NSW Tenant Damage - What to do?

Hello forum,

Tenant has caused the following damages to property:

• Damaged walls moving in
• Installed wall mounted TV's without permission
• Toilet seat
• Flooded hall and bedroom carpet leave tap on
• Place is filthy and untidy
• Marks on many walls
• Stains on carpet

PM has inspected twice without improvement.

Should I issue termination notice immediately based on tenant damage or just wait till the end of lease in 3 months?

PM is stating that if it goes to tribunal that they will side with the tenant as there is not enough serious damages.

I have insurance, do I lodge a claim now or when they are finally out of the property?

Thanks for any advice.

 

Pm should have been more strict with them during tenancy , but now that you’re here it’ll be a bond claim at end.

How old is carpet and when was last painted ? Most tribunals (and most insurers) will factor in depreciated age of those things , ie was it new or due to be redone anyways?

Insurance comes after bond claim done , they’ll want to see bond is used up first. It’s unlikely there’ll be insurance for the things you’ve listed since bond will probably cover and excess payable on insurance etc.

The one that sticks out as an exception though is the flooded hall. Can you tell me more about that ?

 

Sell up, the market is too good not to take advantage of the upturn. (maybe resi isn't for you).

 

This was the first inspection of 6 month lease.

I'm concerned about the loss of rental income and costs to find a new tenant.

Is it possible to lodge an insurance claim now and have the release and vacancy costs paid by insurance?

I don't see why I should wait until the lease is over, or is waiting the better approach?

The flooded hallway/bedroom was a result of the tenant leaving the tap on is what I'm told. The carpet was lifted and dried with blowers.

The carpet and paint is only 1 year old.

 

I don't think you would want to be waiting,maybe just ring your insurance and ask for a claim number and let them and your 'PM' deal with the problem..imho..

 

Do you mind expanding on why submitting a claim now is the best approach?

Should I issue them with a termination notice as well?

Will I be able to claim loss of rent?

 

Do not wait, Get the agent to breach the tenant on the damage and seek rectification immediately - If you allow this to drag on without any steps to mitigate your loss you may find insurance wont cover anything once you've exhausted the bond.

 

Thanks for your advice Hayley.

So should I lodge an insurance claim and have the items resolved?

I'm worried that the tenants will continue damaging things especially the walls when moving out.

Do you mind explaining a bit further?

 

You should have your agent send a breach notice and give the tenant a chance to rectify the damage - if they don't pursue vacant possession at tribunal. Insurance should be left until the tenant has vacated and you can establish the actual loss.

The only exception to the above is for you to contact insurance to have the flooded carpet dried/replaced if required - everything else will be claimed at vacate.

 

The agent already did an initial inspection, and gave them a couple of weeks to resolve. They didn't. The agent is telling me that the tribunal will not favour me as the damages are not severe enough... so should I just issue the tenants notice that they will need to vacate at the end of lease?

Is there an insurance benefit to going through tribunal now, even though it not likely to go my way?