Move in & Security

Your Comprehensive Guide to Property Inspection

By TenantCloud Team October 31, 2024

Property inspections are a vital part of managing your real estate portfolio. No matter whether you are responsible for a handful of properties or you are looking after dozens of homes, understanding the purpose and process of a building inspection can save you time and money.

From maintaining the quality of rental properties to complying with building codes, inspections are critical for sustaining property value and tenant safety. To help you understand the process, we have put together this comprehensive guide on property inspections, the laws that need to be adhered to, and some key tips to help you maximize your efficiency.

What is a Property Inspection?

Before we explore the building codes or some top tips for improving efficiency, it’s first important to understand exactly what a property inspection is. This process is a thorough visual examination to assess the condition of the building, and it should be utilized for residential and commercial properties alike.

The inspection typically involves evaluating the overall structure as well as the various systems and general upkeep to ensure the property meets all safety and maintenance standards. These inspections will also help you keep the property in line with local real estate regulations and zoning ordinance compliance.

A building inspection can take a variety of forms, but some of the most common include:

Pre-purchase Inspection

A pre-purchase inspection is something you should undertake before purchasing a new rental property. As a property owner, you want to be confident in the building’s condition, and this inspection will help you identify potential issues that need to be resolved before completion.

Move In/Move Our Home Property Inspections

As a landlord, one of the most common forms of property inspection that you will undertake will be the move in and move out inspection. These will occur at the beginning and end of a tenant’s lease term and should document the property’s condition. Creating a detailed report will help you to avoid disputes over security deposits and ensure any new issues that arise are assigned to the responsible party.

Related: Move-in/ Move-out Inspections

Routine Inspections

A routine home inspection is another very common type and is performed during the tenancy to help landlords understand the current condition of the property. Conducting one annually will help you spot signs of wear and tear and allow you to identify minor issues before they become larger problems. A regular building inspection will also ensure the property complies with the housing authority’s standards.

Who Conducts Property Inspections?

Inspections are usually undertaken by property managers, landlords, or a certified home inspector, depending on the property type and the purpose of the inspection. While landlords and property managers handle regular inspections, licensed inspectors often conduct more specialized inspections, such as mold inspections or commercial inspections, providing official inspection reports as needed.

Why Property Inspections are Essential for Both Landlords and Tenants

Owning a rental property requires a big investment, so it is only natural that you want to ensure it remains in the best condition possible. A regular inspection will ensure that the property is well-maintained, which benefits landlords and tenants alike. It also means landlords will be able to identify potential issues earlier, reducing the likelihood of costly repairs.

However, a property inspection is not just about saving money. It also plays a key role in identifying safety hazards such as electrical problems or structural damage, protecting tenants from potential harm and landlords from liability risks.

Rental Property Inspection Laws

Rental property inspection laws vary widely depending on the location. That is why it is essential that landlords are taking the time to understand the national and regional requirements of where their property is located. In some areas, building officials may enforce rules regarding building permits, zoning, and compliance, impacting how and when property inspections can occur.

In most districts, landlords must provide tenants with advance notice before entering the rental unit for an inspection, typically 24 to 48 hours. The notification period ensures that inspections respect tenant privacy while still allowing landlords to manage property upkeep effectively. Some areas will also have rules on how frequently a landlord can inspect a property to prevent excessive intrusions.

It is also important to remember that all tenants have the right to privacy and, in some regions, the right to be in the property during the inspection. Being aware of these will help you to conduct each rental property inspection respectfully and transparently, further enhancing your relationship.

What Landlords Should Know About Inspections

When it comes to preparing for a home inspection, landlords should first create an inspection checklist. This will act as a clear guide of what to look for when walking through the property and will ensure that nothing gets missed. You should also gather and review any previous inspection reports and information on any repairs or renovations that have happened since the last review.

Related: Inspection Checklist Addendum

When reviewing the property, go through each room one by one to examine them thoroughly. The first thing that you should do is undertake a visual inspection to check for any signs of wear and tear or cosmetic issues. You can then inspect or ask the tenant questions to ascertain issues with things such as the plumbing, electrical systems, roof, and other essentials.

When undertaking the review, be sure to document the entire process with photos, notes, and a detailed written report to create a clear and irrefutable record of the property’s condition. This documentation can prove vital should you need to resolve a dispute or verify that repairs were completed.

If you notice issues such as structural damage or code violations during your home inspection, then you need to address them promptly. This will help you to protect your investment and ensure that you do not face costly penalties for non-compliance with the building inspection division and local authorities.

Common Issues Discovered During Landlord Inspections

No matter whether you are undertaking a home inspection or a commercial inspection, knowing the common issues to look out for can help to save you time and effort. Some of the key areas of concern to watch out for include:

Structural Issues

Some of the most common structural issues include foundation cracks, leaks in the roof, and wall deterioration. By addressing these problems as soon as possible, you will be able to prevent costly repairs later down the line.

Maintenance Problems

Problems with plumbing, HVAC, and electrical systems are frequently discovered during property inspections. These are essential requirements for tenants, and timely repairs of these systems are essential for safety and to ensure you remain legally compliant.

Safety Hazards

Identifying safety hazards like missing smoke detectors, mold, or carbon monoxide alarms is critical to keeping tenants safe.

Cosmetic Concerns

Although not a safety issue, cosmetic issues like chipped paint or damaged flooring should still be addressed promptly to maintain property standards.

What Are the Tenant’s Responsibilities During a Home Inspection?

It is always wise to send a short note to your tenants ahead of a home inspection to let them know what they can do to help the process go as smoothly as possible. One of the most effective things they can do is to tidy up and remove any personal items from the inspection path. This will speed up the process and ensure easy access to key areas such as electrical panels and plumbing fixtures.

Although it is down to the property manager to fix structural and cosmetic issues, tenants are responsible for everyday maintenance, such as cleaning and changing light bulbs. Outlining their responsibilities at the start of the tenancy agreement will ensure they comply with the lease agreements and help to keep your property in the best condition possible.

Final Thoughts

Property inspections are essential for maintaining the condition of a rental property, helping to protect the safety of the tenant while safeguarding your investment. Arranging thorough move-in and move-out inspections alongside annual tenancy inspections will help you identify potential issues before they become major concerns.

Keeping thorough documentation of previous inspections and action points will help you maximize the efficiency of your inspections. Here at TenantCloud, our mission is to help save landlords precious time by streamlining the process and allowing them to store everything they need in one handy location.