Definition : Rental

In a co-ownership, some dwellings may be inhabited by the co-owners and others by tenants through a lease contract. Buying to rent is a trend that has emerged for several years in large urban centers as well as resort centers. It is therefore very common for tenants to seek contact with the board of directors or the condo manager (to request the repair of broken equipment, such as the elevator, for example). In the same way, the board of directors or condo manager may wish to communicate with a tenant (if he does not respect the declaration of co-ownership, for example). The rental of a fraction by a co-owner thus implies a tripartite relationship between the syndicate, the landlord and the tenant. But what are the rules?

A trend towards the rental of units held in divided co-ownership has manifested itself in recent years in large urban centres as well as resort centres. Although renting a property is a recognized right for a co-owner, he must know the rules applicable in this matter. The law and the declaration of co-ownership list the obligations to which tenants and co-owners-lessors commit themselves when they sign a lease, such as compliance with the by-laws of the immovable. Some of these obligations can cause the resiliation of the lease if they are not respected !

We are concerned about the comings and goings of strangers in our building. This concern is all the more justified by the fact that some of our co-owners rent without right, for short periods, to travelers (Airbnb-type rental). Question: Can the Board of Directors ask to see a tenant's identity card in order to certify that he is who he claims to be?

Un nouveau règlement entré en vigueur le 1er mai 2020 fait en sorte que dorénavant, si la déclaration de copropriété est muette à propos de la location de type hôtelière (par exemple Airbnb), un copropriétaire devra demander la permission au conseil d'administration, s'il veut s'adonner à cette activité dans son appartement.

The Internet spawned a collaborative economy. Web sites such as Airbnb allow co-owners to rent their apartments to third parties a few days a year. This accommodation formula, intended for travelers, sometimes generates substantial income. For this reason, some owners are tempted by these easy pickings. And they believe they are entitled to do so, (wrongly in many cases) and to use their private portion as they see fit. Many co-owners are unaware that this activity is prohibited in their building. Others are fully aware but are unconcerned. However, the incessant ins and outs of strangers brings its lot of disadvantages. Late and noisy arrivals, as well as departures at dawn are generally not compatible with the lifestyle sought by the resident-co-owners of the building. This practice can potentially have a negative impact on their safety.

The additional premium is a premium that is added to the existing premium. It results from a worsening of the risk or from the assumption of a new risk. This additional premium may be imposed during the course of a contract or upon its renewal. Risks are analyzed according to scales that are specific to each insurer. Ultimately, the syndicate will pay this additional premium, which will be charged to all of the co-owners through the common expenses (condo fees) or, at times, some of them.

6 février 2020 — Un copropriétaire de Québec a été condamné à payer quelque 15 000 $ à son syndicat, fruit d’une décision rendue par la Cour du Québec – Division des petites créances. L’homme en question louait son unité à court terme (location de type hôtelière), en contravention avec sa déclaration de copropriété. Le défendeur estimait pourtant avoir le droit d’utiliser son condo « à des fins personnelles, que la location à court terme n’était pas interdite par la déclaration de copropriété initiale, et que ce n’est qu’à l’occasion de modifications apportées en 2017 que pareille location fut prohibée. »

Le phénomène AirBnB prend de l’ampleur au Québec. Cette plateforme peut faciliter la location à court terme d’unité de condominium. Toutefois, certaines déclarations de copropriété interdisent formellement ce type de location. Mais certains copropriétaires contreviennent consciemment ou non aux dispositions desdites déclarations de copropriété. Combien de fois les administrateurs ou gérants entendent « je suis chez nous et je fais ce que je veux ».

Renting your apartment to tourists, exposes you to various claims. This could be the case in cases where it is recognized that you are legally responsible for a guest who injures themselves or has their personal belongings damaged or stolen during their stay in your apatement. While some short-term residential rental websites offer insurance for this, it is still essential to inform both your home insurer and your syndicate's insurer that you are engaged in such an activity. Remember that the insured must declare to his insurer any circumstance resulting from his actions that aggravates the risks stipulated in the insurance policy. This will avoid horror stories during a disaster.  

A co-owner may be at home in his apartment, but the use he makes of it must comply with what is prescribed in the declaration of co-ownership. However, short-term rentals such as Airbnb's are sometimes prohibited if the declaration of co-ownership expressly indicates it or if the destination of the building is exclusively residential. This document may contain provisions prohibiting non-residential activities in the immovable. In order to ensure the well-being of the people who live there, it may be necessary for the syndicate to impose sanctions on co-owners or tenants who violate the by-laws of the immovable. He may even have, on certain occasions, to resort to the court to assert the rights of all the co-owners.

When the rented property is an apartment, all tenants must comply with the by-laws of the immovable. However, tourists  who rent a condo temporarily have often not received a copy. Therefore, without even knowing it, they may be in breach of the provisions included in this regulation. These tourists can use the parking spaces reserved for visitors, thus reducing the number of spaces available. Others park squarely in the spaces belonging to the co-owners. In addition, these temporary occupants may be less aware of safety considerations, as well as the tranquility of the co-owners. In short, they usually consider the unit they rented as a hotel room.