Total novice.

If you are planning to buy a rental home, or you're thinking about what to do with one you have just acquired, this is the place for any questions about starting out in the rentals business.
pablito3
Posts: 11
Joined: Mon Jun 29, 2009 10:45 pm
Location: inland Malaga

Total novice.

Post by pablito3 »

Hi all,
I have a house in Southern Spain that I built with the intention of selling. Given the current property situation I have decided to try my hand at holiday rentalsl. A few questions for you seasoned "experts".
Is it advisable to send prospective clients a booking form and have them sign terms and conditions? If so can anyone forward me a sample please?
Is a security deposit a good idea and if so how much?
My house has air conditioning, how can you stop clients abusing this? ie leaving it on with doors and windows open or when they go out?
What tips do you have for avoiding/filtering undesirable clients? I'm not a snob but when I fly to Spain (or anywhere else) I look at some of my fellow passengers and think that I would'nt want them in the same village, let alone, in my house.
Where do you reccomend I advertise my house?
Is a personal website a must?
The house has a pool and I'm thinking of buying a robotic pool cleaner any reccomendations?
Thanks for any tips or advice.
Pablito.
Paul Carmel
Posts: 3836
Joined: Tue Dec 07, 2004 12:25 pm
Location: Palma Mallorca & Greece
Contact:

Post by Paul Carmel »

Hi, and welcome to LMH.

All of the questions you ask have been covered extensively on LMH, So you might want to do a search to start with on each subject.

Good luck you have hours of reading in front of you!
Cheers
PC
Jacqueline
Posts: 129
Joined: Tue Feb 17, 2009 2:18 pm
Location: Pedreguer Costa blanca/Romford Essex
Contact:

Post by Jacqueline »

Pablito
I hope this helps.I do not have a personal website i advertise with holiday lettings and for 4 years i have been booked all summer and more.
I do not have air con but there is no way of stopping guests abusing it.I do not know of a way of vetting guests, this year we discovered that for a week in June we had naturists staying at our villa i was really shocked as we do not say we are secluded and our neighbours were not best pleased.
I think that you need to have a booking form i got mine from holiday lettings but may be someone else on the forum could help with that.I ask for a breakage / loss deposit of £100 you never no when you need to keep it although i have never retained one.
Good luck with your holiday rentals.
Jacqueline
pablito3
Posts: 11
Joined: Mon Jun 29, 2009 10:45 pm
Location: inland Malaga

Post by pablito3 »

Thanks for that Jacqueline,
do you advertise only with holiday lettings or do you use others. I have read that people reccomend using several different on line ads.
It seems that you have been very lucky with your tenants apart from the nudists.
Thank you also Paul,
I have run a search but cant find specimen rental contracts or advice on air con.

Pablito
Paul Carmel
Posts: 3836
Joined: Tue Dec 07, 2004 12:25 pm
Location: Palma Mallorca & Greece
Contact:

Post by Paul Carmel »

I believe you can get sensors that cut the AC if a window is left open, As I understand it, they cost quite a lot to install.

Take a look at the following viewtopic.php?t=7104&highlight=air+condition

The following is a sample contract from HA you should be able edit it to fit your needs

Sample Rental Contract

To cover the rental of a holiday apartment or holiday house



Between


(Name and address) – Advertiser –


and


(Name and address) – Tenant –



1 Rental object and keys

(1) The Advertiser lets the following property (rental object) to the Tenant:




(Please insert description and address or location of the property)

For a total of _________ people inclusive of children and ________ animals.

The house rules attached are valid.
The rental property is a smoking / non-smoking property. (Please delete as appropriate)

(2) The rental property is fully equipped and furnished as is let with the following furnishings:






Bed and bath linen (the following items: ____________________________________________) are included in the price / not included in the price / available on arrival for an extra charge of ______. (Please delete as appropriate).

(3) The Tenant is entitled to use the following equipment / furnishings during the rental period:




(E.g. parking space, swimming pool, washing machine, etc.)

(4) The Tenant receives ______ house / apartment keys for the duration of the rental period.



2 Rental period, arrival and departure

(1) The rental property is let to the Tenant from _________________ (arrival date) until _______________
(departure date).

(2) The arrival time on the arrival day is _________________________________.

(3) The departure time on the day of departure ________________________________.

At the end of the rental period the Tenant is to vacate the property and return the keys to the Advertiser or the Advertiser’s agent.

At the end of the rental period the Tenant should leave the property in similar condition to that in which it was found. Any additional cleaning costs incurred by the Advertiser may be passed on to the Tenant at their sole discretion.


3 Rental price and payment methods

(1) The rental price is ________ per person / property / day / week / for the duration of the rental period
This includes / excludes the final cost of cleaning of ______, therefore totalling ________.
The cost of electricity, water, telephone and heating will be calculated based on use and deducted from the deposit. (Please delete as appropriate).

(2) The amount is payable by the following payment methods:




The deposit of __________¬¬¬¬¬__________ is payable with the remaining balance / on arrival and will be transferred back / refunded in cash on departure once utilities have been deducted. (Please delete as appropriate)

Note:

The procedure for payment of the deposit within a certain period (e.g. 14 days) following the signing of contracts as well as payment of the remaining outstanding rental balance on or before the start of the rental period should be stated.

For example: The Tenant is required to pay a deposit of 20% of the agreed rental price within 14 days of receiving the bill, into the following account **********. The remaining balance is to be paid into the same account at least 2 weeks before the arrival date. If the time elapsed between the signing of this contract and the arrival date is less than 14 days, then the total rental fee is payable immediately into the above account.

(3) If the Tenant is more than 14 days late in paying, the Advertiser is entitled to terminate the contract immediately and without notice and to let the property to someone else.


4 Cancellation and early termination

(1) If the Tenant terminates this contract before the arrival date and doesn’t name a replacement that accepts the same terms, they are responsible for paying the following penalty fees to cover costs (excluding cleaning), as long as a further rental is not possible:

Termination
- up to 49 days before rental period: 10 % of rental price
- up to 35 days before rental period: 30 % of rental price
- up to 21 days before rental period: 60 % of rental price
- up to 14 days before rental period: 90 % of rental price
- Less than 14 days before rental period: 100 % of rental price.

The Advertiser can thereafter let the property to someone else.

Note: This is an example scale of charges, please amend it to suit your requirements and make sure that your schedule is acceptable under local laws.

(2) If the Tenant terminates their stay before the departure date for any reason, they are still obliged to pay the full rental price.

(3) Termination must be made in writing. The date of termination is considered to be date the document is received by the Advertiser.



5 Liability and responsibilities of the Tenant

(1) The rental property including the furniture and the other contents are to be treated with care. The Tenant is held responsible for the actions of other people, including any guests or visitors they might have, within the house. The Tenant is liable for any damaged goods, damage to the property or damage to anything else related to the property (e.g. boat or car), whether caused by themselves or their accompanying guests or visitors.

(2) Faults that are found before or during the rental period are to be reported to the Advertiser immediately.

(3) Animals are not allowed / allowed with prior consent from the Advertiser. (Please delete as appropriate)

(4) House rules: the Tenant agrees to follow the house rules. These are included / provided in the property. (Please delete as appropriate)


6 Contract wording and clause

(1) Changes and alterations to this contract are required to be in writing.

(2) If any of the legal requirements set out in this contract are inoperative or impractical, or become so after completion of the contract, the effectiveness of the remainder of the contract will not be affected.

In the case that you are entering into this contract with an individual in another country please specify:

(3) This contract relates to the law of the following country _______________________________ (insert your country of residence here)




_____________________, _______________ _____________________ ___________________
(Town) Date Signature Tenant




_____________________, _______________ _________________________________________
(Town) Date Signature Advertiser



Attachments:
- House rules
- Inventory
Cheers
PC
pablito3
Posts: 11
Joined: Mon Jun 29, 2009 10:45 pm
Location: inland Malaga

Post by pablito3 »

Thank you Paul, very kind of you to take the time to send that comprehensive contract.
Any further tips/advice from anyone wil be most welcome.
Pablito
Jacqueline
Posts: 129
Joined: Tue Feb 17, 2009 2:18 pm
Location: Pedreguer Costa blanca/Romford Essex
Contact:

Post by Jacqueline »

Pablito
I have used other websites
1st year
Holiday rentals 1 booking
choosespain ( free trial) 1 booking

2nd year
Espana breaks( free trial )no bookings
Choose spain 1 booking
Holiday lettings 4 bookings
Owners direct 0 bookings

3rd year
Holiday lettings 5 bookings

4th year this year
holiday lettings 4 bookings
Owners direct 1 booking
Hope this helps
Jacqueline
pablito3
Posts: 11
Joined: Mon Jun 29, 2009 10:45 pm
Location: inland Malaga

Post by pablito3 »

Hi Jacqueline,
thanks for the reply. Sorry to be a pain and appear thick but I'm a bit confused. In your first reply you stated that Holiday lettings ( I think) had kept you booked all Summer and beyond yet in your latest reply you state that through Holiday lettings you got 4 bookings last year and 4 this. Were they longer stays than the 2 week norm?
If you dont mind me asking, for what percentage of the year could I expect my house to be occupied? I know that it's impossible to give an exact figure and that this year is an exception, but roughly.
I did originally think of long term rental but I think thats frought with danger. My daughter rented out a home that She owned down here, while back in the UK, and had the tenant from hell. A long story but it even got that the Guardia Civil were involved. I changed my phone number because the tenant was phoning me making all sorts of threats.
I figure that if you get the holiday makers from hell you've only got them for a couple of weeks!
On advertising sites, somebody reccomended Homelidays to me. Any thoughts?
I do appreciate your taking the time to respond. Thanks.
Pablito.
Jacqueline
Posts: 129
Joined: Tue Feb 17, 2009 2:18 pm
Location: Pedreguer Costa blanca/Romford Essex
Contact:

Post by Jacqueline »

Pablito
Sorry i was confusing
Some bookings were for 3 weeks some 2
rest of bookings are for rebookers
But mainly it is Holiday lettings as my best

Jacqueline
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