When charging a previous tenant for damages, it’s important to factor in not just normal wear and tear, but also depreciation—especially for big-ticket items like flooring and paint.

Courts typically view the useful life of these items in a rental as 5–7 years. A few years ago, HUD recommended 3 years. At Texcen, we follow a 6-year depreciation schedule, which we believe aligns more closely with what courts would consider reasonable (though nothing is guaranteed).

Here’s what that means:

• If the flooring or paint is over 6 years old, you can’t charge the tenant for replacement.
• If it’s 3 years old, you can charge back 50%.
• If the wear is normal, no chargeback is allowed—happy to explain more if needed.

We do not recommend you charge more than our recommended amount. Courts won’t likely honor the full charge. Even if the damage was clearly caused by the tenant or their pet, judges generally award only the depreciated value. If the tenant disputes the charges and sues, they could win a judgment for an amount equal to the sum of $100, three times the portion of the deposit wrongfully withheld, and the tenant's reasonable attorney's fees.