Airbnb yields in Melbourne dropping

Discussion in 'Airbnb & Short Term Letting' started by geoffw, 5th Oct, 2016.

Join Australia's most dynamic and respected property investment community
Tags:
Page 3 of 3
  1. albanga

    albanga Well-Known Member

    Joined:
    19th Jun, 2015
    Posts:
    2,701
    Location:
    Melbourne
    I have used Stayz on numerous occasions because it was all I knew. Trying to find somewhere that would accept your animals and availability was like pulling teeth.

    I have no sympathy for monopolies that do not evolve and become complacent (don't make me use the Kodak example).

    Airbnb filled a much needed hole in this kind of accomodation and have done such a brilliant job that they have become the new norm. I have a feeling thiugh that they will not sit back complacent and continue to evolve this site.
     
    albanga, 7th Oct, 2016
    #41
  2. geoffw

    geoffw Moderator Staff Member

    Joined:
    15th Jun, 2015
    Posts:
    11,677
    Location:
    Newcastle
    Stayz was bought by Fairfax in 2005 for $12.7M. TakeABreak merged with another provider, and the combined group was bought by Fairfax in 2011 for $29M. Not bad for a company which started in their garage in 2003. That was split probably between 4 couples. One of the guys has a doctorate in space propulsion or similar, and still lectured while he had the company. He now invests in, and mentors, startups.

    So when they sold, they had a staff celebration. The only thing the owners provided was champers which Fairfax had provided.

    Fairfax sold the lot for $220M. Stayz was definitely the senior partner.
     
    geoffw, 7th Oct, 2016
    #42
  3. Ed Barton

    Ed Barton Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    2,229
    Location:
    Brisbane
    Ed Barton, 7th Oct, 2016
    #43
    geoffw likes this.
  4. Lacrim

    Lacrim Well-Known Member

    Joined:
    25th Jul, 2015
    Posts:
    6,197
    Location:
    Australia
    We live in hope ;)
     
    Lacrim, 7th Oct, 2016
    #44
  5. rambotrader

    rambotrader Well-Known Member

    Joined:
    29th Oct, 2016
    Posts:
    49
    Location:
    Australia
    Supply and demand (= rates). Basic economics.
    Those who think short term rentals will make them rich ignore the facts of high costs and inconsistent rentals. Add in the growing number of properties in this market and you lock in large losses. Good luck if the dollar signs have seduced you. They don't exist and only your losses and crapping on your neighbours will be the end result.
     
    rambotrader, 14th Jun, 2017
    #45
Page 3 of 3
Maximum Deductions - Washington Brown Depreciation