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Security Deposit and damage

We have a tenant who just moved out and did considerable damage to the carpeting. Basically, her dog chewed and clawed it at the corners so that it needs to be replaced. We got an estimate to replace it in the worst areas (one room and hallway). However, someone told me we needed to consider depreciation and subtract that from the estimate. Is this true or do we just subtract the replacement cost? Also, the carpeting was new when she moved in so this is a factor. Thanks!

Also, not sure about your state landlord tenant laws regulating use of security deposits, however, in CA and Az Lanldlord must produce receipts for repair or replacement costs deducted from the security deposit.
You can simply deduct the cost for the carpet replacement.  Please be sure to make an accurate record of of the damage and take  photographic evidence of the damages.
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