Lease

Albert16
Level 2
London, United Kingdom

Lease

My lease has this paragraph:

"

Not to use the Property or permit the same to be used for any illegal or immoral purpose or for any trade business or manufacture or for any purpose whatsoever other than as a private residence in the occupration of one family only

"

Is there any way that this can be interpreted to allow the Airbnb bookings?

10 Replies 10
Cynthia-and-Chris1
Level 10
Vancouver, WA

Not that I can see.

Scott80
Level 10
Honolulu, HI

But in the Standard Residential Lease Contract in my state there is a separate clause that bans subleasing. IANAL but I am pretty sure that clause would couterindicate use of the property for AirBnB or any other vacation rental. See section 4 in this link.  http://www.episcopalhawaii.org/uploads/2/5/4/8/25486559/5.1.1.66_leases_finance__leases__residential...

Jim-and-Marcia0
Level 10
Vancouver, WA

Seems clear to me that you would not be allowed to do short-term rentals, Airbnb or another kind, in the unit you lease. If it is unclear to you, run it by your landlord or property manager. If they are flexible enough to allow you to do it, get their permission in writing before you proceed. But honestly, I think you're out of luck.

Robin4
Level 10
Mount Barker, Australia

@Albert16....No, there is no way that can be interpereted to allow ABB bookings!

Albert, a number of things enter into this but one of the main ones is, you void the landlords insurance because you have altered the scope of coverage that the insurance company accepted when they offered a policy to the landlord, Condo/ strata committee.

Even insurers of private properties will cancel policies if they become aware of short term rentals taking place in their insured space.

Sorry Albert but you have to find some other avenue to make a dollar on the side...and even ABB are quite specific about this! They say that you must have written consent from all interested parties prior to hosting.

I don't like being a prophet of doom but Albert, that's the way it is!

Cheers....Rob

 

Albert16
Level 2
London, United Kingdom

Thank you everyone for the replies.

I guess then it's over and out for me as far as Airbnb-hosting goes, while living in this place. Next time I buy a property I'll have a deeper look into the lease contract beforehand...

 

It's a pity really... we enjoyed hosting not only because of the (rather small) extra income but also to meet people and enable them to make their travels more affordable (since we love travelling ourselves).

 

In my opinion renting out a whole property vs a spare room on Airbnb is different. I think there has been a whole flat rented out on Airbnb in our building and that there may have been noisy parties etc. in it which then attracted the attention to Airbnb.

However, renting out our spare room is very different from that, because we have been very careful whom we accept to host as we have to share the flat with our guests. I'd say for me this is not much different than hosting friends or family. Unfortunately it's not treated the same way in the lease contract.

 

Living in a city where the housing shortage has been described as critical, you'd think preventing sub-leasing a spare room for a longer term should be made illegal! Also for many in this ridiculously expensive city it may really help some to pay the bills if they can get an extra income.

Robin4
Level 10
Mount Barker, Australia

@Albert16 ....And Albert, that is a terrible pity, you have wonderful reviews and you are obviously a good host!

It would be a loss to the platform to see someone like you disappear.

There are changes happening in the industry and I believe that there is a company called Towergate Underwriting who are offering short term rental insurance in England! Here is a link to their site....

I also believe that LLoyds of London have a division who offer short term rental insurance. I know they do in the US through a company called 'Proper Insurance'.
It is possible that you may be able to obtain coverage that does not affect the landlords insurance! We have such companies here in Australia and it is a growing market. 

It may be that you can approach the landlord and suggest that any insurance issues attached to the use of a hosting platform will be covered by another insurer and also offer a certain percent of each hosting you undertake to the landlords maintenance fund and increase your listing figure to cover it.

I did hear of one other host that followed this path and gained approval to host in a Condo developement.

Albert, I think anything is worth a try so don't give up yet, but try and work with the landlord, not behind his back....and I hope it works out for you....cheers.....Rob

Ask your leasing agent/landlord if you can have longer-term guests instead of overnighters.  They may allow for a room sub-let if the guest stays more than 30 days and, then, you would still be able to host if having a flatmate appeals to you.  

Brian1003
Level 2
East Grinstead, United Kingdom

In a word, no.  You risk forfeiting your lease. 

Gordon0
Level 10
London, United Kingdom

As an FYI, @Brian1003, if you don't @ the person you're responding to, they won't know you have. Oh, and this thread is three years old... 

Brian1003
Level 2
East Grinstead, United Kingdom

@Gordon0  Thank you... anyone looking will find it though.