When a tenant decides to move out of your property, there are a couple things to watch out for when managing the process. Once you know the lease is not going to be renewed, make an appointment with the tenant to get together. At that meeting, the tenant can return the keys to you, provide a forwarding address and pay any balances that might be due.
After the tenant moves out, go through the property and conduct a detailed inspection. Make a note of any damages. Do not do this with the tenant. This is something you should do alone after everything has been moved out and you have the keys back. Use the move in/move out inspection form that you had when the tenant moved in. You have to use the same form at the time of move out that you did at the time of move in so you can accurately compare the condition of the property to what it looked like before the tenant lived there.
Make a note of any new damages or problems that were not present at the time of move in. Figure out the cost of those damages and calculate how much you will need to charge for those damages. You might have holes in the walls or broken window shades or larger damages that will require major re pairs. Add all the costs up and reach a final dollar amount. Once you know how much it’s going to cost to return your property to the way it looked at the time of move in, prepare a Notice to Impose Claim on a Security Deposit. On the notice, show your calculations so the tenant knows how you arrived at the amount that is owed. You can show how that amount was deducted from the security deposit.
Finally, mail the notice to the tenant with any amount of the security deposit that is being returned. You must send this notice out within 30 days of a tenant’s move out date. Include a copy of your inspection report and enclose a check for any money that is due to be refunded from that deposit.
A smooth move out process will help you keep your property in good shape and it will also help you avoid losing money. If you have any questions on how to manage the process when a tenant moves out, please contact us at Cape Shore Property Management.