Just Letting
Holiday
Rentals
What property owners need to know
to avoid financial loss
T
he demand for proper ty rentals is expected
to increase significantly in 2015. While this
may provide proper ty owners with an
attractive oppor tunity to increase revenue, it is
critical to ensure that the proper ty is properly
protected to mitigate any financial risks that may
arise as a result of holiday letting.
When letting out a proper ty during the
holiday season, it is vital to consider the legal
implications. Proper ty owners must ensure that
the tenant has a copy of the body corporate
conduct rules, which ensures pleasant living
conditions for all residents. However, when it
comes to shor t-term rentals, proper ty owners
must draw up a clear agreement for the tenant.
This agreement must include the deposit and
payment terms, cancellations, breakages and
policies for complaints. It offers recourse, which
the owner may not otherwise have against
damage, destruction, noise or other issues.
It must be made very clear before accepting a
booking, that any damage, whether accidental or
due to negligence, caused to the proper ty by the
tenant will be charged accordingly.
Putting down a security deposit is vital. The
owner can use the deposit if any malicious
damage (vandalism) is caused to the proper ty.
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Issue 7 2015
The deposit will ensure that proper ty owners are
covered for repairs or the money can be used
to replace damaged items. A deposit that is paid
upfront, will not require the owner to star t the
lengthy process of requesting additional money
from the tenants. Damage to the proper ty such
as breakages and spillages are more likely to
occur as a result of par ties held over the holidays.
Proper ty owners are held responsible for an
injury that occurs on the premises as a result
of negligence in maintaining the proper ty. It
“Putting down
a security deposit
is vital.”
is impor tant to make sure that the proper ty
owner conducts regular safety checks so that
tenants’ safety is not at risk. These checks include
inspecting fire extinguishers, appliances, electrical,
gas installations and secure fencing for the pool.
Ensure the plumbing is in working order and that
the proper ty is free from damp.
Just Property Magazine