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 requires or prohibits the provision of furniture, fixtures, or appliances. Contrary to popular belief, no legislation requires a cooker or a fridge, although there must be a space for a cooker in the kitchen under HHSRS.

Most rented properties would include floor coverings, curtain poles, window coverings, a cooker, and a 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 for and against this question. On the one hand, you might think that if it were fully furnished, the landlord’s extra expense would be offset by higher rent. However, that’s not always the case: if the prospective tenant has their furniture (which is common), they would have to pay to store it, 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 need to be moved.
• 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 up-to-date inventory will help protect both parties’ positions and provide evidence of the property’s condition at the time 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. Record landlord-supplied appliances, furniture and furnishings, including make, model or serial numbers where useful, condition, manuals or safety information provided, and any keys, meters or remote controls supplied. It is also essential to record the condition of items such as walls, doors, windows, and carpets. The landlord should agree on the inventory with the tenant when the tenant moves in, and each party should keep a separate copy. The landlord should then recheck this when 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 show four chairs, that says nothing about whether they match, their quality, or condition. The condition of the furniture, including any existing damage to the furniture, 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 limited value in dispute resolution, as they are much harder to work with.

When taking photographs, ensure that not just the mark or stain being complained about is photographed close up. A further picture from a distance showing the spot or stain should be taken to provide 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.

Taking an inventory can be 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 property’s condition ever arises, they will be able to provide independent evidence to the judge. If an argument about the state of a property goes to court or to a deposit scheme adjudicator, it will generally be for the landlord to prove the claim and that they are entitled to the deposit (or part of it). Alternatively, AI is now advancing to a level that makes it much easier for a landlord to create an inventory as it improves.

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

Where furniture, furnishings or appliances are supplied with the tenancy, landlords should ensure they are safe and suitable for use. Upholstered furniture and furnishings should comply with applicable fire-safety requirements, and supplied electrical appliances should be safe, undamaged and maintained in a safe condition. Portable appliance testing is not automatically required for every item in every letting, but it can be a useful way of demonstrating that landlord-supplied electrical appliances have been checked at appropriate intervals.