Thursday, March 7, 2013

Request Move In - Move Out Inspection

Real Estate Education Training:

Document Property Condition

The California Association of Realtors (CAR) Move In - Move Out Inspection (MIMO) form provides a great starting point for tenants and landlords when beginning or ending the rental transaction.  This five (5) page document allows the tenant and landlord to record the condition of the residential rental from day one.  The form has three key Move In ratings of N - New, S- Satisfactory/Clean and O - Other to describe the property's condition when initiating the lease. There is also ample space for comments as well.  Having a format to note the exterior and room by room interior condition helps define the property's suitability for occupancy and highlight whether immediate repairs are warranted.  I highly recommend that all parties request, use and sign this form for all leases/rentals of residential properties.  It is also suggested that a digital camera be used for photos of the property condition.  Before and after photos will allow all parties to document pre existing conditions and capture the condition of the property after the repairs have been made.

The tenant should also be given a reasonable time to amend the MIMO after taking possession of the property.  I recommend three (3) days as a reasonable amount of time after possession to add findings that may not have been visible during the initial MIMO but were discovered after living in the property.  The time for adding data to the MIMO should be documented in writing as well.

The Move Out portion of the form allows all parties to note S - Satisfactory/Clean, O - Other and D- Deposit Deduction  selections when the month to month tenancy or lease ends.  The parties can review the initial Move In condition of the property's exterior, room by room condition (photos) and objectively determine whether there have been significant changes.   Deductions for damages from the tenant deposit can be documented by the before and after condition noted in the form and photos. Estimates from two or more contractors should be secured for repairs asap after the Move Out inspection so that any funds due to the former tenant can be returned promptly after deductions for damage.

Most tenants are anxious to leave the property in good condition, as well as, pay their rents on time during the tenancy.  They want a good rating for future rentals and know that a landlord with a positive experience will be a valuable reference.  This form protects the conscientious tenant and the landlord.  Both parties agreed on and signed the initial Move In condition and were also able to prepare and approve the Move Out condition of the property.

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