Managers - how do you structure your guest rental contracts?

Question

Just curious the structure others use for their guest contracts. I'm in the process of drafting a new one and setting up as a contract between the owner of the house and the guest - with myself out of the equation. It will also be a one party signed agreement (guest only) - not requiring the owner of the home to sign each one.

Wondering if anyone else is set up that way, or if they have a different method and why they chose that.

John Underwood · Answer

Most of my rentals come from Vrbo, a few from Airbnb and a few direct. I just type up a simple one page agreement of it is someone I don't know. Just has who is staying the dates and the amount for the most part.

Nancy Bachety · Answer

I understood it exactly as @Glenna Wood. That wouldn’t work for me either. It’s a one-sided agreement and no contract, no accountability, but ultimately someone takes responsibility and has the liability, agreement or not.

Glenna Wood · Answer

When have had Property Managers for my vacation rentals, I hire the PM as my Agent so they execute and sign each rental agreement. As the owner I don't sign them. If the PM did not sign on the bottom line as being accountable for the leases and how they rent my house, I wouldn't hire them as a PM. Sounds like you are trying to "wholesale" the rental agreement in that you want to broker the process of renting to guests but not act as an agent.

Since rental agreements are state/city driven, as said above, if you want a template, visit a PM web site as a potential guest and ask to review a sample contract in that locale.

Maybe I'm not understanding your question.

Paul Sandhu · Answer

I did a written agreement for the first 2 times I did an STR.  Then I realized that it would cost more to enforce an infraction than what the infraction was worth.

Home address from a drivers license?  Probably not valid.

Where do they go after leaving my STR?  To another job in an unknown location.

Serving them notice would probably cost more than what it's worth.  I just collect rent in person when it is due.

Chris O. · Answer

The owner would sign but more of a pre executed - I don't want the owner to be involved in every transaction. Was just curious if other PM's were a party to the guest contract or only the owners. Was hoping to pick some brains here but I have checked elsewhere as well.

Nancy Bachety · Answer

So you are looking for an agreement that you would have the guest sign, agreeing the the terms that you deem reasonable, is that right? But neither you or the owner would sign. If you don’t get a response, I would look on websites for other property managers and find their agreement online, or pick their brains.

Chris O. · Answer

Yes, licensed and insured. It does seem there's a general DIY tone on this forum, however there are enough people managing other properties that I thought I'd ask.

When you say arbitrage, I assume you're referring to people long term renting a property than turning around and STRing it themselves. If you were referring to owners contracting out the management of their STR, I don't see any negative to that. No different then someone wishing to build their own deck verse hiring someone.

John Underwood · Answer

So you mean a properly licensed Property Manager? Or someone doing Arbitage (The latter highly frowned upon in this forum).

Chris O. · Answer

These are your own rental properties though correct? I'm wondering more for those that are managing other peoples properties

Paul Sandhu · Answer

Pay up front for a week when you move in. Repeat every 7 days. I rent to refinery ruffians.

Managers - how do you structure your guest rental contracts?

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