A short-term rental agreement is the written contract for a stay of 30 days or less, and landlords often sign one too late. The booking lands, the guest arrives, and nobody has put quiet hours, extra visitors, or damage costs on paper. Then a party runs past midnight, and the only proof is a text thread.
A clear short-term rental contract also stops a brief stay from drifting into a tenancy, a risk that grows as lease length stretches. LeaseRunner wrote this guide and a free template to help landlords set all the rules before check-in.
What Is a Short-Term Rental Agreement?
A short-term rental agreement is a legally binding document that lets a paying guest occupy a home for a fixed period of 30 days or less. It names the parties, describes the property, and sets the nightly rate, check-in and check-out times, and house rules. Markets call it a vacation rental agreement, guest agreement, booking agreement, or STR agreement.
A separate contract matters because every channel brings different terms: Airbnb routes damage claims through AirCover, Vrbo and Booking.com guests book under each site's own policies, and direct bookings bring none. One written agreement applies the same rules everywhere. Read the local STR ordinance, meaning the city rules that license or limit short-term stays, before assuming a booking page is enough.
How Short Is "Short-Term"?
Short-term usually means 30 days or less, and longer stays often create tenant rights.
- Guest (30 days or less): most tax codes treat the occupant as a transient guest. Los Angeles defines a transient as anyone occupying a room for 30 consecutive calendar days or less (Los Angeles Office of Finance).
- Mid-term (30 days to about 6 months): stays of three or four months belong here, not in short-term. See the mid-term rental guide.
- Local thresholds vary: New York, for example, counts a non-transient hotel or rooming-house resident as a tenant after 30 consecutive days under RPAPL § 711.
As a rule of thumb, up to 30 nights makes a guest, and past 30 the stay starts to look like a tenancy. For the details, see when a guest becomes a tenant.
Short-Term Rental Agreement vs. Lease vs. Month-to-Month
The core difference is who the occupant is: a short-term rental agreement covers a guest paying nightly, while a lease covers a tenant paying monthly.
| Feature | Short-term rental agreement | Fixed-term lease | Month-to-month lease |
| Typical length | 1 to 30 nights | 6 to 24 months | Renews every month |
| Rent basis | Nightly rate plus fees | Monthly rent | Monthly rent |
| Deposit | Booking deposit, damage waiver, or card hold | Security deposit | Security deposit |
| How it ends | Check-out date or cancellation policy | Lease end date | Notice, usually 30 days |
| Lodging tax | Often applies | Usually exempt after 30 days | Usually exempt after 30 days |
| Legal status | Transient guest | Tenant | Tenant |
One form cannot serve all three. A nightly guest who signed a lease form invites tenant claims, and the risk peaks on extensions: a guest booked for 28 nights who stays 45 needs a new signed document before day 31. For longer stays, see the month-to-month lease agreement guide.
What Should a Short-Term Rental Agreement Include?
A strong agreement covers eight areas, from the parties to the signatures:
| Clause | Purpose | Example wording |
| Parties and property | Names who is bound and what is rented | "Host: [name]. Guest: [name] and [number] adults." |
| Rental period | Fixes the dates | "Check-in 4 p.m. [date]; check-out 10 a.m. [date]." |
| Payment terms | States what is owed and when | "Total due at booking: [amount], including tax." |
| Security deposit | Covers damage | "A [amount] hold releases 7 days after check-out." |
| Cancellation policy | Sets refund tiers | "Full refund up to [14] days before arrival." |
| House rules | Controls conduct | "No parties; quiet hours 10 p.m. to 8 a.m." |
| Liability clause | Limits landlord exposure | "Host is not liable for guest belongings left on site." |
| Electronic signature | Makes the contract binding | "Signed electronically on [date]." |
Rent, fees, and taxes
List the nightly rate and due dates, then separate the booking deposit, cleaning fee, and any resort fee so no charge surprises the guest. Itemize occupancy or lodging tax under the local TOT code; Los Angeles taxes transient stays at 14 percent of room rent. Under the IRS 14-day rule, a homeowner who rents a personally used home fewer than 15 days need not report that income; longer rentals go on Schedule E (IRS).
Security deposit and damage
Set the amount, return date, and deduction rules in one paragraph, and name the model you use: a traditional deposit, a pre-authorization hold (funds reserved on the card, not charged), or a post-stay claim. Platform rules limit the choice: Airbnb's Help Center says most hosts cannot charge deposits and instead point to AirCover for damage (Airbnb Help Center).
Whichever model you pick, photograph every room at check-in and check-out and send an itemized invoice with receipts with any claim. Claims must target real damage, not normal wear and tear.
Cancellation and refunds
Write the policy in tiers, such as a full refund up to 14 days before arrival and half back up to 7 days. These tiers are examples, not law, so set numbers that fit your market. Name the no-show cutoff and which fees are non-refundable. Copy each listing's platform policy into its channel addendum, so the signed agreement never promises a different refund than the platform will pay.
Occupancy and house rules
Set a maximum guest count that matches the bedrooms and local code; the guide on rental occupancy limits explains the HUD two-per-bedroom starting point. House rules cover quiet hours, a noise policy, a no-party clause, smoking, and pets. Apply every rule evenly, because the Fair Housing Act bars discrimination based on race, color, religion, sex, national origin, familial status, and disability (U.S. Department of Justice).
Access, safety, and liability
For smart locks, give each stay its own code that switches on at check-in and off at checkout, with a lockout fee in line with a locksmith call-out ($50 to $175 on average). Disclose any noise monitor in the agreement; Airbnb allows decibel monitors only if disclosed and kept out of bedrooms and bathrooms, and bans indoor security cameras (Airbnb Help Center).
A building compliance clause binds the guest to condo or apartment rules and the landlord to keep the unit safe, starting with working smoke alarms in each bedroom, outside sleeping areas, and on every level (NFPA). Standard homeowners policies typically exclude short-term renting, so confirm coverage (Insurance Information Institute).
Signatures
Both sides sign and date. The ESIGN Act says a contract cannot be denied legal effect solely because it is electronic (15 U.S.C. § 7001), so a signature through DocuSign or an online lease tool makes the contract binding.
Free Short-Term Rental Agreement Template
LeaseRunner's free template turns these clauses into a fill-in document you can adjust for each property and booking channel. The opening clauses read like this:
1. PARTIES. This Short-Term Rental Agreement is entered into on ____________ between ____________________ (the "Host") and ____________________ (the "Guest").
2. PREMISES. The Host rents the property located at ____________________.
3. RENTAL TERM. The rental begins on ____________ ("Check-In") and ends on ____________ ("Check-Out").
The full template continues with payment, cancellation, occupancy, house rules, access, liability, termination, and signatures. Send it for signature before sending door codes, and have an attorney review it before the first booking.
Download the free short-term rental agreement template (PDF/DOCX)
For stays past 30 days, use LeaseRunner's state-specific lease agreement templates.
Should You Screen Short-Term Renters?
Yes, for direct bookings and for any stay beyond 30 days. Platform bookings carry some screening through AirCover for Hosts, but direct guests get no such filter. A mid-term or direct booking calls for a rental application, a credit check, and a background check, applied consistently to every applicant. LeaseRunner's tenant background screening covers those reports, the online rental application collects the details up front, and the Rental Screening Science Score sits inside a Portable Tenant Screening Report that stays reusable for 30 days.
How to Send, Sign & Store the Agreement
Send the agreement as soon as the booking is confirmed, with the house rules and every addendum, and set a signing deadline such as 48 hours before check-in. Every adult in the party should sign, and an e-signature tool records how the signing happened.
Keep one folder per booking with the signed agreement, photos, damage invoices, and message thread. The IRS generally has three years to assess additional tax, or six if income is underreported by more than 25 percent (IRS Topic no. 305). LeaseRunner's online lease e-signing sends the agreement for signature and emails a secure PDF copy to both parties.
FAQs
Is 4 months considered a short-term rental?
No. Four months is a mid-term stay, so the paper should be a fixed-term lease or mid-term contract with monthly rent, not a nightly agreement.
What is the 90-day rule for short-term lets?
It is a London planning rule, not a US law: entire-home lets in Greater London may total 90 nights per calendar year without planning permission (Deregulation Act 2015 s.44). US landlords face city-level caps instead, so local STR ordinances control.
Is a short-term rental agreement legally binding?
Yes, once both sides sign, though a clause that breaks local law will not hold up.
Bottom Line
A short-term rental agreement works best when the landlord signs it before the guest ever sees the keys. Each clause exists because a real dispute needs a paragraph to point to, whether the trouble is a late checkout, a barking dog, or a cracked table.
Disclaimer: The information provided in this post is intended for general informational and educational purposes only. It should not be construed as legal, accounting, or tax advice. For guidance specific to your situation, we recommend consulting with a qualified professional in the relevant field before taking any action based on the content provided.
