and therefore money out of the owners’ pocket.

Again, if the tenant decides to paint a bedroom hot pink and the PCR just has walls ticked as good, you will not be able to enforce that the walls be returned to the original colour at the tenants’ expense (if the tenant decides to dispute it). Photos without a tenant agreement or signature do not prove the condition a property was in at the time of the tenancy commencing.

The more detailed the PCR, the easier it will be to over-come pending disputes at the end of the tenancy.

As well as describing the fixtures and fittings, it is equally important that the property is presented in a clean and safe condition from the outset.

Upon vacating, the tenant is required to leave the premises in the same condition (allowing for fair wear and tear) as it was at the commencement of the tenancy.

If the property was not clean, the lawns were not mowed, there were weeds in the garden and marks on the walls, then the tenant can leave the property in the same condition (or in many cases leave it worse) with no recourse for a claim.

Our Property Management team is constantly working towards protecting your investment, which includes taking a little extra time and effort to be thorough with our documentation when a tenant moves into your property.

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