How to do the final inspection

Within 3 days of the tenant handing back the keys, the owner should complete a Final Inspection. 

Here's how:

1. Conduct a final inspection

Visit the property and compare the entry condition report that was completed at the beginning of the tenancy to the condition now. Write down and take photos of anything that is not clean or that has been damaged by the tenant. You must allow for fair wear and tear.

Take a water and electricity meter reading if the tenant pays the owner directly (not to supplier) and calculate the final water payment (this is not applicable in VIC).
For VIC - End of rental agreement Condition Report downloadable here: VIC---Part-E---Condition-report.pdf.  This must be completed within 10 days of the end of the tenancy. The renter must be present, or given reasonable opportunity to be present. 

2. Notify the tenant of action items

Phone and email the tenant the items they need to action (clean, repair or replace). Cubbi automatically calculates final rent payments but the owner will need to calculate any water owing (if electricity if paid direct to owner).

3. Agree on Bond refund/claim

You must allow the tenant reasonable time (2 days in most cases depending on the situation) to make good any action items above. You may find it better to agree on a compensation figure instead of cleaning, repairing or replacing (see below).

Notes:

Agree on compensation: There are no prescribed costings to work from when determining the cost of items as everything differs in value. For more expensive items to repair or replace you can check the costings by getting a quote from a tradesperson. If you need to go to Tribunal you will need 2-3 quotes if you want to claim big items. However for smaller items like light fittings they can just be replaced, like for like (should be exactly the same because it would look odd having different light fittings), however if you are unable to get the same item/part a good strategy is to agree on a compensation amount (based on costings from Bunnings for example) and take it from the bond.

Carpet cleaning: An owner cannot ask that the tenant have the carpets professionally cleaned, or pay the cost of such cleaning, at the end of the tenancy unless the cleaning is required because animals have been kept on the premises during the tenancy. However in most scenarios, if the entry condition report shows the carpets were professionally cleaned and the carpets are not in the same condition now you may have grounds to request the tenant to professionally clean the carpet. 

Light globes: If they were working at the start of the tenancy the tenant must replace the light globes.

Checklist BEFORE refunding the bond

  1. Final inspection as above has been completed
  2. All keys have been handed back to the owner (tenant has provided possession of the property back to the owner)
  3. All rent is paid up to date
  4. Water (and any other utilities paid directly to owner) is paid up to date