Most tenancies end dispute free reveals My|Deposits
Findings from my|deposits reveal that the majority of tenancies end without any issues over the return of the tenant’s deposit.
Last year approximately 99% of my|deposits members returned their tenant’s deposits either in full (60%), or with deductions agreed by the tenant (39%), without the need to involve the scheme.
However, the good news is tempered by the findings that some tenants could be missing important information that may affect the return of their deposit.
Research from the my|deposits TDP Tenant Panel* shows that fewer than six in ten (58 per cent), and only two-thirds (64 per cent) of tenants say they read their tenancy agreement or inventory thoroughly at the lstart of the tenancy, respectively.
Sean Hooker, Business Development Manager, my|deposits, said:
“The fact that the overwhelming majority of tenancies are ending without any issues is positive news and is further evidence that TDP is helping to improve the process of taking deposits in England and Wales.
“However, it’s vital that tenants carefully read both the tenancy agreement and inventory as they contain essential information and may detail the conditions in which deductions may be made to their deposit”.
For situations where problems arise over the return of the deposit, my|deposits has produced a guide to negotiation for landlords, agents and tenants. The guidance focusses on the importance of communication between both parties and aims to resolve issues that could otherwise end up in a formal deposit dispute or, even court.
Sean Hooker continued:
“Unfortunately issues over the return of the deposit do arise but it is beneficial for both parties to resolve their differences before it escalates to adjudication as this will delay the return of the deposit.
“Communication is the most effective way to resolve these issues and we hope the guide to negotiation will be of practical use for those who have difficulties in reaching an agreement at the end of the tenancy.
“In a small number of cases where landlords and tenants aren’t able to reach an agreement over the return of the deposit, the matter can be resolved through our free award-winning alternative dispute resolution (ADR) service.”
* my|deposits TDP Tenant Panel – Oct 2012 (507 tenants surveyed)
Article courtesy of Property118
RentPro property management software can assist you with managing deposits, from recording payment of deposits, to ensuring they are lodged within the legal time frame, to even allowing you to return the deposit as is agreed at the end of the tenancy.