SCHEDULE OF CONDITION SURVEYS
IN LIVERPOOL, MANCHESTER, NORTH OF ENGLAND AND WALES

Traditionally, we would hire a mobile elevated work platform (MEWP), commonly known as a cherry picker, to inspect roofs and upper elevations. These platforms provide detailed access to roof areas, offering a high-level view down onto the roofs and a close-up inspection of specific issues. When access is limited, we also combine drone photography and elevational pole photography to gain close-up views of a property. We firmly believe that it is crucial to inspect a roof at close range, as roofs are often one of the primary liabilities under a Lease.

In addition to inclusion within a Lease, we also prepare Schedules of Condition for a variety of purposes, for example inclusion into a Party Wall Award to clearly document the condition of a neighbouring property before works progress.

There’s often confusion between a Schedule of Condition and a Condition Survey. The main difference is that a Schedule of Condition is just a record of the building’s condition, meant to be attached to an Agreement. On the other hand, a Condition Survey is prepared to not only show the building’s condition but also identify any necessary repairs, usually with estimated costs to aid in planning maintenance work that might be required. There’s also sometimes confusion between a Schedule of Dilapidations and a Schedule of Condition. A Schedule of Dilapidations is prepared during or at the end of a Lease to highlight any breaches in the Lease Agreement.

Unless a Lease is meticulously drafted and accompanied by a comprehensive Schedule of Condition, a Tenant’s liability is unlikely to be fully capped by simply appending a Schedule of Condition. Many people mistakenly believe that as the building deteriorates, they won’t be held responsible for further deterioration. However, it’s extremely challenging to restore a partially repaired structure to its original condition. Consequently, there’s been significant debate in Dilapidation cases law regarding a Tenant’s obligation to restore the affected element to full repair. Similarly, it’s difficult to document every aspect of a building in a schedule. Unless a photograph is agreed upon as illustrative of all areas, areas not depicted in the photograph or mentioned in the text may still be liable. Therefore, it’s crucial to carefully word the repairing covenant in the Lease to establish the agreed-upon standard of repair for both the Landlord and the Tenant. Additionally, it’s essential to clarify who is responsible for any further deterioration that occurs after the Lease commences.

There’s often a debate about whether a Schedule of Condition is the sole limitation on the extent of repairs. This depends on the exact wording of the Lease. It’s crucial to check if the standard of repair is limited to ‘the standard at the commencement of the Lease, as further evidenced by a Schedule of Condition’ or if it’s limited to ‘the Schedule of Condition’. Although similar in wording, there can be a difference. In some cases, the intention may have only been to incorporate a Schedule to limit a specific defect, like an uneven floor or an out-of-line wall. Therefore, it’s essential to carefully read the wording of each Lease.

A schedule of condition is a comprehensive document or report that provides a detailed description of the current state of a property or asset at a particular moment in time. It serves as a valuable tool in various real estate and property-related transactions, including lease agreements, property acquisitions, and dilapidations assessments.

A Schedule of Condition is a precise record of the property’s condition at the beginning of a Lease term, which will restrict the Tenant’s responsibility for repairs conducted by an RICS Chartered Building Surveyor

Photographs and a written record of the location, nature and condition of each item inspected (inside and out) A written record of any existing issues, such as cracks, staining, holes, decay, discolouration, leaks, defects, disrepair or deterioration. However it is important that this is undertaken by an independent such as a RICS Chartered Building Surveyor, then agreed and signed by both parties, Landlord and Tenant.

TENANT

The Tenant, why? Typically, a tenant will pay for the schedule of condition since it benefits them by documenting the property’s state at the start of the lease and protects them from excessive Dilapidations claims at the end of the lease.

It’s crucial to ensure that the Schedule of Condition is explicitly referenced in the legal agreement and not merely kept on file. Many people mistakenly believe that having a few photographs on file can reduce a Tenant’s liability under the terms of the Lease. However, if the Schedule of Condition is not specifically mentioned in the Lease and the Lease is governed by standard full repairing terms, it’s unlikely that it will limit a Tenant’s obligation. Consequently, the Tenant could still be held liable for making necessary repairs, even if the property was clearly in disrepair at the beginning of the Lease. Therefore, it’s essential to seek professional advice from a Chartered Building Surveyor when signing any Lease. Even if the process of taking a few photographs appears straightforward, our expertise in potential claims at the end of a Lease can help minimise your liability.

A Schedule of Condition, prepared by a RICS-accredited surveyor like AMS SURVEYS, is a legally binding document. It presents an impartial and expert record of a property’s state and condition at a specific point in time. The level of detail and supporting photographic evidence in our schedules provides them with strong legal standing. They can serve as evidence in disputes between landlords and tenants regarding alleged damage or deterioration during a tenancy, or lease breaches that lead to a Schedule of Dilapidations. If properly prepared, agreed to, and signed, courts can treat schedules of condition as binding contracts between parties. Our comprehensive reporting and certification instil confidence in clients that the schedule will withstand legal scrutiny.

There’s no fixed expiration date for a Schedule of Condition because it remains an accurate record of the property’s condition at the time of inspection. However, the value and relevance of the schedule decline over time as the property naturally deteriorates due to repeated use and aging. For rental properties, we recommend that landlords update the Schedule of Condition every 2-3 years, however a interim Schedule of Dilapidation is likely to be more relevant as this will prompt the tenant to take action, enforceable legal notices can also then be served. This provides a suitable benchmark to compare wear and tear with new damage, especially for longer tenancies. For unoccupied properties, schedules have a longer validity, but we suggest a fresh inspection every 5 years or so. This checks for any structural issues, ensures the records remain up-to-date, and reinforces the property owner’s due diligence.

The time required to thoroughly inspect and record the condition of a residential property can vary significantly based on its size, layout, and furnishings. Larger or more intricate properties with multiple buildings, annexes, landscaped gardens, and outbuildings naturally take longer than single-floor flats or apartments. Additionally, the inspection duration depends on the level of detail requested by the client. While our schedules are comprehensive, we can adapt to suit individual needs. Our surveyors schedule appointments to ensure they never feel rushed, which allows them to produce scrupulously prepared reports with ample time to meet the exemplary standards our clients expect.