Airbnb

In the process of converting a rental property into a Airbnb rental, located in Middle Park

Edit: need to work out how to post photos.

 

2nd try

 

I simply cut and paste the images into the dialogue box and it works for me @Simon Hampel can you help?

Love your work @turk

 

@wylie, Middle Park is very central, the beach is at one end of the st., Albert Park Lake area at the other. Light rail 1 minute away which takes 5 minutes to St Kilda or 10 min. to the city, numerous other attractions within walking distance.

Thanks @Chilliblue and @Simon Hampel.

 

Very nice. What do you estimate the weekly $ difference between renting it and AirBnb'ing it to be? Guessing at least $300-$400 extra/wk in peak season?

 

Hopefully it will be $1000+ extra in the peak season.

Melbourne in general has woefully low yields compared to other capital cities and Middle Park being inner city blue chip is even lower. This property would yield around 2.4%.

 

Good on you @turk i hope it pays off for you and I look forward to following your journey with it as I am interested in looking at giving it a go myself.

 

I've found the airbnb market in Melb not to be one that is overly in demand compared to some other cities I've stayed in.

 

I live around your area and interested to see how you go with your returns. analyzing one for my SMSF though i am looking at CBD next to the southern cross station. Check out the article from the age last month, lots of people do well with airbnb

Airbnb's reach extends from spare rooms to empty, multi-room properties, report reveals

 

@melbournian, will keep you informed on the results.

 

Hi turk. Can you please outline who insures commercial activites such as this and what the cover extends to for building and contents and furnishings and the premium?

This might be suitable for one of ours on the Gold Coast near where we live as it is very near a tourist area, beach, Pacific Fair etc. Thanks

 

Stupid question, I know but, Does airbnb mean that the room rented out or the whole property rented out? who provide breakfast if the whole house rented out for days/weeks?

 

I think it started out small with people renting out a room or two in their house and has just grown. I was looking for one by the coast and it was mostly entire houses, some looked very new. In those you do your own cooking.

 

Hi Turk -

Will be interested in the rental by AirBNB v Perm rental? will be low in any case, as we know Middle Park is one of the most expensive suburbs in Melbourne by square metre.It s an awesome area - but what sort of tenants will you experience? I would think high demand for backpakers which would concern me for Short term rentals?

Cheers Ivan

 

I think the amounts of money charged per night won't attact a backpacker crowd!

 

Very few Airbnb hosts provide breakfast. Those who rent out whole apartments naturally don't, though they leave some food. Even people who rent out a room in their house rarely make people breakfast, but they also would provide some food for people to make their own breakfast.

 

@melbournian, the property was listed on Airbnb and Stayz at the start of March, to date we have had 19 nights occupancy with another 61 nights booked.

Averaging $200 nett per night as opposed to $80 nett per night on a normal rental.

To date Stayz bookings outnumber Airbnbs by 3:1.

 

We went up to Clare Valley for Easter and the hosts left a nicely presented picnic basket with bacon, eggs, orange juice, mushrooms, butter etc in the fridge. And on arrival gave us a freshly made loaf of bread.