Novice landlords are at risk of deposit disputes as many are failing to prepare all the correct paperwork, warns the Association of Independent Inventory Clerks (AIIC).

There has been a huge increase in the number of accidental landlords over the last few years as many homeowners have been forced into renting their property, due to range of circumstances from negative equity to the depressed housing market and divorce.

As such landlords, especially accidental landlords, often have unrealistic expectations on wear and tear damage, which ultimately leads to a significant rise in tenant disputes. Landlords need to be realistic about tenants and issues of wear and tear and to remember that the property is a business transaction and as such, reasonable wear and tear damage to a property needs to be recognised and accepted as part of the rental agreement.

Pat Barber, Chair of the AIIC, said: “In addition to having a tenancy agreement, it’s important that accidental landlords ensure all formal agreements and procedures are in place, such as a professional inventory and schedule of condition.

“Landlords and tenants have different expectations when it comes to fair wear and tear issues, so it is no wonder that so many tenancies end in dispute. Landlords cannot expect ‘new for old’ when something is damaged, as everything has an expectancy of useful life and will need to be replaced periodically at the landlords’ expense.

“Tenants have a duty to return the property at the end of the tenancy in a condition consistent with that described on the inventory. This is why it is vital for landlords to have a detailed and accurate inventory to show the condition the property at the start of the tenancy, in order to assess whether its condition is consistent.

“An independent inventory will enable both parties to be treated fairly and reasonably. By opening a dialogue and using an independent inventory clerk, disputes can be resolved quicker and without the hassle that is often experienced at the end of a tenancy period.”