Another question on rental agreements.......

Ok, I have read about all the pre-cautions to take when renting a unit; ie - making sure the person actually owns the week, getting a rental agreement but my question is this: What good is that rental agreement if something goes wrong - the person may be across the country or in another country even and then something goes wrong; how the hay do you enforce said agreement, if you went with just that and no escrow; your funds are gone and all you have is an agreement with someone far away; who may or may not have even give you their correct full name, address and phone number on said "agreement"; not to mention the cost of tracking them down, suiing them or whatever needs to be done would likely outweigh what you paid them ? It's not like you can drive across town and serve them with papers from Small Claims Court? Am I missing something here ? Thanks !

A contract may not be a 100% guarantee, but it is a precautionary measure for both the timeshare owner and the renter. I can almost assure that both parties are serious when a contract is included and signed.

If damages occur from a renter, their credit card is on record at the resort and they are responsible for those damages, however if they contest the charges the timeshare owner is ultimately responsible unless they get the courts involved (re: the signed contract).

jayjay wrote:

A contract may not be a 100% guarantee, but it is a precautionary measure for both the timeshare owner and the renter. I can almost assure that both parties are serious when a contract is included and signed.

If damages occur from a renter, their credit card is on record at the resort and they are responsible for those damages, however if they contest the charges the timeshare owner is ultimately responsible unless they get the courts involved (re: the signed contract).

I agree that it would imply that the parties are more serious when a contract is entered into and also your point re damages at the resort. But my question is more from the renter's perspective. For example, you enter into a rental agreement, pay your money to the owner; get to the resort and they never heard of you - ie no reservation. Then what good is the contract to you in those circumstances - and very difficult to track down the person in another country and recover your monies even with an a rental agreement. How can your agreement help you in those circumstances ? Thanks again

donnam326 wrote:

I agree that it would imply that the parties are more serious when a contract is entered into and also your point re damages at the resort. But my question is more from the renter's perspective. For example, you enter into a rental agreement, pay your money to the owner; get to the resort and they never heard of you - ie no reservation. Then what good is the contract to you in those circumstances - and very difficult to track down the person in another country and recover your monies even with an a rental agreement. How can your agreement help you in those circumstances ? Thanks again

There are precautionary measures renters you can take. You can call the resort and ask if the person you're renting from is the owner and if the owner has reserved the rental in your name or have the owner send you a copy or fax of the reservation in your name.

I think, in most circumstances, you can get a gut feeling about an owner during communication concerning the rental. If at all suspicious, then don't go through with it. If you follow through with the above suggestions, you should be safe.

BTW, it was a very good question that had not been asked before here.

jayjay wrote:

donnam326 wrote:

I agree that it would imply that the parties are more serious when a contract is entered into and also your point re damages at the resort. But my question is more from the renter's perspective. For example, you enter into a rental agreement, pay your money to the owner; get to the resort and they never heard of you - ie no reservation. Then what good is the contract to you in those circumstances - and very difficult to track down the person in another country and recover your monies even with an a rental agreement. How can your agreement help you in those circumstances ? Thanks again

There are precautionary measures renters you can take. You can call the resort and ask if the person you're renting from is the owner and if the owner has reserved the rental in your name or have the owner send you a copy or fax of the reservation in your name.

I think, in most circumstances, you can get a gut feeling about an owner during communication concerning the rental. If at all suspicious, then don't go through with it. If you follow through with the above suggestions, you should be safe.

BTW, it was a very good question that had not been asked before here.

jayjay, MD has given me some great info on another forum about rental agreements. I want to run this ongoing ?? I have past you to see what you think. We are owners at the Maui Ocean Club and about to do our 1st rental posting on Redweek. When we get a renter we will have a rental agreement for them to sign, etc. If they want a copy of the resort reservation confirmation before the final payment is made, is is safe to just give them ALL the conf info, meaning the conf. #..or should one wait till the final payment is made (in our case 60 days before occupancy unless the time of rental is less than 60 days out) to give them the conf.#...i/e..send them the copy of the reserv but black out the conf # for our saftey and security..seems like a lot can be done to a reserv. with a conf # until the deal is all wrapped up with that final payment. thanks for any input. mccabin

jayjay, I have past you to see what you think. We are owners at the Maui Ocean Club and about to do our 1st rental posting on Redweek. When we get a renter we will have a rental agreement for them to sign, etc. If they want a copy of the resort reservation confirmation before the final payment is made, is is safe to just give them ALL the conf info, meaning the conf. #..or should one wait till the final payment is made (in our case 60 days before occupancy unless the time of rental is less than 60 days out) to give them the conf.#...i/e..send them the copy of the reserv but black out the conf # for our saftey and security..seems like a lot can be done to a reserv. with a conf # until the deal is all wrapped up with that final payment. thanks for any input. mccabin

After your renters have made a deposit on your rental property, and if you feel comfortable with the communication (vibes) from your renters, I don't see any need to withhold reservation/confirmation information from them.

If, for some reason, they do not follow through by paying the balance 60 days before the check-in date, you can then cancel the reservation that's in their name and explain why you did so to the resort.

jayjay wrote:

jayjay, I have past you to see what you think. We are owners at the Maui Ocean Club and about to do our 1st rental posting on Redweek. When we get a renter we will have a rental agreement for them to sign, etc. If they want a copy of the resort reservation confirmation before the final payment is made, is is safe to just give them ALL the conf info, meaning the conf. #..or should one wait till the final payment is made (in our case 60 days before occupancy unless the time of rental is less than 60 days out) to give them the conf.#...i/e..send them the copy of the reserv but black out the conf # for our saftey and security..seems like a lot can be done to a reserv. with a conf # until the deal is all wrapped up with that final payment. thanks for any input. mccabin

After your renters have made a deposit on your rental property, and if you feel comfortable with the communication (vibes) from your renters, I don't see any need to withhold reservation/confirmation information from them.

If, for some reason, they do not follow through by paying the balance 60 days before the check-in date, you can then cancel the reservation that's in their name and explain why you did so to the resort. Thanks.....more good info! mccabin

Jayjay - thanks for your input. I work in the legal biz and if you had to rely solely on suiing someone under the rental agreement to recover funds paid on a rental that went bad, it is hard enough to effect service to someone across town sometimes - let alone, just a name, address and phone number to someone in another city, country, etc. Agreed that you do the best you can with taking all precautions (and just asking for the rental agreement puts the other party on notice that you are serious and want to do things properly and can hopefully weed out scammers) but at some point, it does come down to those "vibes" as you mentioned. Much too learn but suffice to say, I don't intend to pay "rack rates" ever again nor will I buy my first timeshare directly from the developer - this site and the regulars here have helped enormously to educate myself. One question, why are "newbies" often referred to the Tug site to find the answer to their question - I have noticed this in several forums - instead of just answering it right here ?

donnam326 wrote:

One question, why are "newbies" often referred to the Tug site to find the answer to their question - I have noticed this in several forums - instead of just answering it right here ?

Tug is merely another timeshare forum site, however you can get most timeshare information you need here on Redweek's forums.

Where can you get a rental agreement form? Is it a standard form? I'm a member of HGVC and have reserved 4 nites during New Year's that I would like to rent. I know at HGVC all you do is get a guest certificate and they'll send it directly to the renter with there name and address on the certificate. Is there any other information anyone could provide as this is my first time renting. I'm just trying to get the MF covered for 2008.

Re: >>Where can you get a rental agreement form? Is it a standard form? << =======================================

You can find a "boiler plate" rental agreement form on virtually all of the timeshare related sites which have forums (RedWeek, TUG, TimeshareForums, MyResortNetwork). In each such instance, a member (or several different members in some cases) have prepared and have offered to share their own particular "boiler plate" rental form for others to adopt. There is really no "standard form" per se for timeshare rental, at least to the best of my knowledge (except that individual resorts who rent for owners have their own "boiler plate" forms). The best one I've seen, personally, is a PDF document prepared by a fellow on from Timeshare Forums.com, which can be easily found and downloaded (and subsequently modified, if you choose to do so). There are many others, however, all of them adequate to the purpose. If they see your post, someone on this site will likely step forward to offer their own version. Since there is no "search" function on RedWeek (yet, anyhow), I regret that I cannot just steer you directly toward it here and now.

geraldinek9 wrote:

Where can you get a rental agreement form? Is it a standard form? I'm a member of HGVC and have reserved 4 nites during New Year's that I would like to rent. I know at HGVC all you do is get a guest certificate and they'll send it directly to the renter with there name and address on the certificate. Is there any other information anyone could provide as this is my first time renting. I'm just trying to get the MF covered for 2008.

Below is a sample rental agreement, however you can re-word it any way that suits you:

SAMPLE RENTAL AGREEMENT

RESERVATIONS - Upon mutual agreement of unit rental, a ____% deposit must be made to confirm your reservation. Balance is due upon written confirmation or no later than _________, 2007. Payment is to be made with a bankcheck/draft (or a personal check if you accept that mode).

CANCELLATIONS - No cancellation allowed once a reservation has been made.

CHECK-IN/OUT - Check-in time is _____ P.M. on arrival date of __________, 2007. Check-out time is _____A.M. on date of departure of_________, 2007. Any exceptions must have prior approval from the owner and/or resort. The agreed upon rental price for the above stated timeframe or week of ______, 2007 is ________$ for unit number ____ at _________ (resort).

RULES AND REGULATIONS - Upon check-in, you must present a credit card to the front desk personnel, just like when you rent a hotel room. YOU are responsible for any damage, loss or theft incurred while renting this property. Any damage, which is not considered normal wear and tear, loss or theft caused by you, the renter, may be charged to your credit card. In order to reserve the integrity of the unit, we ask that it be occupied in a quiet and dignified manner. As guests of ______________(resort), you are expected to respect the premises and its contents and guard against damage, loss or theft. You are expected to adhere to all of _______________(resort) rules and regulations. The _____________ (resort), its employees and property owners will not be held libel for any claims, suits, damages, costs, losses and/or expenses arising from injury to any person or property occurring on the premises resulting from/relating to rental of this property. The renter must be at least 21 years of age and agrees not to sub-rent this unit. The rental rights acquired from this rental agreement are non-transferable.

TELEPHONE - All telephone calls, toll calls etc. will be billed to your credit card. NO PETS ALLOWED AT______________ (RESORT) AND NO SMOKING ALLOWED IN THE UNITS. A copy of this rental agreement is hereby acknowledged by both parties.

_________________ _________________ Signature of renter Signature of owner

Name, address, phone Name, address, phone __________________ __________________

The week that i have rented has been put into my name already i have not paid anything yet. I called the resort and they confirmed it was in my name. The renter does not want a rental agreement at all but wants all the money up front, should i pay the full amount or just a deposit?

Thanks

Please see my reply on the other thread concerning this. I would uncomfortable without a rental agreement in place.