Protect Your Short-Term Rental: The Importance of an Innkeeper Agreement

Imagine this:

You’ve got back-to-back bookings at your short-term rental. The current guests were supposed to check out this morning, but when your team arrived to clean, the blinds were drawn, the lights were off, and they wouldn’t answer the door. Hours later, they finally respond — but say they’re not leaving.

Frustrated, you call the police — only to be told this is a civil matter, not a criminal one, because they’ve established “tenancy.” Evicting them could now require weeks (or months) of legal proceedings, during which they may have full access to your property, without paying another dime.

This nightmare is more common than most short-term rental owners realize. And it’s why having the right written agreement — before the guest sets foot on your property — is critical to protecting yourself.

What Is an Innkeeper Agreement?

An Innkeeper Agreement is a legal document traditionally used by hotels, motels, and bed-and-breakfasts. It defines the owner–guest relationship, clarifies the terms of the stay, and establishes critical legal protections.

Unlike a generic vacation rental agreement, an innkeeper agreement:

• Explicitly identifies the stay as transient lodging (not a tenancy)

• Outlines both guest obligations and host rights

• Can be crafted to comply with your state’s innkeeper or lodging statutes

• Strengthens your ability to have guests removed promptly if they refuse to leave

  
  

For short-term rental owners, especially those in jurisdictions where STR hosts can be classified as “innkeepers,” this agreement can be a powerful tool in avoiding legal gray areas — especially when it comes to squatters.

How It Protects You Against Squatters

The key legal risk for STR owners is that if a guest stays beyond their reservation — even just a few days — and your documentation doesn’t make it crystal clear that they are a guest, not a tenant, they may gain rights under landlord–tenant law.

An innkeeper agreement helps you avoid this by:

1. Defining the nature of the stay in precise legal terms.

2. Outlining the limited rights of guests and your right to remove them upon breach of the agreement.

3. Documenting guest acknowledgment before they arrive.

Three Clauses Every STR Owner Should Include

When customizing an innkeeper agreement for your Airbnb or short-term rental, work with an attorney familiar with your state’s lodging laws. At a minimum, include clauses like these (adapted for plain language in your guest-facing version):

1. Declaration of Private Address

   “By signing this agreement, you acknowledge that you have a private residential address and this property is not your permanent residence.”

   
   

2. Transient Purpose Statement

   “You agree and declare that the purpose of your stay is for transient lodging only.”

   
   

3. No Tenancy Clause

   “You understand and agree that this arrangement does not create a landlord–tenant relationship. This is strictly an owner–guest relationship under applicable lodging laws.”

   
   

These clauses create a clear paper trail that, in the event of disputes, can help local authorities accurately classify the situation—potentially allowing for the faster removal of non-paying or overstaying guests.

When an Innkeeper Agreement Is Especially Important

There are specific scenarios where an innkeeper agreement becomes crucial:

• High-turnover properties with frequent new guests.

• Extended stays that approach or exceed local thresholds for tenancy.

• Remote owners who can’t respond in person to guest issues.

• Markets with strong tenant rights laws (where squatter cases can drag on for months).

  
  

Even if you host on Airbnb, Vrbo, or another platform, remember: Their terms protect them — not you. You can (and should) have your own agreement signed by guests prior to their arrival.

The Benefits of a Strong Innkeeper Agreement

Having a robust innkeeper agreement offers several advantages:

1. Legal Clarity

A well-defined agreement clarifies the relationship between you and your guests. It sets expectations and reduces misunderstandings.

2. Enhanced Security

With clear terms, you can act swiftly if a guest overstays. This minimizes your risk and protects your investment.

3. Peace of Mind

Knowing you have a solid legal framework in place allows you to focus on providing a great experience for your guests without worrying about potential issues.

Crafting Your Innkeeper Agreement

Creating an effective innkeeper agreement doesn't have to be daunting. Here are some tips to help you get started:

Consult a Legal Expert

Work with an attorney who understands local lodging laws. They can help tailor your agreement to your specific needs.

Keep It Simple

Use clear, straightforward language. Your guests should easily understand their rights and responsibilities.

Regularly Review and Update

Laws change, and so do your business needs. Regularly review your agreement to ensure it remains relevant and effective.

Final Thoughts

A well-crafted innkeeper agreement isn’t about making your short-term rental feel like a corporate hotel — it’s about protecting your property, your income, and your peace of mind.

In the world of short-term rentals, the line between “guest” and “tenant” can become blurry fast. Your job as an owner or investor is to ensure that line is bold, permanent, and supported by the right documentation.

At Bold Hues Studio, we specialize in transforming investment properties into branded, bookable experiences that command higher rates and deliver measurable ROI. Learn how we can help you earn more from your Airbnb today.