At the beginning of a tenancy when a bond is paid, an ingoing condition report must be prepared. This report can also be called the ingoing inspection report.
The inspection report describes the condition of the property and any current damage or issues. This is what will be used at the end of a tenancy to determine if money might be taken out of a bond and paid to the landlord to repair damage.
The condition report usually aims to:
- Specify the condition of the walls, floors and ceilings in each room in the premises to which the tenancy agreement relates;
- Itemise and specify the condition of any fixture or chattel that is ancillary property (for example furniture, household garden watering system, garden not forming part of the premises etc.).
- Never sign a blank condition report.
- Landlords write out the condition report.
- Tenants need to check the condition report carefully and make comments in the section provided if they disagree or believe that there has been some damage missed.
- Either tenants or landlords can submit photos of the condition of the rental property before the tenant moves in.
- Always make sure condition report photos are time stamped.
- This can be extremely useful as photos provide proof of date of markings, discolouration and scratches that could be disputed as serious damage.
State or Territory Requirements
A condition report must be completed by or on behalf of the landlord, before or when the residential tenancy agreement is given to the tenant. The tenant must be given 2 copies. There is a standard form agreement to use.
Within 7 days after receiving it, the tenant must sign and return 1 copy to the landlord or agent and a copy of this document must be kept by the landlord and tenant.
As soon as possible following the end of a tenancy agreement, the landlord, agent or tenant must complete the copy of the condition report in the presence of the other party. If the other party is given reasonable opportunity to be present but is not at the property, the condition report can still be completed without the other party present.
The landlord or agent, on or before the day the tenant moves into the property, must complete and sign a condition report and give a copy to the tenant.
Within 3 days after the tenant occupies the premises, the tenant must sign the agreement and mark on the document any parts of the report the tenant disagrees with before returning the copy to the landlord or agent.
The landlord or agent must then copy and return the tenant’s copy to them within 14 days and keep a copy for 1 year.
At the termination of the tenancy, the tenant must complete and sign the condition report and give a copy to the landlord or agent.
Within 3 business days after receiving the report, the landlord or agent must sign the copy and mark on the document any parts of the report the landlord disagrees with before returning the copy to the tenant. This also must be kept for 1 year by the landlord or agent.
Before the tenant enters the property, the landlord must give the tenant 2 copies of a condition report signed by or on behalf of the landlord, specifying the general condition of the property. Within 3 business days of entering the premises, the tenant must return one copy signed or clearly marked with parts of the report that the tenant disagrees with explained on the document.
The landlord or agent must give the tenant 2 signed copies of a report no later than the day after the tenant takes possession of the property. The tenant must return 1 copy to the landlord or agent signed by the tenant and including a statement that they agree or disagree with parts of the report within 2 weeks after receiving it.
A condition report in South Australia is referred to as an ‘inspection report’.
Within 14 days of the end of the tenancy, the landlord or property manager must conduct a final inspection and prepare the report providing the tenant with a copy.
If an owner requires a security deposit by or on behalf of a prospective tenant, the owner is to give the tenant 2 copies of a condition report. The report must be signed by the owner and state the condition of the premises on or before the day on which the tenant occupies the premises.
It must specify: the general state of repair and condition of the premises.
The tenant is to sign one of the copies of the report including a statement that the tenant agrees or disagrees with the report as a whole or any part of it, and return that copy to the owner within 2 days.
Can be made entirely in writing, partly in writing, partly by using images or entirely by using images (this can be photo, film or other digital method
The landlord must give a signed condition report to the tenant no later than 3 business days after the tenant takes possession of a premises or after the start of a continuation of the tenancy agreement.
The landlord is to fill out the condition report in the presence of the tenant or a representative of the tenant (not the landlord or landlord’s agent) unless it is not practical to do so or the tenant’s representative does not turn up.
The tenant needs to return the condition report either accepted or with modifications on the condition report initialled within 5 business days. Otherwise the report will be taken as accepted by the tenant. The landlord then has 5 business days to accept the changes and return a copy to the tenant or negotiate with the tenant to change the tenant’s modifications or apply to the Tribunal. If these actions are not taken, the landlord is taken to have accepted the modifications to the condition report.
If a tenancy is renewed and a new condition report has not been prepared, the condition report has effect for the continuation of the tenancy. The landlord must not require the tenant to vacate the premised for preparing a condition report.
Within 3 business days after the tenant vacates the property, the landlord is to complete and sign the condition report in the presence of the tenant or a representative of the tenant (not the landlord or landlord’s agent) unless it is not practical to do so or the tenant’s representative does not turn up.
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These legal guides provide a brief summary and introduction of the laws and regulations affecting renting. They do not cover all cases and might not apply to your specific rental property situation. It is important that you use this information as a guide only and seek independent Legal Advice or consult the Relevant Legislation. Snug does not accept any liability that may arise from the use of this information.