Real Estate Blog

Inventory of fittings and fixtures in a rental agreement: Reminders and advice

May 9, 2017

As soon as a tenant signs a lease agreement with an agency or directly with the landlord, the next step is normally the inventory of fittings and fixtures in their future home. But that is not always the case.

Inventory obligatory in one instance.

Carrying out an inventory is advisory but not obligatory. The Luxembourg law does make an inventory at the start of the tenancy compulsory, however, when a security deposit is included in the contract and paid, which is almost always the case.

This allows the landlord to protect themselves against any unpaid rent or damage that the tenant might cause in the rented property.

In Luxembourg, article 5 of the law regarding residential leasing, modified on 21st September 2006, limits the security deposit to a maximum of 3 months’ rent payable to the landlord.

How is it useful to the tenant and landlord?

Carrying out an inventory is beneficial to both parties. Firstly, because it is done in each other’s presence, and signed by both parties. The signature shows agreement on what is specified in report.

Secondly, because if no inventory is completed, the law assumes that the tenant took on the property in good order and that they must leave it in the same state (except any proof of any damage noted upon moving in). On the other hand, the landlord cannot use the deposit money to cover any wear and tear observed at the end of the tenancy.

Tenants, pay close attention to the inventory.

Whether it is an inventory carried out by an agency or directly by the landlord, read the rental contract that you will have to sign carefully. Occasionally there is a clause in the contract that suggests that you are taking on the property in a good condition. This clause is legal.

If you sign the contract, you accept this clause, which means that you cannot defend yourself against any damage that you claim not to have caused, which were there when you moved in. Any damage noted that is not on the final will therefore be your responsibility.

If the tenancy agreement includes a good condition clause, or the landlord does not organise a starting inventory (in which case they will not be able to ask you to pay a security deposit), you should insist that they make note of the damages that you might find when you arrive at the property in writing and in the contract.

Finally, if you notice any damage in the days after you move in, you can make a note and send them by recorded delivery to the landlord but they will not be obliged to do anything about them and is not as reliable as a moving in inventory which you would both sign, together.

As you will have understood, carrying out an inventory upon arriving in your new rented home is strongly recommended. If your landlord does not arrange one with you, read the contract closely and/or insist on having one in place. Take every step you can to protect yourself to the max.

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