Holiday Cottages Letting Contracts - Give Terms And Conditions To Tenants When Booking

When you are trying to make a living by renting out your holiday cottage, it is essential that you make it clear what the rules are between the client and yourself.

You can be as generous to your clients as you feel you would or would not like to be, but it is essential for both parties to know where they stand to prevent fall outs and arguments. When creating bookings you should present your clients with a printable list of rules and conditions of booking. This can also be emailed to them with their booking receipt. This will then become part of your legal contract with them.

You should state who pays for breakages, major and minor. Unless you are going to count the knives and forks at changeover day, I would suggest that you tell people that they are responsible for all minor breakages and should replace any minor damages. Anything larger than the toaster should be reported.

Cancellation is the largest issue. You must remind guests that a reservation constitutes a legal contract. If they have to cancel due to the ill health of someone in the party or the death of a close relative, they will lose the deposit and be obliged to pay the balance unless the property is re-let. They should be advised to buy an insurance policy which covers against this possibility. Otherwise they could pay you, say, an extra 5% and you would accept the risk on their behalf. In the event of cancellation due to health issues etc you would then send the client a cancellation form to be completed by their doctor in the normal way. You give them terms and conditions of your own insurance.

In an average year, between 3% of holiday bookings cancelled due to ill health. If the guest did not pay the your waiver or have some form of other insurance, they would have to pay for a holiday they are unable to enjoy.

If holidays are cancelled for any other reason you need to set out your terms and conditions for a cancellation. How much notice gets how much refund? Does refund depend on that week being re-let?

Keep things clear and crisp. It is better for both sides!

Max Walker has created a website called UK Cottage Rental which offers FREE Advertising for holiday cottages to the first 1000 people to sign up. More Cottages in Cornwall are currently required for this project.

Willem Elsschot Kaas
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