MOL Sample Workbook for Residential Inventory Management and Practice

Transcription

1 Nationa Federation of Property Professionas Quaifications MOL Sampe Workbook for Residentia Inventory Management and Practice

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3 Introduction Unit 4 introduction to the sampe workbook This sampe workbook is a guide to the compete set of workbooks for the Scottish Technica Award in Residentia Inventory Management and Practice, written and provided by MOL on behaf of the Nationa Federation of Property Professionas (NFOPP). The fu range of property quaifications avaiabe from MOL/NFOPP is as foows. Award in Introduction to Residentia Property Management Practice (Leve 2) This is an introductory quaification offering basic knowedge in the most important subject areas reated to residentia etting and property management. Unit 1 Genera Law, Heath, Safety and Security in Reation to Residentia Letting and Property Management Unit 2 Customer Service within the Property Sector Unit 3 Introduction to Residentia Property Letting Practice Unit 4 Introduction to Residentia Property Management Practice Technica Award in Residentia Letting and Property Management (Leve 3) This programme is designed as an introduction to the knowedge and understanding required by those working, or aspiring to work, in residentia etting agency. Unit 1 Heath and Safety, Security and Genera Law Unit 2 Lega Aspects of Letting and Management Unit 3 Residentia Property Letting Practice Unit 4 Residentia Property Management Practice Technica Award in the Sae of Residentia Property (Leve 3) The Technica Award in the Sae of Residentia Property is designed as an introduction to the knowedge and understanding required by those working, or aspiring to work, in residentia estate agency or new homes saes. Unit 1 Heath and Safety, Security and Genera Law Unit 2 Law Reating to Residentia Property Saes Unit 3 Practice Reating to Residentia Property Saes Unit 4 Property Appraisa and Basic Buiding Construction/Defects Scottish Technica Award in Residentia Inventory Management and Practice MOL 3

4 Unit 4 Residentia Inventory Management and Practice Technica Award in Commercia Property Agency (Leve 3) The Technica Award in Commercia Property Agency is designed as an introduction to the knowedge and understanding required by those working, or aspiring to work, in commercia property agency. Unit 1 Heath and Safety, Security and Genera Law Reating to Commercia Property Agency Unit 2 Practice and Law Reating to Commercia Property Agency Unit 3 Law Reating to Commercia Property Unit 4 Commercia Property and Business Appraisa and Basic Buiding Construction Technica Award in Rea Property Auctioneering (Leve 3) This programme is designed as an introduction to the knowedge and understanding required by those working, or aspiring to work, in estate agency where auctioneering is an important part of the work of the agency. Unit 1 Heath and Safety, Security and Genera Law Reating to Rea Property Auctioneering Unit 2 Law Reating to Rea Property Auctions Unit 3 Rea Property Auctioneering Practice and Procedures Unit 4 Property Appraisa and the Auction Process Technica Award in Chattes Auctioneering (Leve 3) This programme is designed as an introduction to the knowedge and understanding required by those working, or aspiring to work, in chattes auctioneering. Unit 1 Heath and Safety, Security and Genera Law Reating to Chattes Auctioneering Unit 2 Law Reating to Chattes Auctions Unit 3 Chattes Auctioneering Practice and Procedures Unit 4 Chattes Appraisa and the Auctioneer s Duties and Liabiities Technica Award in Residentia Inventory Management and Practice (Leve 3) This programme covers the aw and practice of etting agency and inventory management in Engand and Waes. Unit 1 Genera Law, Heath, Safety and Security in Reation to Residentia Inventory Management and Practice Unit 2 Lega Aspects of Residentia Inventory Management and Practice Unit 3 Residentia Letting and Property Management Unit 4 Residentia Inventory Management and Practice 4 Scottish Technica Award in Residentia Inventory Management and Practice MOL

5 Introduction Unit 4 Certificate (Leve 4) The Leve 4 Certificate programmes are designed for more experienced peope working within agency such as senior negotiators, managers and principes. The fu certificate has 8 units, but the first two are carried forward from the reevant technica award. There are four additiona technica units specific to each pathway, and two common office/peope management units. The common management units are Unit 7 Introduction to Office Management Unit 8 Advanced Office Management The three pathways and their technica units are as foows. Certificate in Residentia Letting and Property Management Unit 3 Lega Aspects Reating to Residentia Letting and Management Unit 4 Practice Reating to Residentia Property Management Unit 5 Appraisa and Residentia Property Letting Practice Unit 6 Appied Law Reating to Residentia Letting and Management Certificate in Commercia Property Agency (Leve 4) Unit 3 Lega Aspects Reating to Commercia Property Unit 4 Practice Reating to Commercia Property Agency Unit 5 Market Appraisa, Vaue and Inspection Reating to Commercia Property Agency Unit 6 Buiding Design and Defects for Commercia Property Agency Certificate in the Sae of Residentia Property (Leve 4) Unit 3 Lega Aspects Reating to Residentia Estate Agency Unit 4 Practice Reating to Residentia Estate Agency Unit 5 Market Appraisa, Vaue and Inspection Reating to Residentia Estate Agency Unit 6 Buiding Design and Defects for Residentia Estate Agency Scottish Technica Award in Residentia Inventory Management and Practice MOL 5

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7 Unit 4 Residentia Inventory Management and Practice

8 Unit 4 Residentia Inventory Management and Practice Produced for MOL Tech Award Scot RIMP sampe workbook v1 8/2014 A rights reserved; no part of this pubication may be photocopied, recorded or otherwise reproduced, stored in a retrieva system or transmitted in any form by any eectrica or mechanica means, without the prior permission of the copyright owners. 8 Scottish Technica Award in Residentia Inventory Management and Practice MOL

9 Introduction Unit 4 Contents introduction earning objectives section 1 Terms of Business 9 earning objectives standard terms of business 9 Typica Causes in Terms of Business 11 Service Description 11 Timescaes 11 Provision of Information 12 Charges 13 Terms Covering Different Situations imiting iabiity 15 Lega Connections 15 Conditions on Site 16 Terminoogy of Reports 17 Working Order of Items 17 Access further usefu considerations 19 review exercises 23 answers to sef checks 27 section 2 Inventory and Schedue of Condition 29 earning objectives when is an inventory required? 29 New Tenants 30 Tenant Swaps at what point shoud the inventory be taken? a property not ready for tenants the roe of the etting agent the recording of an inventory Handwriting Voice Recording Voice Recognition Technoogy Eectronic Tempates Photography Video Recording Use of Abbreviations The Fina Document Inventory Structure and Detai Scottish Technica Award in Residentia Inventory Management and Practice MOL 9

10 Unit 4 Residentia Inventory Management and Practice 2.6 compiing the inventory Initia Preparation and Procedure Procedure, Formatting and Specific Detai Removabe Items Externa Areas Instruction Books/Manuas 2.7 fuy fitted rooms 48 Kitchens 48 Appiances 48 Bathrooms 50 Centra Heating Boiers and Hot Water Tanks comments on condition 52 Genera 52 Estimations and Generaisations 52 Things to Look Out For meter readings 54 Leaving the Property a andord who attends the inventory recording obigations to check furniture and appiances 56 Furnishings 56 Testing of Eectrica, Heating and Pumbing Appiances further considerations 58 Photographs of Keys 58 At the End of the Process 58 Probem Notification on Hazards 58 review exercise 62 answers to sef checks section 3 The Check-in 67 earning objectives the importance of the check-in check-in procedures possibe probems during the check-in who can attend the check-in the check-in report further considerations 76 Check-in Without an Inventory/With a Poor Inventory 77 Check-in Prior to the Tenancy Starting 77 Payment for the Check-in 77 Changes During the Tenancy 78 review exercise 81 answer to sef checks Scottish Technica Award in Residentia Inventory Management and Practice MOL

11 Introduction Unit 4 section 4 Periodic Visits 85 earning objectives the purpose of periodic visits 85 Information arrangements prior to the periodic visit 87 Gaining Access 87 Probems with Gaining Agreement for Access the property visit 89 Tenant Liabiity 90 Landord Liabiity producing a report 91 The Inventory Provider s Liabiity outcomes and actions 93 Action from the Tenant 93 Action from the Landord 93 review exercise 96 answers to sef checks 97 section 5 The Checkout 99 earning objectives arrangements with the tenants advising the tenant of their obigations reevant documentation when a tenant is or is not present at the checkout conducting the checkout 106 Procedure 106 What to Look For and How 106 Utiity Meters items eft at the property the need for the tenant, if present, to sign possession and security of the property the importance of communicating probems to the agent the checkout report 119 review exercise 124 answers to sef checks 126 Scottish Technica Award in Residentia Inventory Management and Practice MOL 11

12 Unit 4 Residentia Inventory Management and Practice section 6 Post Checkout Procedures 129 earning objectives deposits 129 Common Law Requirements for Hoding Deposits 130 Housing (Scotand) Act 2006 Requirements for Deposits 131 Aternative Dispute Resoution (ADR) assessment of damages, ceaniness, maintenance and missing items 135 Repair/Disrepair 135 Liabiity of the Parties 136 Fair Wear and Tear 137 Ceaniness 139 Missing Items 139 Lifespan of Items 140 Betterment 141 Apportionment 142 Assessing Damages 143 Fina Considerations 146 review exercise 151 answers to sef checks 153 Suggested Answers to Review Exercises 157 Gossary Reading List List of Legisation 165 appendix A Inventory and Schedue of Condition 167 appendix b Checkout Report Scottish Technica Award in Residentia Inventory Management and Practice MOL

13 Introduction Unit 4 introduction This unit deas with the specific work that inventory providers undertake for residentia etting and management agents and andords. It starts by considering the typica terms of business that an inventory provider shoud have and then moves on to cover the process of compiing the inventory and schedue of condition. The unit then ooks at the processes invoved in using the compied inventory and schedue of condition, starting with the check-in procedure, continuing with periodic visits and then considering checkout procedures at the end of a tenancy. The unit concudes by considering the post checkout procedures, incuding assessing compensation to the andord where damage has occurred, deposit taking and returning requirements. The unit concudes by considering how to dea with disputes and the various aternative dispute resoution procedures that are common in this area of work. earning objectives Having competed this unit you wi know and understand what shoud be incuded in typica terms of business and why how to compie an inventory and schedue of condition and what shoud be incuded in the fina report the check-in procedure using the inventory and schedue of condition how to arrange, prepare for, conduct and report on periodic visits the checkout procedure, incuding andord and tenant rights and reporting requirements the post checkout procedure, incuding the assessment of damages and return of deposits under different scenarios, and the methods of deaing with disputes Scottish Technica Award in Residentia Inventory Management and Practice MOL 13

14 Unit 4 Residentia Inventory Management and Practice 2.5 the recording of an inventory The inventory needs to be recorded by the inventory provider physicay going around the property and making a detaied record of a of the reevant inventory items and their condition. There are various methods and equipment that can be used to achieve this. There is no right or wrong method, as ong as the end resut is a thorough and detaied document and in ine with a the requirements of best practice. However, in reaity there are some methods that are more efficient and ess time consuming than others, but it is for the individua to determine which method suits them best. Handwriting This can be done simpy by writing a record on paper, or possiby into a pre-prepared form. The disadvantage of this method is that it is very timeconsuming and, depending on the provider s handwriting, can often be messy and poory presented, athough the position of defects on was, foors, ceiings, etc can be easiy and accuratey recorded in a sketch. Voice Recording Traditionay, this is the preferred option for many inventory providers, using a digita Dictaphone to record a of the inventory information. This resuting recording can then be avaiabe to be transcribed into the correct format. The advantage of this technoogy is speed the abiity to record a high eve of detaied descriptive information that is difficut to capture by writing either via a persona digita assistant (PDA) or paper the inventory provider has use of their hands whie recording information important when ifting or moving items Voice Recognition Technoogy This takes voice recording a stage further and the inventory can be automaticay transcribed via a voice recorder (usuay a SMART phone or Buetooth microphone). This technoogy has improved greaty in recent years, but is sti susceptibe to externa noise and oca accents which can resut in more time being spent correcting text. Eectronic Tempates There are now many software programmes avaiabe which aow an inventory provider to key in a the necessary information for an inventory on to one of a number of eectronic devices incuding PDAs, tabets and smart phones. This information is set into an inventory format and can be upoaded to a server and be avaiabe for printing as a hard copy document (if needed) amost immediatey. The technoogy avaiabe in this area is being constanty updated and improved. The great advantage of this technoogy is the speed of turnaround that can be achieved. However, it is easy to make mistakes and the fina document shoud be checked thoroughy before being reeased. 14 Scottish Technica Award in Residentia Inventory Management and Practice MOL

15 Inventory and Schedue of Condition Section 2 Photography Photographs are now considered to be an essentia and integra part of any inventory. However, they shoud ony be used as an addition to, and not as a substitute for, the written word. Photographs are very usefu for giving an overview of the genera condition and ayout of the rooms in a property and for showing the extent of specific damage such as broken items. In addition they are an exceent indicator of garden conditions, and it is aways advisabe to take photographs if a garden is part of the property. However, photographs are not particuary usefu for showing some aspects of dirt, such as dust or even many stains on carpets, was or ceiings. Photographs shoud ideay be incorporated into the reevant section of the inventory, and become part of the inventory embedded into the correct page. There can never be any doubt that the photographs taken by the inventory provider and embedded in the document, which is then signed and dated, are of the property in question and were taken at the time of the existing inventory. Aternativey, photographs can be grouped together at the end of the inventory, providing it is ceary stated under each picture what and where it reates to, athough you shoud be aware that providing photographs separatey is not fooproof evidence of time, as the dates can be atered. However, new geotagging technoogy, which adds geographica identification data to various media, does have this eve of proof, as time, date and ocation can be proved. When photographs are provided, care must be taken to use a pen or pointer to highight a sma spot, especiay on ight surfaces to make sure the photo can be matched with the appropriate room in the report and has a cear expanation aongside to provide a scae, eg by pacing a sma ruer or pen aongside a stain on a carpet or scratch on a wa Video Recording A video recording of a property cannot repace a written inventory and cannot provide the detai required. Even if a video recording is provided as an addition to a printed inventory it must, by nature, aways be a separate item and therefore difficut to prove that it is a true refection of the property described in the printed document. Use of Abbreviations It is tempting to use a arge number of abbreviations, particuary when describing the condition or an aspect of a room or an item. It can, however, cause confusion. Abbreviations are acceptabe for recording purposes but shoud be avoided wherever possibe in the fina inventory document. If abbreviations are used, there needs to be an index or gossary of these attached to the inventory for reference. However, to the inexperienced user of the inventory (ie the andord and the tenant) this can mean a ot of referring back and forth, so best practice is not to use abbreviations. Scottish Technica Award in Residentia Inventory Management and Practice MOL 15

16 Unit 4 Residentia Inventory Management and Practice sef check question 5 Write down the advantages and disadvantages of using a voice recording or eectronic tempate on a tabet device when recording the inventory. Advantages Disadvantages Voice recording Tabet device Compare your answer with the one given at the end of the section. The Fina Document The fina document shoud foow a consistent format and be we presented, cear and concise. At the beginning of the report, the document needs to incude the property address, date of report and person compiing the report the scope and imitations of the report gossary of terms of condition gossary of terms of ceaniness definitions, points of carity of any assumptions a means for a required parties to vaidate the document Inventory Structure and Detai fig 1.1 The inventory and schedue of condition needs to show a reevant information in a cear and concise manner, so that it is easiy read by professionas and ay peope aike. The main body of the inventory report is usuay presented in a tabuar form with individua areas in rooms at the property isted down the eft-hand side and the description, condition for each area and spaces for check-in and checkout comments aong the top of the report providing a grid for competion. An exampe is given in figure 2.1, covering just one room. A fuy competed inventory is given in an appendix at the end of this unit. 16 Scottish Technica Award in Residentia Inventory Management and Practice MOL

17 Inventory and Schedue of Condition Section 2 Index Living room Condition at check-in Check-in Checkout comments comments 31 Door 32 Was 33 Ceiing 34 Woodwork 35 Foor 36 Gazing 37 Curtains 38 Lighting 39 Eectrica fittings fig 2.1 Exampe of inventory report headings for one room The inventory wi progress on a room by room basis and wi aso cover any externa areas such as gardens, yards and garages, sheds, etc unti a the property has been covered in the inventory. You wi note in figure 2.1 that each item is given an index number for identification purposes. The start of the inventory wi have a tite page giving the address of the property aong with detais about the date of preparation of the inventory and who prepared it. Often the tite page wi aso contain the name of the tenant (if known), the names of the andord or agent and a brief description of the property. Before the room by room grid starts, the inventory document wi normay set out an introductory section where definitions of key terms can be isted. For exampe, many inventories assume a areas and items are in good condition uness specificay stated in the inventory. The meaning of good condition wi then be expained in this initia section. Aso in this introductory section there may be guidance notes for tenants, eg that they wi be responsibe for repacing ight bubs or smoke aarm batteries when necessary, how the property shoud be eft at the end of the tenancy and what wi happen at checkout. Finay, in the introductory section wi be a genera overa description and a ist of the discaimers that are reevant and wi have been incuded in the terms of business with the cient. Remember that discaimers cannot be reied on if not agreed in advance. Look again at section 1 if you want to remind yoursef of common discaimers. The genera overa description wi be just one or two sentences about the type of property, eg a one-bedroomed purpose-buit fat, and the overa condition, eg newy carpeted throughout, in need of ceaning, smes of cigarette smoke/animas, etc. Foowing the room by room section and externa section of the inventory, the inventory wi end by isting any instruction bookets and manuas reating to appiances provided by the andord, especiay the centra heating boier. Many inventories require the tenant to sign to indicate they have received these. Eectric, gas and perhaps water meter readings wi aso be given, aong with the identifying seria numbers and ocation of the meters. It is considered best practice to photograph meters where possibe in order to avoid any confusion regarding the accuracy of the readings. Finay, a ist of the keys being handed over wi be given, often aong with a photograph of the keys for identification purposes. Scottish Technica Award in Residentia Inventory Management and Practice MOL 17

18 Unit 4 Residentia Inventory Management and Practice The very end of the inventory wi have a space for signatures. This may simpy be the signatures of the tenant(s), or may be the tenant(s) and the andord(s) or the andord s agent. There wi normay aso be space on each page for the tenant to initia the contents. Any changes agreed at check-in, if written onto the inventory document, shoud ideay be initiaed by each party to show agreement and to prevent arguments at the end of the tenancy. sef check question 6 Why do you think it is most common to produce the inventory in tabuated form with coumns for comments at check-in and checkout? Compare your answer with the one given at the end of the section. 2.6 compiing the inventory Initia Preparation and Procedure It is critica when preparing an inventory to foow a series of procedures to ensure nothing is missed, and to cover your safety and security. Best practice is as foows the inventory provider shoud aways knock before entering a property, even if they have been tod it is uninhabited once inside the property, the inventory provider shoud check that the property is unoccupied and that the ights are working (for winter months and for dark inner haways, etc) 18 Scottish Technica Award in Residentia Inventory Management and Practice MOL

19 Inventory and Schedue of Condition Section 2 shut and if necessary ock the front door, or the door used for entry, so nobody ese can gain access, and aways keep the keys of the property on your person. In this way it wi be impossibe to get ocked out of the property by a door samming shut when working in the garden for exampe set yoursef up in a convenient position which in most properties is ikey to be the kitchen. Here paperwork can be aid out and/or fied in wak around the whoe property to begin with to get a genera idea of the ayout and condition of the property ready to make any genera comments at the beginning of the inventory. Things to ook out for, do and be aware of ready for the start of the inventory incude ayout genera signs of condition simiarities in fittings, door/window furniture, etc ights not working ocations of meters access points to the garden Procedure, Formatting and Specific Detai Procedure Preparing the inventory shoud be systematic and shoud foow a standard procedure. The recording shoud aways take pace in a methodica way and each inventory provider shoud adopt a standardised method of doing things so a inventories foow the same format. The inventory provider shoud work ogicay around a property and in genera shoud start at the front, then the room or area eading from the front door which is usuay the ha and proceed through the rest of the property. There is no right or wrong way to undertake the recording as ong as the method used is systematic and ogica and you aways foow the same format. You coud start on the ground foor and move to the upper foors, but equay you coud start at the top and work down. Many peope wi cover the interior of the property first and then move outside, but you coud just as easiy start externay and then move to the interior. Once in the property and recording, it is best to aways move round the property in the same direction. Whether this is cockwise or anticockwise does not matter, as ong as you foow the same procedure each time. The same appies to individua rooms within the property where you shoud move round in the same direction cockwise or anticockwise. Most peope wi start at the front of a property and move around the property and each individua room in a cockwise direction, starting with the ground foor, and once that is competed moving to the upper foors and finishing externay. Scottish Technica Award in Residentia Inventory Management and Practice MOL 19

20 Unit 4 Residentia Inventory Management and Practice Where rooms have simiar functions, eg bedrooms, they are usuay numbered in sequence, eg bed 1, bed 2, bed 3 etc with the numbers foowing the order in which they are entered, not the size of the room. Sometimes an added description is given, eg bed 1 (rear right), bed 2 (front right), bed 3 (front eft), etc. Where descriptors are used, there has to be a cear poicy about whether eft and right are used whie ooking at the front of the house or whie ooking out of the front of the house, and this shoud be expained at the start of the inventory report in the introductory section. Through rooms, such as a ounge/diner or kitchen/breakfast room, need to be treated systematicay in the same way. These can be recorded individuay or together. Best practice is to treat each separate area as a separate room, ie the kitchen-iving area as seen in many city apartments woud be best treated as a iving area and a separate kitchen area. Treating the rooms together can sometimes be easier if it is unfurnished and if the décor is the same for both parts, but it is safer to treat as two. sef check question 7 Why is it regarded as best practice to have a systematic methodoogy for visiting a property and recording the inventory detais? Compare your answer with the one given at the end of the section. Format for Individua Areas Just as there shoud be a methodoogy for the property as a whoe to ensure that a areas are visited, there needs to be a format worked out for visiting each individua room. Just as with the property, there is no right or wrong way to do it, just the need to be consistent in the way you inspect and record. 20 Scottish Technica Award in Residentia Inventory Management and Practice MOL

21 Inventory and Schedue of Condition Section 2 So, you can move round rooms in a cockwise or anticockwise direction, start with the ceiings and work down to the foors, or start with the foors and work up to the ceiing. You can dea with foors, was and ceiings and then move on to fixtures and fittings, or you can dea with the fixtures and fittings within the reevant section of the main components of the room. For exampe, you might have separate headings reating to foors, was, ceiings, doors, windows, woodwork, ight fittings, eectrica fittings, curtains, furniture, etc. Aternativey you might dea with everything other than furniture under the respective main headings of the room. This woud mean that the was woud incude doors, windows, woodwork (skirtings, dado rais, etc), eectrica fittings (ight switches, sockets) etc, and ceiings woud have ight fittings isted. Whichever approach you adopt, you must be consistent and use this a the time. Most inventories create separate categories for fixtures and fittings rather than umping them in with the main room component where they occur. The wa section, if it incuded doors, windows, woodwork, eectrica fittings, etc coud be rather arge and unwiedy. Specific Detai An inventory and schedue of condition must have the foowing key eements the inventory item header doors, ceiing, was, etc the inventory item and its description a cear description in pain Engish of the basic structure that can be understood by a ay person (eg for doors white painted, four-paneed wooden door, with ornate trim to inner surrounding of each pane and brass effect knob handes) a cear and concise condition description with detais and ocation of key marks and damage, etc (it is aso good practice to comment on the genera condition if it differs from the standard as stated in the decaration) eg referring to a wa might be poor condition overa with 10 cm scratch to centre right, patchy paint work with arge (25 cm diameter) discooured spot to ower section A typica room might foow this typica format. Doors and Door Frames Type and door furniture (handes, ocks, etc). Foors Coour, pattern, type (eg fitted carpets, viny ay, stripped wooden foorboards, aminate, etc). Was Description of finish and whether painted, whether there is a frieze or dado rai. Ceiings Artex or paster, pattern, coving, coour. Scottish Technica Award in Residentia Inventory Management and Practice MOL 21

22 Unit 4 Residentia Inventory Management and Practice Woodwork Skirting boards, dado rais, paneing and finish. Windows Detaied description of window type shoud be noted, ie sash, transom or side opening, singe or doube-gazed, frame type (painted wood, upvc or meta), gass type, window fitting, window sis, ie handes and catches, coour. (NB It is important to record whether ock keys are present.) Curtains/Binds Window coverings (curtain tracks, curtains, etc). Curtain ength shoud be stated whether si or foor ength, together with a description of the fabric, incuding coours and patterns and whether they are ined. The description shoud aso note the stye of the curtain, eg tab-topped, pinch peated, swags and tais, etc. Any tiebacks shoud aso be described and isted. Curtain tracks or poes detais shoud incude what they are made from, ie pastic, wood or meta and whether there are finias attached. In the case of tracks with rings, the number of rings shoud be noted. Fittings It makes sense to incude fittings in the ogica format of the inventory, eg wa fittings shoud be paced in the report after the wa description. Heating Radiators, vents, wa heaters, etc it shoud be noted whether there are fitted thermostat contros and whether any end caps are missing. Lighting Light fittings shoud incude a description of the shades and whether any bubs are missing or not in working order. Eectrica Fittings Lights, switches, power points, etc the type, number and finish shoud be noted, eg pastic (coour), meta, etc. Removabe Items Ornaments, teephone handsets, crockery, cutery, etc these shoud be described sufficienty for ater identification aong with the condition. Furniture Description, condition and whether fire and furnishing abes are seen must be recorded, eg under settees the description shoud cover the fabric, coour and pattern, number and condition of cushions, type and condition of arms and egs under tabes the description shoud cover the type (dining, occasiona, coffee, etc), the materia of the tops and egs/bases (gass, wood, aminate topped, etc) and the condition wardrobe descriptions shoud cover whether they are fitted or free standing, the materia and other fittings (handes, inset mirrors, hanging rais, sheves, interna hooks, etc) and the condition 22 Scottish Technica Award in Residentia Inventory Management and Practice MOL

23 Inventory and Schedue of Condition Section 2 sef check question 8 Why do you think it is necessary to accuratey describe the items isted above, incuding finishes and coours, and give detais of their condition? Compare your answer with the one given at the end of the section. Removabe Items Athough this can be extremey time consuming, it is important that this is done as thoroughy as possibe. Crockery shoud be counted and isted in fu, incuding coour, pattern, whether there are matching sets or not and their usage (eg vegetabe dish, cerea/soup bow, ramekin dish, etc). The same detai woud appy to cutery and a kitchen utensis. Pictures (paintings and photographs) shoud either note the tite (if stated) or otherwise a genera description shoud be given incuding the type of frame and whether there is a gass covering. A ornaments and other removabe items shoud be described and isted. Genera contents it is not necessary to itemise coections of books or CDs. It is merey sufficient to state that for exampe, there is a quantity of hardback and paperback books. Nor is it necessary to record any consumabes nor individuay itemise trivia househod items that have been eft, such as decorating materias eft for touch-up purposes. The inventory provider shoud be aware that there are an increasing number of commerciay avaiabe ceaning products that shoud not be used in the home, and garden chemica products such as pesticides that it is iega to se. Where these are found, best practice shoud be that any such items shoud be itemised in the inventory. In addition it is recommended that the inventory provider teephones/emais the agent to report this. Even if the agent advises they wi remove such items they shoud be isted. The inventory can be amended at check-in if they are in fact removed. Scottish Technica Award in Residentia Inventory Management and Practice MOL 23

24 Unit 4 Residentia Inventory Management and Practice The inventory provider shoud beware of omitting reativey cheap items, especiay in the kitchen. The andord may have provided certain items to prevent wear and tear to the property. Typicay this coud be a pastic washing up bow (to avoid chipping a ceramic sink) or a pastic chopping board (to prevent knife cut marks on a worktop). Whie exercising a degree of common sense, the best advice is if in doubt incude it. A Note on Describing Inventory Items If in doubt about any of the descriptions use a quaifying adverb, eg of pastic appearance or wood effect. Beware of using words ike god, chrome, brass, etc when describing the coour of an item as it may give the impression that the item is actuay constructed of such a materia. It is better to use phrases ike god cooured or god effect. Equay beware of using incorrect proper names ike Hoover instead of vacuum ceaner (or even worse, a Dyson hoover). Phraseoogy and Vocabuary Where possibe the document shoud express items in pain Engish and not become over technica. However, aspects of buiding construction have specific words to describe items and features. For the avoidance of doubt every effort shoud be made to appy the correct name. So, for exampe, an inventory provider ought to know the difference between a transom window and a casement window, and shoud famiiarise themseves with the proper vocabuary for various items reated to this market (eg finias, sashes). This is not a highy speciaised ski and does not mean that a degree of technica knowedge is required. By paying carefu attention when waking around any high street do-it-yoursef retaier, the inventory provider wi be abe to acquire most of the knowedge that is required. If technica terms are being used, it is usefu if these are isted in a gossary and expained in pain Engish. Externa Areas Less detai is required compared with the inside of the property (uness specificay requested). As you start an inventory from the front and work your way back, depending on the ayout of the property, the outside may be spit around the inventory, eg the front garden at the start and the rear garden at the end of the inventory. If doing in a singe section, spit the outside up into ogica sections, typicay garage, front garden, side garden and rear garden. Usuay the foowing wi suffice garage a brief description of its construction, its doors and if appicabe windows the fooring, noting any heavy oi staining the was, noting any markings and fixings a ist of its fittings (eectrica fittings, sheving, etc) a ist of contents, if any 24 Scottish Technica Award in Residentia Inventory Management and Practice MOL

25 Inventory and Schedue of Condition Section 2 for gardens a brief description of the was or fencing a brief summary of the ayout, ie paved patio eading to awn area surrounded by raised fower beds fied with mature shrubs awns, condition and appropriate ength of grass, eg grass approximatey two inches ong, patchy and uneven throughout a summary of garden furniture ike patio chairs and tabes, garden ornaments incuding bird baths, statues, etc a ist of fittings on the outside of the house, for exampe, taps, meter cabinets, ight fittings, etc sheds and simiar non-permanent structures a brief description of the construction and condition, eg 'wooden shed with door with hasp and padock or door in a poor condition and a ist of fittings and the contents, if any Instruction Books/Manuas A ist of a instruction manuas that refer to any fixture, fitting or appiance shoud be incuded and information given on where they can be found in the property. The make and mode shoud aso be isted. Typicay these wi refer to kitchen appiances and the centra heating system and/or other heating systems. There may be additiona instruction books for aarm systems, teevisions, videos, etc. It is important that these are incuded so the agent and andord can ensure the safe use of the appiances in ine with eectrica safety requirements. Additionay, in the event of any future dispute over broken appiances, a tenant cannot argue that it was broken in ignorance because of the ack of avaiabe instructions on how to operate it. A copy of a instruction manuas shoud be hed on fie by the andord or agent and shoud be signed for by the tenant within the inventory. sef check question 9 An inventory provider has found chemicas in the cupboard under the kitchen sink and in the garage at a property that are now iega to se. What shoud the inventory provider do? Compare your answer with the one given at the end of the section. Scottish Technica Award in Residentia Inventory Management and Practice MOL 25

26 Unit 4 Residentia Inventory Management and Practice answers to sef checks question 5 Your answer may have covered some of the points in the foowing tabe, but you may have been abe to think of other reevant advantages and disadvantages. Advantages Disadvantages Voice recording Quick to record Must be transcribed ater when back High eve of detai possibe at the office Hands are free Descriptions can be engthy Recording can continue even if inspecting something Tabet device Fairy quick to record Hands are not free Can be recorded direct into the Many tempates have drop down set inventory tempate menus and restrict free text Can be upoaded from site Danger of sending out without checking Quickest method of producing the first end inventory question 6 Inventories are usuay produced in a tabuar form because this aows comments (eg in the check-in or checkout coumn) to be ceary matched to a specific area or item within an area on the inventory. question 7 It is regarded as best practice to have a systematic methodoogy for inspecting and recording information for the inventory, as this gives the best chance that a areas of the property wi be visited and nothing wi be missed or forgotten. question 8 It is necessary to give accurate descriptions of items at a property, incuding finishes and coours and condition, because different peope may visit at different times and it wi not aways be the same person who prepared the inventory who wi do the check-in or checkout. Even if the same person returned to the property this wi often be months ater and they are unikey to remember fine detai. If the agent or the andord are to assess damage at the end of the tenancy period and distinguish this from fair wear and tear, the more information they have the better. For exampe, it is not unknown for tenants to change wa coours in breach of the tenancy agreement. The décor might be in reasonabe condition but the wrong coour because of this, and if missed the agent or the inventory provider may be iabe for redecoration costs. fig 1.1 question 9 The inventory provider shoud note the chemicas and their ocation in the inventory and shoud notify the andord or the andord s agent. Notification by emai or otherwise in writing woud ensure the inventory provider coud prove that notification was given. 26 Scottish Technica Award in Residentia Inventory Management and Practice MOL

27 Gossary Gossary agent for the andord one of the ways in which the tenant deposit can be hed. The agent must aocate the deposit as dictated by their andord cient aternative dispute resoution (ADR) dispute resoution processes to avoid itigation through the courts apportionment the requirement to take account of the ife expectancy of items subject to damage and not try to caim the fu cost of a damaged item that needs repacing, so that the andord does not benefit from betterment betterment a andord being either financiay or materiay in a better position at the end of a tenancy than they were at start, having aowed for fair wear and tear, woud be cassed as betterment check-in the process of a new tenant comparing an inventory with the property in question, adding vaid comments if appropriate. Ideay the check in shoud be competed before the tenant moves in checkout the process of an agent checking an inventory against the state of the property in question and noting any discrepancies and damage, etc at the end of the tenancy. The checkout shoud be done as soon as possibe once the tenancy has ended, and ideay with the tenant present common aw aw deveoped from custom, ie a aw not enacted by pariament contract an agreement recognised in aw that can be enforced by the courts. It may be written, spoken, a mixture of written and spoken, or impied by the conduct of the parties invoved. Contracts for the sae of property must be in writing, usuay caed the missives, containing the agreed terms by which both the seer and the buyer are committed to proceed to settement damages a remedy under common aw. The party awarded damages wi be put in the same position as if the contract had been performed or the wrong not done. Damages caimed have to be reasonabe discaimers imitation or excusion causes in terms of business fair wear and tear the amount of wear (eg reating to furniture, fixtures and fittings) that woud reasonaby be expected, depending on the number and age of the tenants, the ength of the tenancy, and the age, condition and expected ifespan of the items. Aowance for fair wear and tear must be given when assessing damages at the end of a tenancy Scottish Technica Award in Residentia Inventory Management and Practice MOL 27

28 Unit 4 Residentia Inventory Management and Practice inventory a document isting a moveabe items in a rented property, which aso detais any defects. It shoud be agreed with the tenant at the start of the tenancy and checked again at the end of the tenancy egisation aws contained in acts of pariament, reguations and orders. Aso known as statute aw periodic visits a method of ascertaining that a is we at a property, usuay occurring at three to four monthy intervas during the term of a tenancy schedue of condition a record of a property s interna and externa condition at the start of a tenancy, which shoud be agreed with the tenant tenancy a contractua document setting out an agreement between a andord and a tenant for the tenant to ive in a property for a set period tenant a person given the right by a andord to ive in a property for a set period tenancy deposit protection the requirements under the Housing (Scotand) Act 2006 which requires most Scottish tenancies to have deposits protected under one of the approved government schemes terms of business terms of business set out in advance the service to be provided and the fee to be charged 28 Scottish Technica Award in Residentia Inventory Management and Practice MOL

29 Reading List Reading List If you are working in residentia etting and management agency or inventory management, you shoud aways be aware of changes that take pace in aw or practice as these wi affect the way in which you do your job. If you or your company beong to one of the professiona bodies, they wi usuay keep their members up to date with changes that wi affect their working practices. You may find it usefu to check the foowing pubications reguary for reevant artices on etting and management Estates Gazette Negotiator Magazine (now part of Property Drum) Property Drum Property Professionas the magazine of the Nationa Federation of Property Professionas (NFoPP) Tenancy Deposit Schemes A guide to deposits, disputes and damages (avaiabe from any tenancy deposit scheme website) When ooking through books, artices and references, and when searching on the web, take care to check the date the materia was created. This is particuary important for ega references where the aw may change from time to time, but aso appies to other areas. It woud be usefu to downoad the redress schemes codes of practice. Usefu Websites apip.org.uk Association of Professiona Inventory Providers ara.co.uk Association of Residentia Letting Agents nascheme.co.uk Nationa Approved Letting Scheme ombudsman-services.org/property.htm The Ombudsman Services: Property Scheme tds.gb.com The Dispute Service s Tenancy Deposit Scheme tpos.co.uk The Property Ombudsman scheme scotand.gov.uk Scottish government website Scottish Technica Award in Residentia Inventory Management and Practice MOL 29

30 Unit 4 Residentia Inventory Management and Practice 30 Scottish Technica Award in Residentia Inventory Management and Practice MOL

31 Why choose MOL for your property programmes? With MOL s onine property programmes, the workbook is just the start.* Make your studies more enjoyabe and effective with MOL s onine support, incuding a study guide mock mutipe choice tests mind maps fash cards S e f c h e c k a c t i v i t y 1 Time guide: 10 minutes Look at the foowing statements and tick the appropriate coumn, indicating whether the statement appies to you fuy, in part or not at a. If you wish, use the space provided to write your own comments, which coud be designed to modify the statement concerned or to express a different view atogether on the same subject. This statement appies to me Aways Sometimes Never 1 I do not fee confident when starting a new earning process 2 I ook upon earning as a chore rather than a chaenge 3 I have a bad memory for notes and reading in genera 4 I find note taking arduous or difficut 5 I never seem to have enough time to do the work 6 I understand the materia, but I cannot put it across we in written examinations or assignments 7 I do not have sufficient wipower to stick at it 8 I am beow average academicay. I fee at a disadvantage before I even start 9 I fee disorganised my thought processes and work systems are haphazard 10 I start with good intentions, but usuay ose interest part way through 11 I find textbooks difficut to use it s ike wading through treace 12 I make notes, but I aways fee I need to re-read the origina book before I take an exam or compete an assignment or essay 13 I find my mind wanders when I study 14 I sometimes fai to see the reevance of what I am studying, either to the rest of the programme or to my job 9 * VLE support is currenty avaiabe for the foowing programmes Leve 2 Award in Introduction to Residentia Property Management Practice Leve 3 Technica Award in Sae of Residentia Property Leve 3 Technica Award in Residentia Letting and Property Management Leve 3 Technica Award in Commercia Property Agency CONTACT US FOR A FREE ONLINE DEMO! (CONTACT DETAILS OVERLEAF)

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