In our previous article, we gave an overview of what you need to know about renting your home to short term visitors for profit. With Airbnb and similar companies allowing you to earn a chunk of change by renting out your own house, this trend has exploded in recent years. However, before cashing in your checks, be sure to note the following rules and considerations of doing so in order to prevent legal battles. In addition, ensure your Ann Arbor Home Insurance needs are addressed to mitigate risk in your new venture.
Check your local laws.
Depending on your local zoning laws, charging money for a short-term stay could turn your home into an illegal hotel. For renters, house sharing can get into even more gray areas. As a property manager, Holland says he’s concerned that guests aren’t vetted by landlords the way a tenant would be, and that extra guests increase his expenses for things like water, sewage, and trash removal. Depending on the terms of your lease, your landlord may have the right to evict you, explains Jesse Holland, president of Sunrise Management & Consulting in Albany, N.Y, to U.S. News.
Apart from just checking with your local laws to know your obligations as a homeowner and temporary landlord, it’s wise to screen your guests to make sure you know who you are allowing into your home.
House sharing sites offer features like linking to someone’s Facebook profile, messaging or calling prospective guests, and reading guest reviews or recommendations before you approve their reservation, explains the article. However, it’s never a bad idea to give the prospective tenant a call and get to know them personally before handing them the keys. Ask if they plan to have any parties, or how they intend on using your home, before approving their stay.
It’s assumed that your guests will respect your home and your privacy during their stay. However, set up some house rules to be posted on the home sharing website, just in case. This includes areas that are off limits, check in and check out times, smoking, partying limits, etc.
About Thayer Innes and Freeman Bunting Insurance Agencies
At Thayer-Innes Insurance Agency and Freeman Bunting Insurance Agency, we strive to provide comprehensive insurance solutions to support Ann Arbor homeowners. Our homeowners’ policies can be tailored to meet your specific risk exposures and provides much more coverage than a traditional policy, giving you the peace of mind you deserve. For more information about our products, contact us today at (855) 395-6316.