Are You Considering Renting Your Home During South By Southwest?
Rent your home during SXSW
Austin Texas is all a-buzz about the up coming SXSW (South By Southwest) festival. Whether it is the interactive, film or music you are interested in it promises to be a great event. With a purported 1,800 bands in town and thousands of fans anticipated the need for places to stay in Austin Texas is immense during SXSW.
Recently the author was acquainted with a growing trend in the community; that of Austin residents renting their homes out during the SXSW festival. At first glance, making an extra buck while on vacation sounds like a great opportunity. Done the right way it appears to be a win win for the home owner and the SXSW festival attendee; done the wrong way the anticipated opportunity could be a rude awakening to Texas Landlord Tenant laws. Don't let a rude awakening come your way! Let Kelly Legal Group be your legal aid and make sure your decision to rent your home during SXSW is a good one.
Initially, even though the arrangement is only going to be for a short time the arrangement is considered a lease and falls squarely within the purview of Chapter 92 of the Texas Property Code. Although the Texas legislature has done a fine job with outlining the rights and responsibilities of Texas Landlords and Tenants it is extremely important to have a lease in place which protects the homeowner. Many sections of the code allow for an amendment via a written lease, therefore if a written lease is in place and something runs afoul, the specific protections will be in place for the homeowner whom are leasing the home for SXSW.
Next and possibly most importantly, do you have insurance to cover the unexpected? Overall, the answer is no. Todd R. Michalowski, a trusted insurance advisor with Farmers Insurance, says in general there is not coverage for this type of rental. For instance, a generally covered loss of Theft would not be covered because the weekend tenants of SXSW are considered invitees or guests therefore theft by an invitee is not covered. It is grey as to whether or not vandalism and malicious mischief would be covered as well. Todd has said that there are options in the industry for protection from loss in this type of weekend rental arrangement. However, each situation is different.
In general, be sure to have a great lease protecting your interests as a landlord and be sure you have appropriate insurance to cover the unexpected in place. This will allow you to enjoy your vacation and not fear your return after SXSW. If you have further questions relating to a weekend rental, need a lease, or would like to discuss options, contact Austin's best real estate attorney The Kelly Legal Group, PLLC at 512-593-7702.