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How to understand a schedule of dilapidations

How to understand a schedule of dilapidations


A schedule of dilapidations is utilized by a landlord to make sure that tenants adhere to the stipulations of the lease particular in areas including repair, redecoration or reinstatement of appliances or fixtures. In a tenancy agreement you will often find clauses stipulating the standard that the property should be kept, this will often determine whether a tenant can redecorate or make any changes to the fixtures and appliances. There are two main forms of the schedule of dilapidations commonly used by landlords, interim dilapidations and terminal dilapidations.

An interim schedule of dilapidations, as the name suggests, is issued during the term of the lease to make the tenant aware that they're not complying with all the terms of the lease and are required to act to fix the problem. The interim schedule of dilapidations may also outline the fees a tenant will have to pay should the tenancy agreement be ended prematurely. Issuing this type of document can be a tactical move by a landlord to make sure that any situation is rectified should the tenant not be complying with the tenancy agreement.

Whenever a tenancy comes to an end if there are issues that the tenant is to incur fees to rectify, a terminal schedule of dilapidations can be used. It is definitely the cheaper and easier option from a tenant's perspective to fix any problems following an interim schedule of dilapidations than after a terminal schedule. With the interim schedule of dilapidations the tenant has the chance to rectify the issue and simply pay for any substitute items and the associated labour. However, when the tenant ignores the interim schedule, the terminal schedule compiled by the landlord may very well be more costly due to the inconvenience caused to the landlord as well as the associated paperwork. Furthermore, if the tenant doesn't heed the terminal schedule they are likely to face hefty legal costs in addition to the initial costs of rectifying the main problem.

The schedule of dilapidations is drawn up coming from a landlord's viewpoint so it ought to be checked by the tenant before moving forward to consider further action. A schedule of dilapidations must abide by specific standards, it must detail the clause in the tenancy agreement that the tenant is in breach of, a description of the breach, a remedy suggested by the landlord's surveyor, a suitable remedy in line with the tenancy agreement and details of any associated costs . As previously mentioned, the schedule of dilapidations needs to be cross-checked by the tenant against the original letting contract. When the breach is clearly in violation of the letting contract it is advisable to adhere to the landlord's requests straight away to avoid further expense. However, in the event the letting contract is not breached the tenant is not obliged to pay for any work to the property.
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