The popularity of Airbnb and other subletting programs have changed the dynamic for landlords and renters. Landlord are often unaware of unscrupulous renters who can sublet their apartments or homes and make money when they are not there. Although that is a good deal for the renter, for the landlord it is not.
Why not sublet?
From the landlord’s point of view, subletting or hosting services takes money out of their pocket and brings people onto their property that haven’t been screened by them. An apartment that is used for an Airbnb tenant on the weekend can cause trouble between the neighbors and the landlord as well as potential damage to the apartment.
So, in addition to losing money, the property owner is responsible for damage caused and any problems created with the neighbors. If you are careful in screening the people who live in your property, subletting removes your input from the process but leaves you with the responsibility.
There are three primary ways to protect your person and property from these problems:
1. Make your lease airtight
If your tenants want to host people in your home or apartment, they should speak with you, the landlord, first. In addition to being courteous and respectful, there may be local issues or personal reasons why the landlord doesn’t want other people sharing the property.
In most cases, subletting someone else’s property is normally not allowed. It may very well be spelled out in the lease agreement in the ‘what the renters can and cannot do’ section. If not, it should be.
The best way to prevent your tenants from taking advantage of your property is to make it clear – in the lease – that you do not want them subletting your property.
2. Know the law
Every community has different laws when it comes to short-term rental hosting. Depending on where you and the property are, it might not be allowed at all. If it is, you need to ensure that your renters know what your view on it is and put it in writing.
If you are renting to someone without a lease or if the lease has become outdated due to the changes in rental hosting, you should create a new lease and have your renters sign it. Communicating your wishes in this regard will let your renters know what is expected of them and avoid many of the problems that can occur with rental hosting.
3. Use a service
Whether you are in the same town or states away from your rental property, there are several services that will let you know if there are indications of illegal subletting of your property. Signing up with them is well worth the cost for your peace of mind.
These services work by scanning the lists of Airbnb, HomeAway, FlipKey and other short-term rental sites in your area. If your property is listed, you will be notified and can stop your renters from subletting your property.
What you do with renters who have broken the lease, of course, is up to you, but there have been several successful lawsuits against renters who have or tried to sublet property that didn’t belong to them. You, as the property owner, have the rights as well as the responsibilities when it comes to your property. Allowing those rights to be assumed by someone else does not remove the responsibilities.
Remember, first and foremost, it is your property and you are the one who is responsible for what happens on it.
