A tenant has vacated leaving serious pet stains on the carpet that were not disclosed during the tenancy. The carpet was 3 years old when the tenancy began and is now 5 years old. How should the bond claim be calculated?
Correct Answer
C) Claim the replacement cost reduced for depreciation over the carpet's remaining useful life.
When claiming for damage beyond normal wear and tear, tribunals consider the age and condition of items at the start of tenancy. Even with undisclosed pet damage, the claim must account for depreciation and the carpet's remaining useful life, requiring a proportional reduction in the claim amount.
Why This Is the Correct Answer
The tenant is liable for damage beyond fair wear and tear, but only for the landlord's actual loss. Tribunals reduce the replacement cost to reflect how much of the carpet's useful life had already been used.
Why the Other Options Are Wrong
Deep Analysis of This Property Management Question
Background Knowledge for Property Management
Memory Technique
Exam Tip for Property Management
Real World Application in Property Management
Common Mistakes to Avoid on Property Management Questions
Related Topics & Key Terms
Key Terms:
More Property Management Questions
Under NSW tenancy law, which of the following lease terms would be considered invalid and unenforceable?
A NSW house being leased has a shared driveway, and the neighbour has a registered right of way to drive across it. The property manager plans to say nothing unless asked. What must the manager do?
A tenant has a 12-month fixed-term lease in NSW. With 80 days left, the landlord gives a valid 90-day notice on the proposed sale ground. The tenant finds another home and wants to leave in three weeks. What is her position?
In NSW, what is the minimum notice period a landlord must give before entering a rental property for a routine inspection?
In NSW, what is the minimum notice period a landlord must give a tenant for a rent increase during a periodic tenancy?
- → In NSW, how long does a landlord have to lodge a rental bond with NSW Fair Trading after receiving it from the tenant?
- → What is the maximum bond amount that can be charged for a residential tenancy in NSW?
- → A NSW tenant gives the property manager a completed pet application form for a small dog. The landlord is travelling and nobody responds for 25 days. What is the result?
- → A managing agent collects rent throughout March for a landlord who has given no special payment instructions. When must the agent pay the landlord?
- → Who is responsible for paying water usage charges in a standard residential tenancy in NSW?
- → In NSW, if a tenant disagrees with the condition report provided by the landlord, what action should they take?
- → A NSW landlord with a periodic tenancy plans significant renovations that require the property to be vacant. What is the minimum termination notice the agent must give the tenant?
- → A NSW tenant has a 6-month fixed-term lease. The landlord's daughter will move into the property when the term ends. What is the minimum notice for a termination at the end of the term?
- → A NSW landlord has just exchanged contracts to sell a periodic-let house, and the contract requires vacant possession. What is the minimum termination notice for this ground?
- → A NSW tenant on a periodic agreement has repeatedly breached the agreement by keeping an unapproved business on the premises. What is the minimum termination notice for breach?
People Also Study
Property Law & Legislation
110 questions
Agency Practice & Law
138 questions
Contracts & Conveyancing
106 questions
Property Marketing & Sales
129 questions
Related Study Resources
Previous Question
A tenant has abandoned the property mid-lease without notice, leaving personal belongings behind. What is the correct procedure for the property manager?
Next Question
A tenant has vacated a property leaving significant damage beyond normal wear and tear. The estimated repair cost is $3,500, but the bond held is only $2,000. What is the most appropriate course of action for the property manager?