Step-by-step instructions on how to use custom vacation rental agreements with VRBO and AirBNB
Well drafted rental agreements help prevent disputes and protect the owner’s legal interests when disputes do arise – especially in regard to vacation rentals. Carefully drafted vacation rental agreements provide owners with considerable safe guards and protections. For example, without an express vacation rental agreement, many vacation rental relationships will be governed by the Arizona Residential Landlord Tenant Act and not the Inn Keeper Statute. For good reason, investors prefer the relationship to be governed by the Inn Keeper Statutes. See Vacation Rentals and the Super Bowl, October 15, 2014, here.
And so, prudent vacation rental owners should certainly upload their custom vacation rental agreement to their VRBO or AirBNB account. As discussed in the above-referenced October article, any vacation rental agreement should, at a minimum, expressly state that the parties recognize and agree that the agreement constitutes an “innkeeper relationship” and is exempted from the Arizona Landlord Tenant Act. And further, the agreement should expressly state that the owner may perform non-judicial lockout in the event that the guest willfully holds over post conclusion of the rental term.
Instructions for Uploading Custom Vacation Rental Agreement to VRBO
First, the owner (or property manager) should visit the VBRO website and log on to the owner’s VRBO account. Then click on the rental property that you want to edit; then click on the “Settings” tab; next click “Rental Agreement and Cancellation Policy;” finally, click “Upload Rental Agreement” and then upload your form vacation rental agreement. Note that the rental agreement must be saved as a PDF file.
- Beware of Property Use Restrictions
Even with the right short-term lease provisions, local ordinances or your community’s covenants, conditions, and restrictions (CC&Rs) may restrict short-term rentals. Consequently, before you market your property for rent to the public on websites like VRBO and AirBNB, you should consult with a real estate attorney to confirm any legal prohibitions in your area.
- In Closing
A smart short-term lease minimizes your risk exposure in this new and uncharted Sharing Economy — and will help you share your condo, mansion, Igloo or Yurt with that globetrotting couple with whom you connected on AirBNB.
Enjoy the adventure, along with this new revenue stream you’ve uncovered!
If you or someone you know needs help drafting a vacation rental agreement or wants to position their real estate for short-term vacation rental, please call or email today.