Discussion in 'Airbnb & Short Term Letting' started by Hetty, 21st Nov, 2019.
Shack in Tassie Sarah took a gamble on a $90,000 fishing shed, now she's quit her job
"She's capitalised on her success even further by teaching courses on how to turn holiday rental ventures into a lucrative businesses."
Curious to know how many properties she actually has.
Or was it a one hit wonder.
If it were to stop being profitable, can she replicate and scale the business.
From the article, she is raking in a healthy six-figure income after expenses for the one property.
Bloody good rental return. I’m amazed. I'm guessing there’s no home loan to repay given the place was so cheap to begin with. I think she hit gold because of the shack’s location.
Re: Short stay accommodation, a fair proportion of the population could easily host if they have the inclination, it’s definitely not rocket science. And if you get sick of it, you can outsource the day to day management (if it’s not a place you yourself live in).
Anyway, I’m staying at someone’s Airbnb in Canberra for 2 nights and I’m thinking the host would be doing well out of it since she is renting out 2 rooms this way. Basically a room rents for min. $50 a night. Easy money. And you can decide to stop hosting if it all becomes too much/you get sick of it.
No home loan because it has paid itself off several times over.
I think it’s profitable because of social media. People would love going somewhere remote and posting pics on insta.
Many people (myself included) would be worried about the security aspect of allowing somebody into your house, especially if you weren't at home all the time they were. Sure, Airbnb has insurance, but it would be easy for a guest to pocket something small without you ever noticing.
You could be right. She might have lucked out with one property on first attempt.
I think the short term letting industry is very fickle.
Everyones taste is subjective.
We always look for AirB&B places which are obscure locations; usually "rustic", and as a result always a lot cheaper - which we want - but we dont care so much about the quality - its just a bed. I am sure not everyone thinks this way.
found another article as i didnt belive the numbers
Running a successful Airbnb and where you can earn the most money doing it - OpenAgent
crazy numbers..400$ a night..sheesh
its in my nature (and probably many others) to find holes in her plan,
but good on her for giving it a shot and thinking out of the square
but regardless of how many masters she has, im thinking it was a bit of one hit wonder with luck thrown in, unless shes managed to replicate it
good luck to her
Always good to see people taking action, and getting rewarded.
We bought a three unit holiday let that is high yield. Not in Australia and a unique summer winter destinstion. Now all four. 25% to 28% net yield and we now are raising this to 32% plus. 100,% occupancy up from close to 80%. It's just a cashflow game and time is money. Not lotto. Just a high yield investment. Hard to repeat but we will in same area.
There are these places and they are very very specific and hard to identify. Location. location. Location
My tip...forget about buying in a area near home. Who cares. Chase cashflow. Tax benefits mean nothing too. No depreciation no neg gearing. Just cashflow. Income beats all thst
My neighbour had a granny flat behind their house built, no kitchen and since they first put it on airbnb a few months ago it's been fully rented. They haven't been asking for top of the range rent, I believe they can ask for more, but that decision is up to them. (He was quite amazed at what I get per night). Anyway, this is suburban Sydney. It's been people visiting other locals or even people from overseas holidaying in Sydney.
Now they are thinking of putting a second room on the platform.
I have a double size room down stairs with a Bathroom and Kitchen. My Daughter is down there atm but what should I charge for it when she leave's? In Hobart.
That depends on where it is. Start a new thread with a few more details. It's possible it may be suitable for an Airbnb rental.
Air Bnb is not rocket science and I’ve been doing ST rentals since I first became an investor 22 yeas ago.
But I’m currently running my converted garage as a holiday accom thru air Bnb and it’s not easy. Turnover takes an hour. Customer service is extreme and you get blackballed if you don’t reply within 18hr, so I was responding to inane questions on Christmas morning. 1/10 air Bnb customers are scammers or professional hacks, insisting on refunds the minute they checkout (they’re only eligible within the first 24hr)
I quit my job (haven’t needed to work as portfolio is now 5m) to take a break and spend family time but the air Bnb is demanding and customers unreasonable
I have over 10 friends who also air Bnb their places (we live on the beach in Sydney) and all have nightmare stories to tell. You can’t just run a hotel without costs and consequences
Separate names with a comma.