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Q: “My business focuses on property management for residential properties, and I am familiar with leases governed by the Virginia Residential Landlord Tenant Act (VRLTA). I have a client for whom I manage a single-family home for rent, and the client is now asking me if I can manage his beach condo as a short-term vacation rental. I have never managed a short-term rental. Are short-term rentals governed by the VRLTA?”

A: Generally, short-term rentals are not subject to the VRLTA. If the lodging is categorized as a hotel, motel, extended-stay facility, vacation residential facility, boardinghouse, or similar transient lodging, then the lodging is likely not subject to the VRLTA. Most short-term rentals would fall into one of these categories. However, if a tenant remains in a short-term rental for more than 90 consecutive days as a primary residence or the stay is subject to a written lease for more than 90 days, then the lodging would be subject to the VRLTA.

Also, keep in mind that Virginia law requires licensees to use reasonable care in the performance of their duties, and Article 11 of the Code of Ethics requires REALTORS^® to be competent in their fields of practice. Here, the REALTOR^® has never managed a short-term rental, and therefore, the REALTOR^® may not be competent in the management of short-term rentals.

In this situation, Article 11 would require that the REALTOR^® engage the assistance of another REALTOR^® who is competent in short-term rental management, or the REALTOR^® must fully disclose to the client the lack of competence in short-term rental management before proceeding. Disclosure of one’s lack of experience in a particular field may satisfy the requirements of Article 11, but it may not satisfy the legal requirement to exercise ordinary care. If you are not competent in a particular specialty, you need to get competent before providing such services.

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