Free Move-Out Inspection Checklist

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Complete Guide to Move-Out Inspections & Security Deposits

What is a Move-Out Inspection?

A move-out inspection (also called final walkthrough or end-of-tenancy inspection) is the landlord’s room-by-room examination of the rental property after the tenant vacates. This inspection determines what security deposit deductions are justified by comparing the property’s current condition to the documented move-in condition.

The move-out inspection serves multiple critical purposes: documenting damage beyond normal wear and tear, calculating repair costs, determining cleaning requirements, verifying all keys were returned, and creating the legal foundation for any security deposit deductions. Done properly, it protects both landlord and tenant by providing objective evidence of the property’s condition at lease end.

Security Deposit Laws: State-by-State Deadlines

Every state has specific deadlines for returning security deposits and providing itemized deduction statements. Missing these deadlines can result in penalties, including losing your right to make ANY deductions, paying double or triple the deposit amount, and paying tenant’s attorney fees.

State Deposit Return Deadlines:

Note: Some states have different deadlines depending on whether you’re making deductions. Always verify current law in your state, as deadlines occasionally change.

Conducting an Effective Move-Out Inspection

Step 1: Schedule at the Right Time

Timing options:

• With tenant present (recommended): Schedule walk-through on final day, prevents disputes about damage timing
• After tenant vacates: Inspect after keys returned and property is empty
• Daylight hours: Natural light shows damage and dirt better
• Allow adequate time: 30-60 minutes minimum for thorough inspection

Step 2: Bring Your Move-In Report

Essential comparison: Bring the original move-in inspection report and photos. Your job is to identify what changed from move-in to move-out. Without this comparison, you can’t prove which damage occurred during tenancy.

Step 3: Document Everything with Photos

Photography requirements:

• Take photos of every room, every wall, every surface
• Close-ups of any damage, stains, or excessive wear
• Include reference points (tape measure next to stain to show size)
• Open all cabinets, closets, appliances—photo interiors
• Minimum 75-150 photos depending on property size
• Video walkthrough provides additional documentation

Step 4: Note Specific Damage with Estimated Costs

Be specific and factual:

• Location: “Master bedroom, north wall, 3 feet from corner”
• Description: “6-inch hole in drywall, requires patching and repainting”
• Cost estimate: “$150 for drywall repair and paint”
• Was it pre-existing?: “Not noted on move-in report, occurred during tenancy”

What Can Be Deducted from Security Deposits?

✅ Legally Deductible:

• Unpaid rent: Any rent owed for days tenant occupied property
• Tenant-caused damage: Holes in walls, broken fixtures, pet damage, burn marks
• Excessive dirt/filth: Requiring professional cleaning beyond normal
• Missing or broken items: Light fixtures, towel bars, smoke detectors removed
• Unauthorized alterations: Unauthorized paint colors, removed fixtures
• Key replacement: If keys not returned, cost to rekey locks
• Unpaid utilities: If tenant responsible per lease
• Lease violation penalties: If specified in lease agreement

❌ NOT Deductible (Normal Wear & Tear):

• Paint fading: From sun exposure and age
• Minor scuffs on walls: From normal furniture placement
• Carpet wear patterns: In high-traffic areas
• Small nail holes: From hanging pictures (1-2 per wall)
• Worn countertops: From normal cooking activities
• Loosened caulking/grout: From age and normal bathroom use
• Worn door handles: From regular use
• Light switch/outlet wear: From normal use
• Faded curtains: From sunlight exposure
• Carpet cleaning: For normal dirt/wear (most states)

Common Move-Out Deduction Scenarios

Calculating Deduction Amounts

Use Actual Costs, Not Estimates

You must have receipts for any work performed. You can’t just “estimate” $500 for painting—you need actual invoices showing you paid $500 to paint. Courts will not accept unsupported cost claims.

Consider Depreciation

Items depreciate over time. You can’t charge full replacement cost for worn items:

• Carpet: 5-7 year useful life (20% per year depreciation)
• Paint: 2-3 years in high-traffic areas, 5-7 years in others
• Appliances: 10-15 years depending on item
• Flooring: 10-25 years depending on material

Example: Tenant damages carpet that cost $2,000 to install 3 years ago. Carpet has 7-year life = depreciates $285/year. After 3 years, remaining value is $2,000 – ($285 × 3) = $1,145. You can only charge $1,145, not the full $2,000 replacement cost.

DIY vs. Professional Repairs

If you do repairs yourself:

• Materials cost: Can charge for actual materials (save receipts)
• Your time: Some states allow reasonable hourly rate for your labor, others don’t
• Market rate: Generally can’t exceed what professional would charge
• Document everything: Photos before/during/after, all receipts

Writing the Security Deposit Itemization

Most states require an itemized statement explaining every deduction. This document must include:

Required Information:

• Original deposit amount
• Each deduction item listed separately with cost
• Brief explanation of each deduction
• Receipts for repairs/cleaning (many states require)
• Amount being returned to tenant
• Date and landlord signature

Example Itemization:

Delivering the Deposit Return & Itemization

Send to Tenant’s Last Known Address

Mail deposit return and itemization to:

• Forwarding address provided by tenant
• If no forwarding address, mail to rental property address
• Some states require additional attempts if mail is returned

Use Certified Mail

Critical: Always send via certified mail with return receipt requested. This proves you mailed the deposit return within the legal deadline. Without proof of mailing, tenant can claim you missed the deadline even if you didn’t.

Include Copies of Receipts

Many states require you provide receipts showing actual costs for repairs/cleaning. Even if not required, receipts prevent disputes. Never send original receipts—send copies and keep originals.

Penalties for Wrongful Deposit Retention

States impose severe penalties for landlords who wrongfully withhold security deposits:

Common Penalties:

• Forfeiture of deductions: Lose right to any deductions if you miss deadline
• Double/triple damages: Pay 2x or 3x the wrongfully withheld amount
• Attorney fees: Pay tenant’s legal costs to recover deposit
• Court costs: Pay tenant’s court filing fees
• Interest: Pay interest on wrongfully withheld funds
• Actual damages: If bad faith, pay for tenant’s harm (moving costs, etc.)

Common Move-Out Inspection Mistakes

❌ Not Having Move-In Report to Compare

Without a move-in report, you can’t prove what damage occurred during tenancy. Judges will assume any claimed damage was pre-existing if you have no baseline documentation.

❌ Charging for Normal Wear and Tear

This is the most common reason landlords lose in court. If tenant lived there 5 years, expect faded paint, worn carpet, loose caulk. You can’t charge for these normal effects of time and use.

❌ Missing the Deadline

In most states, missing the deposit return deadline means you forfeit ALL deductions and must return the full deposit, regardless of damage. Set calendar reminders immediately when tenant moves out.

❌ No Receipts for Repairs

Courts require proof you actually paid for repairs. “I estimate $500 to fix” doesn’t work. You need invoices showing $500 was actually spent. No receipt = no deduction in many states.

❌ Vague or No Itemization

“Damage to property – $800” is not acceptable. You must specifically describe each deduction: “Hole in master bedroom wall requiring drywall repair and repainting – $150.”

Best Practices Checklist

Related Landlord Forms

• Move-In Condition Report – Document property condition at start of tenancy
• Security Deposit Itemization – Itemize all deposit deductions
• Property Inspection Checklist – General property inspection form
• Notice to Vacate – Notify tenant to vacate property
• Keys & Access Log – Document keys returned at move-out

This form is for informational purposes. For legal advice specific to your situation, consult a licensed attorney in your state.