The second home tenancy agreement

Do you own a second home and live in it for less than 8 months of the year? Here is everything you need to know about the various tenancy agreements available to you. Whether you are an owner considering letting your property or a tenant looking for the ideal holiday home, we cover it all, from the regulations to practical advice, to make this often complex subject more accessible.

What is a second home tenancy agreement?

Before getting into the details, it is essential to understand exactly what a second home is and how it differs from a main residence. A second home is generally used by owners for their holidays or as a rental investment. Unlike a main residence, it is not occupied all year round by its owners. This is known as an unfurnished or furnished letting. Here too, the regulations are often more flexible than for a tenancy agreement on a main residence.

Holiday rental

Holiday rental is a popular choice among owners looking to make the most of their second home while still being able to stay there themselves from time to time. The tenancy agreement for a holiday rental cannot exceed 90 days. In addition, the total letting of your property cannot exceed 120 days per year. If it does, you will fall under the non-professional furnished landlord status. Here is what you need to know to succeed in this area:

The information the tenancy agreement must contain

- A statement clearly specifying that this is a second home tenancy agreement

- The identity of the owner/landlord and of the tenant

- A description of the property along with the length of the let

- The length of the notice period

- The amount of the rent and of the deposit

- And finally, the clauses essential to the agreement.

- It must also include the regional annexe setting out the rights and duties of landlords and tenants, for example.

Getting ready for your tenants' arrival

Before putting your second home up as a holiday rental, make sure you prepare it carefully to welcome your future tenants. This includes:

- Deep cleaning: Hire professional cleaning services to ensure the property is spotless when tenants arrive.

- Décor and furnishings: Go for warm, welcoming décor. Consider local or themed touches to create a memorable atmosphere.

Rent amount

Pricing is crucial for attracting tenants while maximising your income. Research rental prices in your area and adjust according to the unique features of your property.

Seasonality: Prices can vary considerably depending on the season. Raise your rates slightly during periods of high demand such as the holidays and local festivals.

Long-term letting

Long-term letting is another option for owners looking for a stable source of income while keeping management effort to a minimum. Here is what to bear in mind:

A solid tenancy agreement

For a long-term let, a well-drafted tenancy agreement is essential. It should include the following details:

• Length of the tenancy:Specify the exact length of the tenancy and the renewal terms.
• Rent review clause:State whether the rent can be reviewed and on what terms.
• The type of property being let
• The termination conditions
• The amount of the rent, the service charges and the deposit

Maintenance and repairs

Set out clearly who is responsible for the general upkeep of the property and for minor repairs. Major structural repairs generally remain the owner's responsibility.

Tenant-landlord relations

Foster a harmonious relationship with your tenants by being respectful and responding quickly to their concerns. This can lead to longer-standing tenants and less turnover.

Regulations governing the second home tenancy agreement

The rules on holiday rentals and long-term lettings can vary considerably from one area to another. It is crucial to look into local regulations, in particular:

- Letting permits: Some places require a special permit to let on a short-term basis. Make sure you comply with all legal requirements.

- Taxation: Rental income may be subject to tax. Consult a professional to find out about your tax obligations. The second home tenancy agreement offers flexibility for owners and tenants alike. Whether you opt for a holiday rental to enjoy the extra income or for a long-term let for more stable management, it is essential to understand the legal and practical nuances of each option. Want to know more about what guests are looking for this year? Take a look at our article on Hotel trends 2024