Short term rentals are a great way to earn income. But it also comes with problems. One major thing that you need to avoid is Airbnb squatters.
Airbnb has become a popular platform for investors. It helps them earn extra income from short term rentals. This alternative to hotels offers a more personalized experience for travelers. Many guests prefer to stay in Airbnb homes because they are more affordable than traditional hotels. With this, Airbnb has become a reliable extra source of income for hosts.
Table of Contents
- What Are Airbnb Squatters?
- Effective Ways to Avoid Airbnb Squatters
- How to Deal With Airbnb Squatters?
As a vacation rental owner, you want to make sure your guests are comfortable during their stay. That is why you need to provide amenities that can make their stay more worthwhile. The amenities that most Airbnb properties offer make short term rentals unique from hotels. As a host, you want to ensure your guests are satisfied with your service.
But what happens if your Airbnb guest won’t leave your property after the duration of their booking?
Investing in Airbnb does not come without risks. And one of the biggest risks is the possibility of squatters. Squatters are guests who refuse to leave the property at the end of their stay. Some may break into the property and move in without permission. It can cause legal and financial headaches for the property owner.
In this article, we will discuss some ways to avoid Airbnb squatters. We will also provide tips on how to deal with illegal settlers if you encounter such a problem.
Related: Should You Make Your Short Term Rental an LLC?
What Are Airbnb Squatters?
Airbnb squatters are also known as illegal occupants. They are guests who don’t leave the vacation rental property after the intended duration of their stay. Unlike traditional squatters who take over unoccupied homes, Airbnb squatters are technically guests who booked their stay. But when their supposed check-out date comes, they refuse to leave.
In general, guests who stay longer at the Airbnb property than the agreed-upon duration are considered squatters. Squatters are people who have illegally settled on a property they don’t own or legally rent. The property owner did not give them permission to stay.
If an Airbnb guest chooses to overstay without permission, they become trespassers. They become squatters if they stay longer at the property to take up residence. There are several reasons why guests refuse to leave. But whatever it is, they need to be dealt with immediately.
The problem with squatters is most common with long term rentals. But short term rental owners also encounter such headaches. In fact, vacation rentals listed on home-sharing platforms like Airbnb are also at risk of squatting. With the availability of Airbnb 30-day rentals, squatters are now targeting vacation homes.
Be vigilant of guests who fail to check out on their supposed check-out date. If your Airbnb guest won’t leave the property when they should, you have to take immediate action. Most Airbnb squatters are scammers and con artists who are good at what they’re doing. They know the law and its loopholes. And unfortunately, they use this knowledge to their advantage.
Many of these squatters book an Airbnb property for long periods with the intention of overstaying. They will not pay any rent and stay at the property until you are able to remove them legally.
Effective Ways to Avoid Airbnb Squatters
Airbnb squatters are one of the most dreadful problems every short term rental owner wants to avoid. Use the following tips to minimize the risk of unwanted guests staying on your property:
1. Screen Your Guests Thoroughly
Check the profiles and reviews of potential guests carefully before accepting their booking requests. Look for red flags such as negative reviews from previous hosts or incomplete profiles. You can also use the Airbnb messaging system to communicate with guests and ask questions to get a better sense of their intentions.
Remember that merely checking the Airbnb profiles of prospective guests will not let you spot potential squatters automatically. But it can give you an overview of their previous rental experience. Look out for potential red flags, such as the following:
- Newly created profile
- No ID verification
- No profile picture
- Incomplete profile information
- No available reviews from hosts
- No guest reviews
- No vacation rental stay history
Keep in mind that only one or two of the above signs should not cause a major concern. However, if all of them are present, then you should question the guest’s credibility. These are obvious signs that the guest might have been banned in the past. So when you encounter guests with potential red flags, proceed with caution.
2. Set Clear House Rules
Your house rules should define regulations that you want guests to follow. These include the maximum number of guests allowed, restrictions on pets and parties, and timely check-out. You should also include any other specific rules on using the property. Include these rules in your listing description. Plus, ensure guests acknowledge them during the booking process.
Setting clear house rules establishes clear expectations for guests. They will know how to behave while staying at and using your property. House rules provide guests with a framework to follow during their stay. It helps prevent misunderstandings. It also reduces the likelihood of guests engaging in unauthorized activities.
Clear house rules also act as a deterrent for potential squatters. They prevent guests who may intend to exploit your property. By explicitly stating your rules in the listing description, guests will know the boundaries and limitations of their stay. This transparency discourages individuals who may be looking for an opportunity to overstay.
3. Let Guests Sign a Vacation Rental Contract
Asking Airbnb guests to sign a vacation rental agreement can help protect your property. A vacation rental contract creates a legally binding agreement between you and your guests. Adding provisions related to occupancy, duration of stay, and any restrictions clearly outlines the rights and responsibilities of both parties.
Signed contracts reduce the risk of unauthorized occupants or extended stays. It is because contracts include the consequences for breaching the terms. Outlining the repercussions discourages guests from engaging in unauthorized activities, including overstaying. Plus, vacation rental contracts can help support your case if you have to process legal evictions.
Before you approve anyone’s request to book your property, include the signing of a contract in your house rules. Let the guests know outright that vacation rental agreements are mandatory. Also, ensure to highlight the check-out date and time in your agreement. Include any penalties and legal action you will take should they fail to follow the procedure accordingly.
Related: The Complete Guide to Drafting an Airbnb Rental Agreement
4. Limit Stays to 30 Days or Less
It is now possible for guests to book an Airbnb property for more than 30 days if the hosts allow it. But longer stays are more at risk of falling prey to squatters. To avoid this, limit your allowed bookings to short-term stays (30 days or less) only. While extended bookings can be good for your cash flow, it doesn’t come without risks.
In some cities, guests that stay for long periods (usually more than 30 days) will gain Airbnb tenant rights. When this happens, it would be more complicated to remove them. By setting a maximum stay of 30 days or less, you reduce the risk of guests establishing Airbnb tenant rights. Ensure to set your availability calendar accordingly to prevent longer bookings.
If longer bookings are more helpful for your Airbnb business, especially during low-peak seasons, take extra precautions. Let the guests sign a vacation rental contract to protect your property from squatters. Also, do not allow the Instant Book feature for extended stays. Verify their profiles and screen them thoroughly before you approve any booking request.
5. Let Your Guests Book Through Airbnb
First, you need to ensure that all bookings are made through Airbnb. It provides you with extra protection because the platform verifies its users. Additionally, Airbnb offers a host guarantee and liability insurance. This coverage is only provided for bookings made through the system.
Airbnb also supports you in case you encounter problems such as property damage and squatters. Moreover, the platform offers an easy communication system that allows you to interact with guests anytime.
6. Know the Local Laws and Regulations
Familiarize yourself with local laws and regulations regarding short term rentals and guest stays. Knowing the law lets you implement appropriate measures to prevent squatters. Note that some jurisdictions have specific rules about squatters that you should know of. Some of these rules may affect your ability to prevent squatters or take necessary action if they occur.
In addition, local laws may provide guidelines on issues such as maximum occupancy limits and minimum rental durations for short term rentals. Knowing these allows you to maintain control over your property. You can also minimize the risk of unauthorized occupants.
What’s more, familiarizing yourself with eviction procedures outlined in local laws is crucial. You will need this in case you encounter squatters or unwanted guests. Research the Airbnb eviction policy in your area to understand the process. It is essential to protect your rights as a host in case you need to remove unauthorized occupants from your vacation rental.
By being aware of the necessary steps, you can take prompt action should you encounter Airbnb squatters. You can also navigate the legal system effectively, preventing further issues.
7. Send Check-Out Reminders
You can also prevent Airbnb squatters by sending check-out reminders to your guests. Sending reminders reinforces the agreed-upon check-out date with your guests. This reminds them of their departure and subtly emphasizes that their stay has a precise end date. Guests who receive these reminders are less likely to overstay or attempt to become illegal settlers.
Further, check-out reminders encourage guests to communicate with you about their departure plans. It provides an opportunity for you to confirm their intended check-out time. It also allows you to address any concerns they may have. By communicating with guests, you can gauge their compliance with your house rules and detect any signs of potential squatting.
8. Charge a Late Check-Out Fee
Charging extra for late check-outs discourages guests from overstaying, even for just a few hours. It imposes that guests should leave at the end of the booking duration. Late checkout fees establish a financial consequence for guests who exceed their allotted stay. With this, guests are more likely to respect the specified check-out time to avoid additional charges.
You can also include in your short term rental agreement that you will charge guests for the cost of missed bookings should they overstay. It sends a clear message that adherence to the agreed-upon departure time is important.
9. Set the Right Price for Your Airbnb Rental
Avoid pricing your vacation rental property too cheaply if you don’t want to attract low-quality guests. Do not be too desperate for bookings that you will put your property at risk of getting rented by problematic guests. By setting the right rate for your Airbnb, you can attract high-quality guests who really intend to stay for the short term.
In addition, pricing your rental accurately helps discourage individuals who may attempt to overstay illegally. If the price is too low, it may inadvertently attract those with the intention to squat in or misuse your property. After all, super-discounted rates attract guests who couldn’t afford to pay for proper long term accommodations.
Setting the right price will not only attract the right guests but will also maximize your revenue. Plus, you can also optimize your bookings and prevent potential Airbnb squatters.
How to Set the Right Airbnb Rental Rate?
The best way to set your Airbnb nightly rate is by using a dynamic pricing system. Airbnb is a highly seasonal business. It means that sometimes, the rental demand is high. There are times when the demand is also scarce. You should be able to adjust your pricing according to the season to maximize your profitability and Airbnb occupancy rate.
Fortunately, Mashvisor offers a Dynamic Pricing tool that allows you to automate your Airbnb rental rates. With Dynamic Pricing, you won’t need to manually set your rates based on the current rental trends and short term rental seasonality. Plus, you can connect all your Airbnb accounts into one platform for more streamlined property management.
Mashvsior’s Dynamic Pricing provides reliable market insights that help you determine how your property performs against the competition. It also lets you check out similar listings in your area. This data allows you to position your Airbnb property strategically so you can stand out among the rest.
Additionally, you can use the Smart Calendar feature of this tool. It lets you set prices automatically based on various factors. Such factors include Airbnb trends, rental demands, seasonality, local events, and booking history. Mashvisor uses AI-powered technology and high-quality data to generate the most accurate rental rate for your Airbnb.
With Mashvisor’s Dynamic Pricing, you can never go wrong with your rental rates. You can ensure to maximize your income potential during high-peak seasons. Plus, you can optimize your bookings during the low-peak season. Both of which are beneficial to your cash flow and profitability.
Start your 7-day free trial today to see how Dynamic Pricing works.
Mashvisor’s Dynamic Pricing tool lets you automate user-driven price setting to prevent Airbnb squatters.
10. Hire a Reliable Property Manager
Hiring a professional property manager for your Airbnb rental can help prevent Airbnb squatters. Through their expertise in guest screening, property monitoring, and proactive management, you’ll never have to worry about overstaying guests.
Property managers can implement systems to monitor guest activities and ensure compliance with house rules. This includes regular property inspections, security measures, and proactive communication with guests. They can promptly detect any signs of unauthorized occupants or suspicious behavior. They also take swift action to prevent any squatting attempts.
Property managers handle guest interactions, including check-ins, check-outs, and communication throughout the guest’s stay. They can easily send their representatives to the area upon check-in to assist your guests. Similarly, they can also visit the place on the check-out date to ensure that guests leave the premises at the end of their booking.
Their professional presence and prompt responsiveness create a sense of accountability. This helps deter guests from attempting to overstay or misuse the property. Property managers can enforce policies and address guest concerns immediately. Also, they provide a consistent presence to maintain the integrity of your Airbnb rental.
How to Deal With Airbnb Squatters?
What if an Airbnb guest won’t leave your property even after you follow all the precautionary measures mentioned above? While there is a slim chance that guests will turn into squatters on Airbnb, knowing how to deal with the situation when it arises is crucial.
If you encounter a guest who won’t leave the property after their supposed stay duration ends, you can take the following steps:
1. Verify the Situation
If the guest doesn’t leave your property the day you expect them to, check if you have the correct check-out date. You may have logged the booking duration incorrectly. Check your Airbnb booking records to identify any discrepancies.
Make sure to gather evidence. Once you find the guests breached the contract, document any signs of unauthorized occupation or squatting. These include additional occupants, extended stays, or disregard for house rules.
2. Communicate With the Guest
Contact the guests as soon as possible to address your concerns. You may use the Airbnb messaging system or call them by phone. Remind them of the agreed-upon booking details, including the check-out date, maximum occupancy, and any relevant house rules. Then politely but firmly instruct the guest to vacate the property within a reasonable timeframe.
3. Reach Out to Airbnb
If you have attempted to reach out to the guests and they still refused to leave, then you should involve Airbnb. Report the issue to Airbnb and provide detailed information about the situation. Include evidence of unauthorized occupancy. Airbnb can verify their booking with its system.
It may also provide other contact details in case you cannot talk to the guests. In addition, a representative from Airbnb will also attempt to contact the Airbnb squatters and help you resolve the issue.
4. Take Legal Action
If the squatters refuse to leave or the situation escalates, consult a legal professional. Find a lawyer specializing in real estate or tenant law to understand your rights and legal options. Ensure you abide by the legal procedures and proper eviction process specific to your jurisdiction.
Do not attempt to remove the unauthorized occupants on your own. This may cause legal issues that are not favorable to you. Go through the process legally to avoid further problems. It’s crucial to document the situation so you have evidence.
Capture evidence of the unauthorized occupants, their belongings, or any damage caused to the property. Keep a chronological log of all communication with the guest. Include dates, times, and details of discussions or instructions provided. It can help strengthen your case against Airbnb squatters. It can also help expedite the resolution.
The Bottom Line
Investing in short term rentals is a great strategy to earn lucrative returns. But sometimes, you have to deal with certain issues, including the possibility of Airbnb squatters. Don’t let guests occupy your property without your permission. Make sure to take precautionary measures. Use the above tips to help you prevent the misuse and abuse of your property.
Knowing the rights of your guests is also crucial. Ensure you are fully aware of the distinction between a guest and a tenant. It prevents them from gaining any Airbnb tenant rights. Guests will only invoke such rights after staying at the property for a certain period. Usually, only long-term tenants can have tenant rights.
To prevent this, do not rent your property for more than 30 days. Also, do not allow your guests to receive mail or packages at your vacation rental. If guests receive items with their name at your property’s address, they can use this to claim they are tenants. Do not allow this to happen to prevent any problems.
Further, make sure to price your vacation rental correctly. It helps attract highly qualified guests. Use Mashvisor’s Dynamic Pricing tool to help you get started.
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