There are now tons of sites to help you rent your home on a short-term basis - Airbnb being the most popular one.
However, there are lots of short-let regulations you need to know about if you plan to rent out your home. This article will provide you all the information you need.
You have four things to keep in mind:
- 90 days limit in London
- The planning permit
- The Council Tax
- Check with your landlord if you are not the owner
The 90 days annual limit in London
In order to try and maintain a fair renting environment, Airbnb is actually automatically limiting listings of properties so that they cannot be rented out for more than 90 days. This is only applying to entire home listings that are listed within the Greater London area. You will see a counter on your profile to see how many nights your home has been booked out for.
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The planning permission granted from the local council could allow you to rent it on a yearly basis.
The planning permit if you want to rent more that 90 days
On the 26th May 2015, a change in law saw that anyone renting out accommodation for more than 90 days per calendar year would need to seek planning permission. The government referred to this as Temporary Sleeping Accommodation. This meant that if you were to rent out your accommodation on a short-let basis, on sites such as Airbnb or Booking.com, you would need to seek planning permission from your local council.
Anyone failing to possess a permit and goes over their 90-day allowance could face enforcement action and a stern financial penalty.
For help on how to apply for a planning permit, please see our guide on this.
The Council tax
Another condition to comply with the new regulations of the Deregulation Act, which became law in 2015, is that at least one of the persons providing the accommodation for short term letting is liable to pay the Council Tax.
In all cases, you need to get a gas safety certificate for the property each year and carry out a fire risk assessment. Your property should also provide a smoke detector, and a carbon monoxide alarm.
Check with your landlord
Regardless of whether you need to apply for planning permission or not, the council advises you to check with your Landlord if you are listing rented accommodation on booking sites such as Airbnb, this also applies to council tenants. It is also advised that you check there are no restrictions in any leases, insurance or mortgage policies before short letting.
How can help?
For many people reading this, they may feel like renting out their London property is more hassle than it is actually worth. We think not! Just make sure you keep track of how many days you have been renting your place out for, and you will be fine. Plus, think about all those tax benefits that you could be getting!
But if you think it still sounds overwhelming, then would be more than happy to help you! Please do not hesitate to get in touch if you have any more questions.