You have every right to deduct from the deposit if the guest brings additional people overnight to the home than authorized in the contract. The video serves as additional proof.

I don't know how to measure "additional depreciation", could you explain?

How many cameras do you have? You kept a copy of the video?

After learning about the location of the cameras, I am taking back my recommendation. Message was edited by: gabriel

Please, where is the fourth camera?

We have security cameras installed on the exterior of our rental home.  Each State has different rules in place regarding cameras.  In our area, If cameras are installed you must be able to prove that they are in place for "security" reasons.  If they are installed inside they should never be installed in a private area like a washroom or bedroom or change area thus violating a persons "right to privacy". In my opinion and experience, there is no reason to have camera's installed inside your property as exterior installation will give you everything your need in the event of a break in.  To have camera's installed inside your residence requires full dislosure to non residents of the said property.

Our neighbour's home was broken into a short while ago, and because one of our front yard camera's takes in his driveway, we were able to go through the tapes (which records up to 14 days) and we saw the intruders on camera.  Our neighbors as well as the police were delighted to have the evidence to assist in catching the thieves.  I believe our house was not violated because the camera's are in full view of anyone entering the property.  This is the true reason for having a "security camera".

Petegm, I take back the original recommendation to charge for additional guests.

After learning about the location of your cameras, and in agreement with the rest of the other bloggers, refund 100% of the deposit, apologize for the inconvenience and immediately remove the cameras in private areas, such as living room or the "Unknown location" of the fourth camera. I would also remove the camera of the pool unless it is a public pool. Review important legal and privacy issues in previous posts.

Guests have the right to their privacy.

Your Liability and (Lack Of) Insurance Protection for this Issue...

My name is Kelly Troy and I am the President of InsuranceForInvestors.com.  I have read your posting with some degree of concern for the liability and insurance-related aspect of this issue.  I'm not certain how your property is insured, but if it is like 98% of the other short-term and vacation rentals that I work with on a regular basis, your policy is probably improperly issued as a standard 'dwelling' policy for rental property or it may even be insured with a 'standard' homeowner's policy - both of which specifically EXCLUDE short-term rental exposure and which will probably result in a denial of any claims and an immediate cancelletion of your policy by the issuing insurance company. There is a chance you are insured properly, but that's another issue as very few insurance professionals know anything about short-term and vacation rentals.

With regards to the cameras specifically, if the tenant chose to pursue legal action, he or she may have grounds for suit alleging invasion of privacy, failure to disclose, mental anguish, and other causes. I'm going to make some assumptions based on experience, but with respect to insurance, if you just have a standard 'dwelling' policy in place from a typical insurance company (and assuming it includes liability coverage at all - which some don't), your are probably NOT covered for your legal and defense costs at all. You would file a liabiliy claim and it would probably be denied - first because of the short-term rental exposure and secondaly because "dwelling" policies generally only include 'premises" liability only - which means liability related to the property itself such as bodily injury due to the property's maintenance or amenities, damage to a guests property (i.e. a large limb from a tree of your property breaks off and falls on the guests' vehicle causing damage, etc). These policies DO NOT include coverage for PERSONAL LIABILITY, which is exactly what this issue falls under.  Personal liability relates to things such as invasion of privacy, libel, slander, unfair housing, wrongful eviction, and so on.

Given your recent experience, I would immediately check the policy that you have in place in the event the tenant decides to pursue any action. Your agent may (italics are intentional) have issued the right type of policy and coverage, but in my experience I wouldn't bet on it.  If the policy is a standard dwelling policy from a typical 'big name' insurance company - you really have no insurance at all as they exclude short-term properties and the policy will be cancelled and a claim denied the minute they find out what the property is used for.  In addition, these policies (as mentioned above) don't provide personal liability coverage.  If this home is insured on a homeowner's policy for owner-occupied residence, the same thing applies. The policy will be cancelled because the use of the property is not consistent with the acceptability guidelines for a homeowner's policy and coverage will not apply in any form.

WOW! Amazing. Cameras in the house would be a violation of various wiretap/recording/privacy laws in every jurisdiction. Imagine a 13 year old girl running naked through the house. Imagine what prison is like.

You could deduct for any actual damage (as opposed to "additional depreciation" and "dancing on the table") but you do run a huge risk that the renter will end up being so ****** that he contacts the police, prosecuting attorney, federal law enforcement, or has deep enough pockets to sue you for some huge amount for invasion of privacy just because he can.