POOR INVENTORIES COSTING LANDLORDS £12 MILLION A YEAR

Date Posted July 6, 2010  |  Author Author Julie Hanson

DATE OF ISSUE: 5 JULY 2010

 

POOR INVENTORIES COSTING LANDLORDS £12 MILLION A YEAR

 

Shocking new figures from The Video Inventory Agency have shown that poorly prepared inventories are costing the residential property market millions every year in lost claims.

Since the introduction of the Tenancy Deposit Protection Scheme (TDPS) in 2007, the onus has been firmly with the landlord to prove their case. However as a result of improperly prepared inventories and lack of proper evidence, landlords now have less than a 1 in 10 chance of winning in the event of a deposit dispute.

 In 2009 there were 23,500 deposit disputes – a figure which is growing exponentially each year. Within the same period, 92 per cent of these cases found in favour of the tenant, costing landlords an estimated £12 million in lost claims.

TVIA conducted the research to highlight how the residential property market has been “consistently undermined” by incomplete, or sub-standard inventories.

Launched in 2009 by property investor Frazer Fearnhead, TVIA offers state-of-the-art video inventories that have been designed to protect landlords’ assets. Using similar practices to police standard operating procedures for filming crime scenes, each written inventory produced by TVIA is supported by high-definition video evidence that has been designed to stand up in court.

Speaking of TVIA’s findings, Frazer said: “When it comes to inventories, landlords have traditionally got away with the bare minimum. In my time I have seen inventories that have been scribbled on the back of an envelope. However, since 2007, the balance of power has swung in favour of the tenant. This is positive since many would-be cowboys have been pushed out of the market; however it also means that law-abiding landlords are losing money unnecessarily.”

Frazer launched TVIA after an incomplete photographic inventory on one of his own properties meant there was no evidence to corroborate a deposit dispute. He resolved to protect the property community and this aim continues today.

One year after its launch TVIA, provides video inventories for clients such as Winkworth, Belvoir Lettings, Watersons and Martin & Co whilst franchisees deliver evidential solutions for over 200 letting agents, property managers and landlords throughout the country.

As official partner to the Residential Landlords Association, TVIA is now urging landlords to pay more attention to inventories in a bid to protect their assets by recording the condition of their rental property and its contents.

“Video inventories are watertight and cost-effective” adds Frazer. “A visual record speaks volumes and it is clear from our work that video inventories are the future for the industry. To minimise disputes, adjudicators need to have as much information as possible to help prove a case. With video content, there is no room for debate.” 

 For more information about the Video Inventory Agency Click here.

-Ends-

Media contact:

 

Alex Kapp and Jane Carroll at Peppermint PR

Tel: 0161 941 4252

Email: alex@peppermintpr.com and jane@peppermintpr.com

Julie Hanson


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  • OGC

    I've just gone through the process of arguing with a couple of tenants about the condition in which they left the property. As I knew that the odds of me winning the battle on the DPS arbitration system were next to nil I decided to offer them a settlement to minimise my losses. That means I got half of what they should have paid but better half than nothing.

    My inventory was thorough but obviously not sufficient. Who has the time to take pictures of every single item in a furnished property? Video seems a much better way of doing things.

    It was about time someone came up with an alternative to the old-fashioned and mostly useless written and photographic inventories.