Hi all, New to this forum so looking for some advice. We have a $120k deposit and are looking for an investment property that we can ideally rent out on a nightly basis - eg airbnb, also with the view to holidaying there a few weekends per year. Long term goal is that the mortgage will pay itself off, plus a regular increase in value, all to eventually pass down to the children. Budget would be around 350-450k, for a nightly rental property, as that will keep the mortgage repayments manageable if (for whatever reason) it isn’t rented out successfully one month. Wondering if anyone has any good insight into the Mudgee area, or Sanctuary Point (close to Hyams Beach, but still relatively well priced in comparison to Huskisson and Vincentia, is there a reason for this??!). The other consideration is to buy something a little more expensive eg 600-700k in the area close to us (Sutherland Shire) and rent long term, or anywhere else that would be a good investment option for long-term rentals close to sydney? But then we obviously lose a holiday home Any advice whatsoever is welcome!! Also, anyone know of any property management agencies that deal with nightly rentals in either Mudgee or Sanctuary point or Jervis bay region? Thanks, Alice
Have you thought about the Illawarra (Bulli- Shellharbour)? You could pick up something for $500ish, close to the beach (2bed units), or free standing house (10min drive to beach). You could rent this out for now and use this as a holiday home in the future. I would be cautious of Airbnb etc.- I think there has been posts on this forum about the difficulties in getting insurance for these properties and tenant issues. Is it worth the extra hassle if you are only planning on using it for a few weekends a year, when you can just get a hotel for a couple of nights?
That just sounds like a whole lot of work to me. As mentioned above , go forward and buy a $450k investment property. Good move. Then go and rent an Airbnb for your weekends away/ holidays. The two are like oil and water- don’t mix well.
I agree with the general sentiment above. It might be best to purchase a traditional long term rental IP in a location where you think growth prospects will be best - and then continue to use airbnb for your own holidays. Besides - at least with using airbnb you can stay in different places and mix it up! If you have your own holiday house you might feel obligated to holiday in the same place all the time....and it could become a bit boring. Cheers Jamie
There aren’t many good properties in your price range down the south coast that would be suitable for air bnb. To get something that is “reasonable” walking distance to the beach, you will need at least $600-$650k (unless you go far far south coast near Merimbula/Eden). If you’re keen on the south coast with a $450k budget, I would be looking at houses that are walking distance to the shops/main town centre with long term subdivision/development potential (I.e. you could build a small villa/townhouse on). I have been keeping a close eye on developments down the south coast and a lot of retiring boomers are selling up in Sydney and buying small single storey villa’s/townhouses down the south coast.
I have had clients do this kind of thing in the locations you are suggesting. Agree with the above comments if you have zero experience then short term letting is a bit of work and plenty of things can go wrong from a distance. It is a business and requires more active management than a long term rental. If you have done it already with success then you can ignore those comments. I know who is doing short term management in JB but pm me as the staff and ownership (thus quality) changes all the time so I don't put recommendations on a forum where it will be for a long time. Make sure you get your site selection right as 80-90% of Sanctuary Point is NOT suitable for holiday letting plus some is quite flood prone and there are some dodgy streets. And to answer your question, yes there is a reason for the cheaper prices than husky... you need local knowledge or you are liable to get ripped off.
