DenCO Property Management (DenCO), as a policy, conducts two annual rental property inspections because it is better to be proactive and remedy any issues before they become problematic. It is also prudent to determine whether or not a tenant is complying with their lease agreement. The first step in preparing for a rental inspection is to ensure the inspector arrives prepared. Bring tools for home maintenance such as a hammer, screwdrivers, wrenches, pliers, Allen wrenches cutters, scrapers, electric outlet tester, gloves, light bulbs, batteries, drain cleaner and plunger, flashlight, and other tools to get the job done. Sometimes renters get held up, so do not forget to take the keys for each property.
Notice of Inspection
The second step is to notify the tenant that it is time to inspect the property. The DenCO lease agreement clearly states that the property management company will give a 24-hour notice for each inspection. The request should not be unexpected. Inform the renter that the walk-through is about safety. We are coming to check the furnace, look at maintenance issues, or ensure the smoke and carbon monoxide detectors and fire extinguishers are working correctly. It is also courteous to be punctual if the tenant is present during the inspection. Do not assume renters read their emails. If they do not respond, call them to confirm the appointment and mention that the managers can let themselves in if they cannot be there. Never go over to the property without confirmation.
During the Inspection
Upon arrival, be prepared for the renter to have a list of issues they want addressed. The property manager should use the appropriate inspection form to fill out during the visit.
- Be friendly and professional to make the tenant feel comfortable about the inspection.
- Note the property’s condition by walking through each room and recording any damage, wear and tear.
- While inspecting, tighten doorknobs or other loose items.
- If the furnace filter is dirty, politely remind the renter that they need to change the filters more often.
- Note any unauthorized pets or roommates.
- Look for cigarette butts and signs of drug use in and out of the home.
- If the rental is a house, walk around the exterior noting condition of the lawn and any accumulation of leaves and trash in the yard.
After the inspection, it is best to return to the office to complete all forms while the details are fresh in one’s mind adding pictures to support inspection findings. Once finished, add all forms and supporting documentation to each renter’s folder.
Lease Violations Observed
If the manager notices unauthorized activities, he must notify the tenants in writing immediately! In the communication, be specific about each infraction backed up by clauses from the lease agreement. Typical infractions are:
- Unauthorized pets in the unit.
- Unauthorized people who are living in the house or apartment.
- Poor lawn maintenance, such as not watering or mowing the lawn and letting weeds grow.
- Rooms painted a different color in the unit, not original to the home.
- Tenant-caused damage such as wall holes, significant floor scratches, broken fixtures, etc.
- The furnace filter is not being changed every three months.
Depending on the violation, additional paperwork may be required. For example, an unauthorized person 18 or older who wishes to stay must complete a DenCO application and undergo a credit and background approval process. The manager must contact the property owner for approval if the inspector finds an unauthorized pet. If granted, a pet addendum must be added to the lease and signed by the tenant. Depending on the lease breach, renters may have to pay an additional security deposit and a lease modification fee. If the inspection discovers an egregious violation, the manager must prepare and deliver an official notice to the renter, asking them to cease the violation by a specific date or they need to vacate the property.
Lease-end Inspections
After the tenant moves, it is time to do an end-of-lease inspection where the property manager lists all damage inside and outside the unit. Be sure to check the property for cleanliness closely. The oven, ceiling fan blades, baseboards, top and back of the refrigerator, plumbing fixtures, and top of window sills are locations where tenants usually do not clean. Take pictures to document all dirty items. These pictures are added to the lease end report and presented to the renter to justify all cleanup and repair costs. After the manager completes the inspection, they should prepare work orders divided by tenant responsibility items and those the property management company covers. The last action is placing a lockbox on the door.
Investment property owners, if you are looking for a professional property management company to handle rental inspections, please consider DenCO. DenCO manages over 150 home, duplex, and apartment rentals in the DU, Washington Park, and other Denver neighborhoods and has been in business since 1990. Call us at 303-722-9688 or click here to complete a contact us form.
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