As a landlord, one of the most common challenges you’ll face is determining what constitutes damage versus fair wear and tear at the end of a tenancy. Understanding this distinction is crucial, not only for maintaining good relationships with your tenants but also for ensuring that your property remains in good condition and that any necessary repairs are fairly allocated. At Cliquey Realty, we want to help you navigate this often tricky area with confidence.
What is Fair Wear and Tear?
Fair wear and tear refer to the natural and expected deterioration of a property that occurs over time due to normal usage. It’s important to recognise that all properties will experience some level of wear and tear, and this is generally not the tenant’s responsibility to repair or replace. For example, fading paint, minor scuff marks on walls, or worn carpets are typical examples of fair wear and tear.
According to the guidelines issued by Consumer Affairs Victoria, fair wear and tear are distinguished by factors such as the age of the property, the duration of the tenancy, and the condition of the property at the beginning of the lease. The key is to assess whether the wear is a result of reasonable use or natural forces like sunlight and weather conditions, rather than negligence or intentional damage by the tenant.
What Constitutes Damage?
Damage, on the other hand, is generally defined as harm that is beyond the scope of what can be considered fair wear and tear. This could include things like holes in walls from hanging pictures without proper hooks, burns or cuts in a kitchen benchtop, or stains on carpets caused by pets. Such damage is typically the tenant’s responsibility to repair or compensate for, as it goes beyond what would be expected from normal use of the property.
For example, if a kitchen benchtop has minor scratches due to regular use, this is likely fair wear and tear. However, deep gouges or burn marks would be considered damage. Similarly, worn carpet from foot traffic is fair wear and tear, but large stains or burns would be classified as damage.
Pet-Related Wear and Tear
With the increasing number of tenants owning pets, it’s important to distinguish between pet-related wear and tear and damage. Fair wear and tear might include minor scratches or wear on floors from pet traffic. However, significant damage such as deep scratches, chewed skirting boards, or stains from pet accidents would typically fall under the category of damage and may require the tenant to cover the cost of repairs.
How to Manage Disputes
Disputes over what constitutes damage versus fair wear and tear often arise when tenants move out. To prevent these conflicts, it’s essential to have clear documentation from the start of the tenancy, including a thorough condition report and regular inspections throughout the lease.
If a dispute does occur, the Victorian Civil and Administrative Tribunal (VCAT) will refer to the guidelines issued under the Residential Tenancies Act to help determine whether the issue falls under fair wear and tear or damage. As a landlord, it’s crucial to be familiar with these guidelines and to apply them consistently to ensure fair outcomes.
Final Thoughts
Navigating the line between fair wear and tear and damage can be challenging, but understanding the guidelines and documenting the condition of your property thoroughly can help. At Cliquey Realty, we are committed to helping landlords manage their properties effectively and fairly. If you have any questions or need assistance with property management, don’t hesitate to contact us.