It's important to familiarise yourself with the responsibilities expected of you as an Airbnb host as well as the laws of the land around short term rentals. In this guide, we'll walk you through the essential information you need to know to navigate the world of property hosting successfully. Even if you're a seasoned property investor in BTL or commercial property, the world of Airbnb and holiday letting in the UK does have some specific nuances that you should abide by.
City and Regional Rules for Airbnb
Different cities in the UK have unique rules that apply to short-term rentals on Airbnb. For example, London has a 90 day Airbnb rule that allows you to use residential premises for short-term letting purposes for 90 or fewer nights in a calendar year only. This means you will automatically be restricted from taking further bookings in a calendar year after 90 nights have been booked on the Airbnb platform, whether consecutive nights or not. Note that it only applies to "entire home" listings so if you are renting spare rooms in your main home, you may be able to let it out longer. And furthermore, it doesn't yet restrict bookings from alternative OTAs such as booking.com nor if you get a lot of direct bookings from your own website and marketing strategies. Other locations like Blackpool, cities in Scotland, Northern Ireland, Isle of Man, Guernsey, and Jersey also have their own particular short term rental regulations. Typically it's just a simple matter of obtaining specific licenses for a small fee.
Here's an easy and reputable link on all the up to date information you need to know about the Airbnb regulations across the UK, and specific to your city and region.
Airbnb permissions in the lease to rent and short term let We've heard lots of stories unfortunately about this - you buy an investment apartment for Airbnb with the correct regional license (as above) only to discover you do not have the relevant permissions in the property lease to rent it out on a short term basis.
First, this only applies if you are buying leasehold properties. These are typically apartments and flats, but it can include standalone homes. To host guests in your property, you must ensure compliance with contractual agreements in your leasehold to the building freeholder. Failure to do so could see your building insurance become invalid and the freeholder / any leaseholder association of the building taking legal measures against you. If this is the case, contact the building freeholder during the purchasing process to understand the relevant short term let permissions before you buy, and also to make the other residents and tenants aware of your intention for Airbnb to avoid any pushback in the future. This is all in addition to working with your legal team and conveyancers on the title deeds as usual - if in doubt, ask them the question on how to proceed.
Airbnb mortgages and subletting restrictions
The second key point on Airbnb lease permissions is if you have a mortgage on the property you are wanting to rent out. Here, simply check the mortgage terms and speak to your advisor regarding the subletting or short term let restrictions. Some mortgage products have constraints on the use of properties for investment purposes, so get a clear steer of what your product says in this regard. In the worst case scenario, breaking the terms of a mortgage could mean a lender can seize/demand the property back. Read our guide on how to find the right mortgage for your Airbnb investments for more information.
The rules for Airbnb investors and hosts in this area can be confusing, but it's one of the principle reasons behind the Airbuy and Sell marketplace. The platform lets you filter for relevant properties to buy that have a high likelihood of being eligible for Airbnb, short term rental and serviced accommodation. Many of which are already active and successful Airbnb and serviced accommodation businesses. It removes a lot of the effort when searching for suitable investment properties to buy.
Safety
Guest safety should be a top priority for every host. Here's some easy but essential measures you should put in place for your Airbnb:
Provide emergency contact information for when they check in, including local emergency numbers, hospital contacts, and your own contact details.
Make sure you have a first aid kit readily available and the guests know where to locate it.
Follow relevant gas safety regulations, the home has an up to date EPC (energy performance certificate) and install functioning carbon monoxide detectors.
Provide fire prevention measures such as fire extinguishers, fire alarms, and clearly marked fire escape routes.
Take necessary precautions to eliminate potential hazards and make your property safe for guests.
Keeping your guests safe is hugely important so it's worth investing that extra time, money and effort to make your life much easier in the long run.
By following the legal requirements for Airbnb in the UK, knowing the permissions in your lease and employing necessary safety measures, you'll be well-equipped to provide a safe, compliant and enjoyable experience for your guests while maximizing your hosting potential.
For more online information, you can also check out resources provided by the UK Short Term Accommodation Association (UKSTAA). And it's worth noting that we're lucky in the UK that the serviced accommodation and Airbnb hosting community is strong and healthy, so you can network easily to find other hosts who are willing to provide local, more specific assistance.
If you enjoyed this article, why not check out more from our blog for Airbnb investors and hosts:
Comments