Dilapidations

General

Damage or deterioration of a property beyond fair wear and tear, for which a tenant may be liable at the end of a tenancy

Dilapidations refers to damage or deterioration of a rental property beyond fair wear and tear, for which tenants may be liable at tenancy end. Examples include holes in walls, burns on carpets, and broken fixtures through misuse. Deposit protection schemes consider tenancy length, original condition, item quality, and occupant numbers when adjudicating claims, with landlords unable to deduct for like-for-like betterment.

Dilapidations vs Fair Wear and Tear

Fair Wear and Tear (landlord's responsibility):

  • Gradual fading of paintwork
  • Worn carpet in high-traffic areas
  • Minor scuffs on walls
  • Natural deterioration of fixtures

Dilapidations (tenant's responsibility):

  • Holes in walls
  • Burns or stains on carpets
  • Broken fixtures through misuse
  • Damage from pets (if not permitted)
  • Significant scratches on wooden floors

Assessing Dilapidations

Factors considered when assessing liability:

  • Length of tenancy: Longer tenancies = more fair wear expected
  • Property condition at start: Comparison with check-in report
  • Quality of original items: High-end vs. basic finishes
  • Number of occupants: More people = more wear expected
  • Age of items: Near end of useful life = limited claim

Calculating Deductions

Deductions should reflect:

  • Betterment: Tenant shouldn't pay for improvements
  • Like-for-like: Replace with equivalent, not upgrade
  • Apportionment: Partial damage = partial cost
  • Evidence: Quotes or receipts required

For Letting Agents

Managing dilapidation claims:

  • Ensure thorough check-in documentation
  • Conduct fair and unbiased check-outs
  • Apply betterment calculations correctly
  • Provide evidence for all deductions
  • Understand ADR process for disputes
  • Be realistic about what constitutes fair wear and tear

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