Providing Furniture, Fixtures, Appliances and Inventories

Providing Furniture, Appliances and Fixtures

Property is let in many ways, furnished, unfurnished or semi-furnished (an old-fashioned term which means carpets and curtains).

There's no rule of law that says what furniture, fixtures, or appliances must or must not be provided. Contrary to popular belief, no legislation requires a cooker or a fridge.

Most rented properties would include floor coverings, curtain poles, window coverings, cooker and fridge.

What to provide depends on the market you're aiming for or local customs.

For example, student lettings would generally only let if they are fully furnished. However, a small family house will often be let unfurnished with just carpets, curtains and kitchen appliances (cooker, fridge and washing machine).

Which is worth more rent — furnished or unfurnished? There are arguments both ways to this question. On the one hand, you might think that if it were fully furnished, that extra expense by the landlord should be worth more in rent. However, that's not always the case because if the prospective tenant has their furniture (which is common), they would have to pay to store their own, and as such, the rental value to them is lower.

There is, therefore, no particular answer to the question. The ideal is to be as flexible as you can, and if the tenant would prefer unfurnished, be able to offer that.

As a general rule, unfurnished is more manageable from a management perspective:

• There's less to get damaged or wear down.
• It's easier if work is needed, such as decorating in-between lets, because the furniture doesn't require moving.
• An inventory is quicker and easier to produce because there's less to go through.

But, as mentioned earlier, if your particular market would let easier with furniture, that's the way to go.

Making an Inventory / Schedule of Condition

Having an inventory (sometimes also called a statement of condition) is essential if the property is furnished and an excellent idea even if it is unfurnished. An accurate and current inventory will help protect the position of both parties and provide evidence to prove the condition of the property when it was let.

Care should be taken when preparing an inventory. Make a detailed list of all the belongings and furniture provided when a tenant first moves in. It is also essential to record the condition of such things as walls, doors, windows, carpets etc. The landlord should agree upon the inventory with the tenant before they move in, and each party should hold a separate copy. The landlord should then recheck this at the time the tenant moves out. The inventory will only protect if both parties agree on it and if it is thorough and detailed. If the inventory records' four chairs', that says nothing about whether they match their quality or condition. The condition of the furniture, including existing damage to the furniture and fittings, decorations and other contents, should be noted on the inventory and agreed with the tenant.

Photographs are often a good idea, particularly with high-value furnishings. With some properties, landlords and agents are now also taking videos, but this has more limited value in dispute resolution as they are much harder to work with.

When taking photographs, ensure not just the mark or stain being complained about is photographed close up. A further picture at a distance to show the spot or stain should be taken to indicate context and size.

A thorough and detailed inventory will help avoid disputes, particularly those involving the return of a deposit. It is advisable to keep all receipts and record the meter readings in the inventory. Remember that if there is a dispute over the property's condition and this goes to court or a deposit scheme adjudicator, it will generally be for the landlord to prove the claim.

The tenancy deposits schemes (see next) have produced practical joint guidance titled Tenancy Deposits, Disputes and Damages, which has helpful advice about creating inventories, amongst other things.

Taking an inventory is a long job, and many landlords now use professional inventory clerks to do this for them. The advantage of this is that if a dispute over the condition of the property ever happens, they will be able to give independent evidence to the judge. Suppose an argument about the state of a property goes to court or a deposit scheme adjudicator. In that case, generally, it will be for the landlord to prove the claim and be entitled to the deposit (or part of the deposit).

Inventory clerks can be found via the Association of Independent Inventory Clerks website.