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What is Occasional Rental in Poland, and How Does it Work?

What is Occasional Rental in Poland, and How Does it Work?

An occasional rental or lease agreement is not intended to be used as a primary residence. The tenant must provide proof of another residence.

Poland has seen a significant shift in its rental market due to changes in tenant protection laws. One of the outcomes of these legal adjustments is the introduction of “occasional rental” (in Polish: “wynajem okazjonalny”) into Polish law, governed by Articles 19a-19e of the Act on the Protection of Tenants’ Rights.

In this comprehensive guide, I will explore what occasional rental in Poland entails, how it stands out, and provide a detailed understanding of this unique property rental concept.

What is Occasional Rental in Poland?

Occasional rental, also known as short-term rental or “wynajem okazjonalny,” is a distinctive form of lease in Poland, exclusively intended for private individuals.

According to the legal provisions, both the lessor and lessee in an occasional rental agreement must be natural persons. The lessor, who can also be a natural person, should not be involved in the business of renting premises and must be the owner of the property, including cooperative ownership rights.

The tenant, on the other hand, can only be a natural person. Moreover, the property subject to an occasional rental agreement should serve the purpose of satisfying housing needs, reinforcing the focus on residential use.

Legal Aspects and Regulations

Occasional rental agreements are subject to specific legal requirements that distinguish them from traditional property leases in Poland. To ensure clarity and compliance, the following legal aspects and regulations apply:

Occasional Rental Agreement

An occasional rental agreement must be executed in writing for a specified duration, not exceeding 10 years. Any modifications to the agreement also require a written form. It’s noteworthy that the contract’s duration can be extended for an additional maximum of 10 years upon its expiration.

Deposit Requirement

In some cases, the conclusion of the agreement may depend on the tenant providing a deposit. The deposit serves as security for covering damages caused by the tenant or expenses related to the enforcement of the obligation to vacate the premises. Importantly, the deposit cannot exceed six times the monthly rent and should be refunded by the landlord within a month, after deducting any amounts owed. This practice safeguards the interests of both parties and can also cover unpaid rent.

Occasional Rental Agreement Termination

The occasional rental agreement terminates either at the end of the stipulated period or upon serving a notice of termination. The specific terms for termination should be detailed in the contract.

Tax Office Registration

To maintain the legal status of an occasional rental agreement, it is mandatory to report it to the Tax Office within 14 days of the contract’s conclusion. Failure to fulfill this obligation results in the agreement being treated as a standard property rental contract, leading to the loss of rights specific to occasional rental.

The declaration submitted to the Tax Office should clearly state that the apartment was rented through an occasional lease. Upon the tenant’s request, the landlord must furnish confirmation of the notification to the Tax Office.

Necessary Documents for the Occasional Rental Agreement

An occasional rental agreement in Poland entails additional formalities compared to a standard flat rental agreement. As stipulated by the Act, the required attachments to the occasional lease agreement include:

  • The tenant’s declaration, documented as a notarial deed, confirms submission to enforcement and the obligation to vacate and return the premises within the timeframe indicated in the request.
  • Indication of an alternative apartment by the tenant, where the evicted person can reside in the event of enforcement or expiration of the occasional rental agreement. This requires a declaration signed by the owner of the substitute apartment, which does not necessitate notarization.
  • Declaration by the owner of the premises or the individual with legal title to the premises, granting consent for the tenant’s residence and cohabitation with other occupants.

These formal documents, typically recorded as notarial deeds, ensure a seamless process for vacating the apartment upon the contract’s expiry or early termination, in accordance with legal provisions. These documents play a crucial role in cases of eviction due to contract violations or non-payment of rent.

Specifics of Occasional Rental

Occasional rental in Poland differs from traditional leases in several key ways:

  • There is no protection period for occasional rentals, meaning that evictions can occur year-round, without the restrictions that apply to standard rentals between November 1 and March 31.
  • Special rights and protections that are applicable to specific groups, such as pregnant women, disabled women, minors, and bedridden individuals, do not extend to occasional rental agreements.
  • The landlord has the right to specify a minimum notice period for tenants to vacate the premises, which can be as short as 7 days.

What are the Advantages of Occasional Rental?

Occasional rental offers unique advantages for both landlords and tenants in Poland:

  • Right to Evict: Occasional rental agreements provide property owners with the right to evict non-compliant tenants, offering more effective protection for property owners. An enforcement clause for a declaration of submission to enforcement is sufficient to initiate the eviction process.
  • No Protection Period: Unlike standard rentals, occasional rental agreements are not bound by the protection period, allowing for more flexibility in terms of eviction.
  • Transparency: The terms and conditions of occasional rental agreements are typically clear and well-documented, providing transparency for both parties involved.

In conclusion, occasional rental in Poland has become a significant aspect of the real estate market, offering distinct advantages and challenges. Understanding the legal aspects, rights, and obligations associated with occasional rental is essential for both landlords and tenants. Whether you’re considering renting out your property occasionally or planning to stay in such accommodations, this guide provides a comprehensive overview of this unique rental concept.

Frequently Asked Questions on Occasional Rentals

Can occasional rental agreements in Poland exceed 10 years in duration?

No, occasional rental agreements cannot exceed 10 years in duration. Any extension beyond this period is not permissible.

Is there a specific limit on the amount of the deposit in an occasional rental agreement in Poland?

Yes, the deposit in an occasional rental agreement cannot exceed six times the monthly rent. This regulation ensures that the deposit remains reasonable and fair for both parties.

What happens if the occasional rental agreement is not reported to the Tax Office in Poland within 14 days of its conclusion?

Failure to report the occasional rental agreement to the Tax Office within the specified timeframe results in the agreement being considered a standard property rental contract. This can lead to the loss of rights and protections associated with occasional rental.

Do the protections against eviction during the winter months (November 1 to March 31) apply to occasional rental agreements in Poland?

No, the protection period against evictions during the winter months does not apply to occasional rental agreements. Landlords have the flexibility to initiate eviction proceedings year-round.

Is it possible to terminate an occasional rental agreement before its specified duration?

Occasional rental agreements can be terminated before the stipulated duration, but the terms for such termination should be clearly outlined in the agreement. Proper notice and compliance with the contractual terms are essential to ensure a lawful termination.

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