Short-term condo rentals have become a popular topic within condo communities.
Some communities embrace short-term rentals as an individual choice made by condo owners. Short-term rentals may also elicit concerns that include safety, security, lifestyle and adherence to condo rules.
The internet has made short-term rentals easier to promote. They have become a way to make extra money for condo owners but at a cost to condo neighbours and the condo corporation.
Condo corporations concerned with short-term rentals have the resources and authority to control them.
Nadlan-Harris Property Management and Duuo, a provider of insurance for short-term rental hosts that is part of The Co-operators, have teamed up to offer a four-step process for managing or controlling short-term condo rentals and how it can be implemented.
Review Governing Documents
Governing documents – declaration or rules – may currently have restrictions or prohibitions against short-term residency. Where no mention is made of short-term rentals, or where governing documents are not in line with current intentions, they can be modified.
- Minimum lease terms – 6 months or 12 months – can be added or removed in accordance with what is desired
- Prohibitions on transient use can be added or removed
- Permission can be required for short-term use
- Check-in and check-out requirements can be implemented for short-term use
Communication and Documentation
Residents and staff should be informed of short-term rental policies and how they can assist in enforcing any restrictions that may exist. Distribute a one page document identifying short-term rental policies as provided in the declaration or rules.
Residents can be encouraged to advise the concierge, security or management office when they suspect a suite is being improperly used for short-term stays inclusive of date and conduct being noted. Security, concierge and management can be instructed to log date and noted conduct for those suspected of short-term stays. Those entering with suitcases can be confirmed as residents or visitors and logged along with suite number.
When there are prohibitions or restrictions on short-term rentals, short-term stay websites can be monitored for postings for your building with suspected suites documented by making a copy of postings. Popular websites for short-term stays include Airbnb , Kijiji, Craigslist, VRBO, TripAdvisor, Homeaway, Flipkey and Roomorama.
When short-term stay residents are identified, condo corporations may consider enforcement actions which include:
- Denial of building access to non-residents
- Denial of access to common areas
- Deactivation of fobs for any suite where non-residents are found to have been provided access in contravention of condo rules
- Recovery of costs to identify offending suites when these costs are charged by an agency and directly attributed to that suite
- Legal action