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Damages vs. Wear and Tear

Damages vs. Wear and Tear

by Patti “Widget”, Regional Trainer

Your tenant has vacated the property and you know have 21 days to account for the security deposit. The law
allows landlords to deduct portions of the security deposit to cover the cost of damages caused by a tenant.
Landlords cannot deduct normal wear and tear, or the expected depreciation of a property. E.g. If carpeting has
been destroyed and it is 8 years old, perhaps no allowance is appropriate as the floor coverings were due for
replacement. Similarly, destruction of brand new carpet may result in full replacement cost to be deducted from
the deposit.

Damage vs. Wear and Tear: What Can Be Deducted from Security Deposits? The law allows landlords to deduct
portions of the security deposit to cover the cost of damages caused by a tenant. However, landlords cannot deduct
to repair normal wear and tear, or the normal depreciation of a property.

Wear And Tear

Normal wear and tear is the physical deterioration that occurs with normal use. Wear and tear generally excludes
occupants’ or their guests’ negligence, carelessness, accident with, or abuse of the premises, fixtures, or chattel
property. Normal wear and tear is deterioration or depreciation in value by ordinary and reasonable use.

Other signs of everyday wear and tear are worn electrical switches, frayed pull strings on blinds, lightly scuffed

hardwood floors, loose caulking, peeling wallpaper, faded curtains, and dirty window screens. Time and regular
daily use can cause any of these items to become worn, which does not constitute damage.

Damages

When a tenant causes damage beyond normal use, a landlord has cause to charge the tenant for the damages. This
may include damages inflicted by the tenants, their guests, or pets.

* Matted carpet or furniture impressions are wear and tear; burned or stained carpeting is damage.
¢ A few small nail holes are wear and tear; large holes in the walls constitute damage.
* Fading or yellowing of paint is wear and tear; large stains on the walls and ripped wallpaper are damage.

- If you have a leaky window that allows rain to blow in, have it repaired before it damages the woodwork
around the window or the flooring.

* Ifyou have a dripping kitchen pipe, have it repaired before it causes the wood under the sink to rot.
+ Ifthe wall behind a door is missing a doorstop, expect that the doorknob may punch a hole into the wall.

* Worn carpet and linoleum, Stained carpet and linoleum

Cracks in walls caused by settling, Holes and dents in walls caused by accidents or carelessness

Garbage disposal that stops working because motor dies, Garbage disposal that breaks because a fork
jammed inside.

Watering can left in yard, Trash pile in yard, outdoor furniture left on patio.

Laminate top separated from countertop base, Burns and chips in laminate countertop

Reasonableness of Wear and Tear

State law often defines the reasonableness of wear and tear, which often depends on the tenants’ length of
residency. For instance, if the tenants lived in the property for three years, it may be reasonable to expect to
paint the walls and clean the carpets. If the tenants lived in the property for six years, it may be reasonable
to expect to replace the carpeting. The property owner typically bears the costs for normal wear and tear
maintenance.

Many courts will allow you to prorate the useful life of a damaged item. If the court believes that the useful
life of carpeting in a rental dwelling is five years, then the cost of replacing the carpeting would have to be
prorated over a five-year period. You cannot charge the former tenant the full replacement amount if items
are past or well into their life expectancy.

Keep in mind that the security deposit belongs to the tenants, and you act as an escrow agent to hold and
care for the tenants’ deposit. However, the funds may revert to you at the end of the tenancy if you make a
successful claim against the deposit (in compliance with local and state laws) or the tenants have otherwise
forfeited the deposit through violation.

Common Sense should guide you through the decision of what portion, in any, of the security deposit is to
be refunded. Just remember to keep good records and receipts. The ultimate determination of the deposit
may be decided by a judge in court.

About the Author: Patti “Widget” is the marketing director for Fast Evict.com Law Group. She has 22 years’

experience as a regional property manager. Patti teaches several training classes, and has published articles for
various apartment associations.

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