New Brunswick End of Lease Inspection — What Landlords Should Do at Move-Out

Why the Move-Out Inspection Matters

The condition of the unit at move-out determines whether you can claim against the security deposit, what you'll need to repair before the next tenant, and whether you have a viable case at the Tribunal if the damage goes beyond the deposit. In New Brunswick, the security deposit is held by the Residential Tenancies Tribunal (not the landlord), so any claim against it goes through the formal process — and that process depends on your documentation.

The Security Deposit Framework

Under Section 8 of the Residential Tenancies Act, a landlord may collect a security deposit of up to one month's rent (or one week's rent for weekly tenancies). The deposit must be remitted to the Tribunal within 15 days of receipt. A landlord who kept the deposit in a personal account has a weaker position when seeking a deduction — the Tribunal expects compliance with the remittance requirement.

When the tenancy ends, the deposit is returned to the tenant unless the landlord files a claim for damages or unpaid rent. The landlord must apply to the Tribunal using the proper process; you cannot simply deduct costs and return the difference unilaterally.

Conducting the Inspection

The Act doesn't prescribe a mandatory joint inspection procedure the way some other provinces do, but thorough documentation at move-out is the foundation of any deposit claim or damage claim.

Before the tenant moves out:

• Review your move-in condition report. If you didn't create one at the start of the tenancy, your ability to prove damage (versus pre-existing conditions) is significantly weakened.
• Arrange a walkthrough if the tenant is willing. Joint inspections reduce disputes because both parties see the same conditions at the same time.

At the inspection:

• Photograph every room, including close-ups of any damage. Note the date and time.
• Document specific items: walls, floors, fixtures, appliances, windows, doors, exterior areas if applicable.
• Note the distinction between damage (broken fixtures, holes in walls, stained carpets beyond normal use) and normal wear and tear (minor scuff marks, faded paint, worn carpet in traffic areas). The Tribunal will not award deposit deductions for ordinary wear.
• Check utilities, smoke detectors, and locks.
• If there are items left behind, the abandoned chattels rules under Section 15 and Regulation 82-218 Section 12.1 apply — see the $500 threshold process.

What Counts as Damage

The Tribunal distinguishes between tenant-caused damage and the natural deterioration that comes with occupancy. Landlords frequently overestimate what qualifies as a deductible claim.

Items that typically qualify as damage: holes in drywall beyond picture-hook size, broken windows or fixtures, burns in countertops or flooring, pet damage to carpets or doors, missing appliances or hardware that were present at move-in.

Items that typically don't qualify: paint fading from sunlight, minor nail holes, carpet wear in hallways, gasket wear on appliances, small scratches on hardwood floors.

The burden of proof is on the landlord. Your photographs, your move-in report, and your move-out documentation are what the Residential Tenancies Officer will evaluate.

Filing a Deposit Claim

If the inspection reveals damage beyond normal wear, you apply to the Tribunal for a deduction from the security deposit. Include your move-in photographs and condition report, your move-out photographs with dates, repair estimates or invoices, and a written description of each claimed item.

The tenant can dispute the claim, at which point the RTO schedules a hearing. Having detailed, dated documentation makes the difference between a successful claim and a dismissed one.

The Bigger Picture

A move-out inspection is the final step of a tenancy ending — but how that tenancy ended affects everything that follows. A termination that was properly noticed and served puts you in a stronger position at the inspection stage. A tenant who was improperly notified may refuse to cooperate with the inspection or dispute every claim as retaliation.

The Ending a Tenancy in New Brunswick guide covers the full process from statutory grounds through notice, service, and post-termination obligations — including the deposit claim framework and the abandoned-chattels rules for items left behind.

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