LAND / THE HARNEYS’ SERIES
PROPERTY RENTAL GUIDE Harneys legal guide to gaining rental revenue on your property W O R D S B Y PA U L M E L L O R
MANY PROPERTIES IN the BVI feature self-contained apartments or guest cottages, and are therefore well suited for rental purposes. Currently, there is a healthy demand for rental property in the BVI, both on a long and short-term basis. This is partly a consequence of a lack of supply with a number of properties currently undergoing repair following the hurricanes of last year. The recent return of large cruise ships to the BVI, heralds the approaching 2018/19 winter tourist season with the hope that renewed confidence, repaired infrastructure, and attractions will result in an increase in the number of visitors to the BVI, further expanding the
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demand for suitable accommodation. Many property owners are keen to capitalise on the opportunity to rent their properties, either on a long or short-term basis, but they should make sure that they understand the legal and regulatory environment in the BVI before doing so to ensure that they do not run into difficulties.
Non-B elongers Land Holding Licences Property owners that hold their properties under a ‘non-belongers land holding licence’ should check the terms of their licence carefully; this is to determine whether it contains any conditions restricting their ability to rent the property.
While older licences may contain no conditions relating to rental at all, it is quite common for more recently granted licences to contain terms that restrict the basis on which a property may be rented. In some cases, the licence will include a requirement that any rental must take place through a designated property rental agent. In other cases, the licence will include a requirement that the owner of the property obtains a trade licence as a pre-condition to being able to rent it. The imposition of these conditions is partly to ensure that the requisite hotel accommodation taxes are paid to the Inland Revenue—where such taxes apply—by a named
