Inventory for Rental Property: A Guide for London Landlords

If you want to avoid end of tenancy wrangling with your tenant over deposits and damages, you need to nail the property inventory process. You might decide to commission your letting agent or a professional inventory company to handle creating an inventory checklist for you – or you might decide to go it alone.

However, if you choose to make your landlord inventory, you need to be meticulous about drawing up a clear and extensive list of items, fixtures and fittings in the rental home and their condition.

Landlords of high-value properties with expensive fittings and fixtures need to be even more diligent with their inventory to avoid potential costs if the property is damaged by tenants. Whether you own a modern apartment in Newham, where average flat prices are around £400,000, or an older property in Barking, a watertight inventory will help ensure you are not left with a dispute at the end of a tenancy.

What is a rental property inventory?

Put simply, it’s a list of everything in the rental property with details of its condition at check-in. It is sometimes called a schedule of condition or landlord inventory. The most comprehensive inventories contain photographs of everything – or even links to video tours.

While some people consider inventories necessary only for furnished properties, it is equally important to document the condition of unfurnished places, by recording the condition of walls, doors, carpets, kitchen cupboards, bathrooms and even gardens and sheds.

Are landlords’ inventories mandatory?

While landlords must, by law, protect a tenant’s deposit in an approved scheme, you are not legally required to produce a property or landlord inventory in the UK. However, it is best practice to do so and helps protect both you and your tenants. This detailed record of the condition of your property and its contents will help you to avoid future disputes with your tenants.

Whilst the landlord inventory isn’t a legal requirement, there are some things that are legally required including using a landlord deposit protection scheme.

It is also important to check your insurance policy terms as some providers require that a landlord inventory is kept. If you don’t, you could be breaching the terms of your insurance!

Rental inventory vs. Schedule of condition explained

The terms ‘rental inventory’ and ‘schedule of condition’ are sometimes used interchangeably but they have different purposes:

Rental inventory – A rental inventory focuses on the items that are included in the rental property. The rental inventory shows tenants what will be included when they rent the property.

Schedule of condition – The schedule of condition includes condition descriptions for all items and areas of the property. It also details cleanliness, whether there are marks/scratches on walls or items, or stains on carpets, for example. The schedule of condition covers the areas that are most commonly disputed at the end of a tenancy.

A comprehensive inventory will include both the list of items and a schedule of condition to support landlords and tenants in the event of a dispute.

What to include in a rental property inventory?

As a landlord, the more comprehensive your inventory is, the less chance of ending up in a complicated dispute with tenants about any damage caused during a tenancy.

Your inventory should include anything could potentially be damaged. Inventories for furnished properties should include every item you include in the property and there are some other considerations for different property types, such as flats.

Here’s what you should include:

Unfurnished property

• Appliances
• Fixtures (including radiators and lights)
• Fittings (including bathroom and kitchen sinks, showers, baths, taps and toilets)
• Doors
• Ceilings
• Walls
• Floors and carpets
• Storage units
• Paint and wallpaper
• Garden area/outdoor space and outdoor buildings
• Windows
• Keys
• Smoke and CO alarms
• Skirting boards
• Sockets and switches
• Kitchen units
• Tiling

Furnished property

In addition to the list above, an inventory for a furnished property should include all furniture provided, such as:

• Beds
• Tables
• Sofa
• Chairs
• Wardrobes
• Drawers
• Curtains and blinds
• Cupboards
• Light fittings and lamps
• TV stand
• Coffee tables
• Ornaments and artwork
• Shelving/bookcases
• Kitchen equipment
• Desk
• Mirrors

Flat or apartment

If you are renting out a flat, there may be additional features to include, such as:

• Balcony
• Shared communal space
• Door entry system
• Parking space

Landlord inventory reports – 11 actions to take

To help you get your inventory right, we’ve created a guide to drawing up a landlord’s inventory checklist, that covers the key things you need to know.

1. Decide whether to use a paid inventory service

As with many aspects of renting out a property, you will need to weigh up the pros and cons of using an inventory company in East London. Using a professional service, whether through your letting agent or an independent company, has many advantages.

They are experienced in developing inventories and are less likely to miss anything, plus they may use specially-designed software, which would be costly for you to purchase as an individual. Using them will also save you time and help maintain distance from your tenant. Plus, they are an independent figure if a dispute arises. However, using such a service is an added cost you will need to factor in.

2. Get hold of a landlord inventory template

If you’re going for the DIY approach, a template or checklist is essential to make sure you cover everything. Google ‘landlord inventory template’, and you’ll find plenty of ready-made inventory template PDFs to download. You can download a free landlord inventory template from sites such as Jotform. Alternatively, create your own landlord inventory template with a basic table or spreadsheet.

The important thing is the content of your inventory – that you’ve listed every item or fixture and its condition, backed up with clear photographs, taken in good light.

3. Identify pre-existing damage

You will need to flag up any issues on the landlord inventory report, good or bad. So, inspect the property carefully before you start. If there is a stain on the carpet or a scratch on a cupboard door, make a record and take a photograph. It is also worth noting the positives – if something is brand new, for example.

4. Make sure you time it right

You need to produce your inventory at the optimum time. It should be done once the property is fully tenant-ready, with any decoration and repairs completed and all furniture in place – but before your tenant has moved in with their own belongings.

It is worth arranging a check-in with your tenant, where you can go through the items on the inventory in person before they sign to agree that everything is as described.

5. Check off compliance & utility checks at the same time

When completing an inventory, it is a good opportunity to do compliance checks at the same time. This includes checks such as:

• Testing smoke and carbon monoxide alarms to ensure they are working
• Electrical safety (visual checks of plugs, sockets etc.)
• Ensuring certificates are valid and up to date
• Legionella risk assessment
• Fire safety check – Fire safe labels on furniture, escape routes are clear

You should also take utility readings and photos of the readings and look for any issues such as water leaks from the boiler, radiators, pipework or taps/toilet, shower.

Document the compliance checks that you complete to store as evidence.

6. Schedule follow-up inspections

You should schedule regular inspections of the property to check that it is being looked after properly and to find out about any issues. You must give your tenant 24 hours’ written notice before an inspection, and it must be carried out at a reasonable time of day.

Tenants have the right to refuse an inspection if they wish. Inspections should take place every three to six months.

7. Be clear on the rules about damage and wear and tear

If you wish to charge your tenant for any damage, first be sure it has been caused by carelessness or neglect – not routine wear and tear. You can’t charge your tenant for the inevitable results of day-to-day living, such as worn carpets or scuffed walls.

The table below outlines what is considered to be wear and tear and what is regarded as damages where the tenant is responsible for covering repair costs:

Category	Fair wear & tear (landlord responsibility)	Tenant damage (tenant responsibility)
Walls & paint	Minor scuffs, faded paint over time	Holes in walls, large marks, unauthorised repainting
Flooring (carpet/wood)	General wear, slight fading, flattened carpet	Burns, deep stains, ripped carpet, water damage
Furniture	Light wear, slight fading of fabric	Broken frames, heavy stains, large spills, pet damage
Kitchen (units/worktops)	Light scratches, normal use marks	Chips, burns, deep cuts, broken doors
Bathroom	Limescale build-up, worn sealant	Broken fixtures, mould from neglect, damage
Appliances	Wear from normal use, ageing	Misuse damage, missing items, poor maintenance
Windows & glass	Minor wear to frames	Cracked/broken glass
Doors & locks	Slight loosening over time	Broken handles, forced locks
Garden (if applicable)	Seasonal changes, minor growth	Overgrown garden, dead plants due to neglect
Cleanliness	General lived-in condition	Excessive dirt, rubbish left behind

If there is genuine damage, you should get an estimate for the repair and pass a copy to the tenant. If you both agree to take the amount from their tenancy deposit, you should inform the tenancy deposit scheme. Alternatively, you may wish to invoice your tenant for the cost of the repair.

8. Be ready for the end of tenancy check

You should arrange an end of tenancy check-out meeting on the day your tenant moves out. It should take place with them present, and once all their belongings have been removed from the property. Have a copy of the inventory to hand and check the condition of the property against everything listed.

9. Landlord inventory – Deposit disputes

As you can see, a landlord/property inventory is one of the most important documents that you will have as a landlord. It allows you to protect your investment and prevent future disputes with tenants over the deposit. If a dispute does occur, the inventory gives you crucial evidence to resolve matters swiftly in any dispute resolution process.

Landlords can only deduct money from their tenants’ deposit if they can prove they have incurred a financial loss, for example repairing damage to the property or cleaning costs. Usually, landlords and tenants can reach an agreement on how much of the deposit will be returned. However, if an agreement cannot be reached the tenancy deposit schemes all offer free dispute resolution services.

They are experts on landlord and tenant law and will usually instruct an adjudicator to preside over the matter. Their decision, which is final and binding, will be based on the evidence presented by the parties involved. Therefore, it’s essential that you have a thorough inventory and check-in/check-out reports on file.

If you fail with a claim to deduct money from the tenant deposit, you might still be able to claim for damage under your landlord insurance cover.

10. Make your checklist clear and thorough

When you are creating your checklist, remember that you may need to use it as evidence if you have to present it to a dispute resolution service or solicitor. Therefore, it should be comprehensive and should be as detailed as possible.

Ideally, you should include photos and videos as proof of condition and you should include brand names, serial numbers and as much detail about items as possible. Make sure that you keep a record of any communications with tenants about issues with items and keep receipts for any items you buy for the property.

The inventory list should be in a professional document and the tenancy agreement must explicitly refer to the inventory. The tenant’s signature must be on the inventory.

11. Use an app to help with your inventory

To make it easier to complete comprehensive inventories and keep records, you can use specialist apps that provide digital inventory templates.

Some of the best app options for landlords include:

• Inventory Hive
• Kaptur Inventory Pro
• InventoryBase
• zInspector

Frequently Asked Questions

Get in touch

If you’re a new buy-to-let landlord in Ilford, Stratford, Bromley or other areas of East London, we offer inventory services and can advise you on compliance responsibilities when renting out property – from finding the right rental to understanding how long it takes to evict a tenant. Contact us today to discuss the services we offer.

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