Real Estate Investor · Atlanta, GA · Member since 2016 · 286 posts · 67 votes
Hi, Fellow STR investors
I have seen many posts on this topic, but I am still a little unclear on the best practice for this situation: what is the best way to deal with guests requesting to stay longer than 28 days (or 30 days for some places) and therefore have tenant rights? So far, it seems the options are:
(1) Treat them the same as those staying shorter than 28 days
(2) Treat them the same as those staying shorter than 28 days, but require security deposit
(3) Treat them as long-term tenants, sign a lease with security deposit.
(4) Treat them as long-term tenants, check background, sign a lease with security deposit.
My main question is that if they have stayed longer than 28 days and refuse to leave at the end of their stay, landlords will need to start eviction processes no matter whether they have a lease with guests or not, correct? If so, why bother signing a lease?
Thank you for your suggestion! Could you explain a little more on why a lease is necessary? If guests refuse to leave, does a lease make any difference in the eviction process?
Rental Property Investor · Tennessee Florida · Member since 2016 · 4k+ posts · 5k+ votes
5y
The lease is a contract with the tenant. Because this is a tenant not a guest. And it will say exactly what happens should they stop paying rent or not leave etc.
Are you really making me explain why you need a lease? Come on man
Also if you’re already planning to evict these people you might not want to let them into the home in the first place
Real Estate Investor · Atlanta, GA · Member since 2016 · 286 posts · 67 votes
5y
Luke
That makes a lot of sense! Two quick related questions: will the eviction process be much harder if there is no lease between the landlord and guests when they refuse to leave at the end of the stay? Do you run background check on those guests staying longer than 28 days when signing the lease?
The lease is a contract with the tenant. Because this is a tenant not a guest. And it will say exactly what happens should they stop paying rent or not leave etc.
Are you really making me explain why you need a lease? Come on man
Also if you’re already planning to evict these people you might not want to let them into the home in the first place
Rental Property Investor · Sioux Falls, SD · Member since 2015 · 9k+ posts · 18k+ votes
5y
There are many short term rental operators that will make you sign a lease for even one weeks stay. A lease defines term, sets rules, identifies financial consequences for non compliance and is extremely helpful should you end up in court. When you say "why bother signing a lease" you clearly don't understand the legalities of renting to people. We do background and credit check for anyone staying 28 days or longer. That alone filters out 99% of scammers. The other advantage of doing a credit check is we allow those tenants to pay monthly and we get payment outside a platform to avoid fees. We also get a security deposit and charge a larger cleaning fee for long term stays.
Cambridge, MA · Member since 2015 · 651 posts · 736 votes
5y
In the event the tenant refuses to vacate, the legal protection that a signed lease gives a landlord does guarantee the tenant will eventually be forced out but not without a painful, lengthy eviction process.
I have lived through a tenant not vacating and it is a nightmare but what I learned from that experience is that it is best to avoid the circumstances leading up to a refusal to vacate.
I haven't researched all the reasons people refuse to vacate a unit but I suspect that the #1 reason is that they have nowhere else to go. Unless you are pricing your unit(s) way too low, anyone who can afford to pay for 28+ nights for a STR have plenty of other places to go. I take a risk by allowing 31+ night bookings without a lease being signed but it is unclear to me that someone booking my unit for that many nights is anymore likely to refuse to vacate than someone booking for 2 nights.
It is a risk I'm willing to take, during the pandemic when 31+ nights is such a popular option.