Short term rental in-between long term rental?

Hi,

Is there anyone who rent out their property short term / Airbnb style while filling in the vacancy gaps between old tenant moving out and new tenant to be moved in?

If you did, can you please share how you done it, and does your landlord insurance cover this?

Thanks,

 

Doesn't seem like a good idea unless the place is already fully furnished?

 

As a side-bar, a REA did a short term rental on the first property I was buying in Melbourne in 1979, between signing of Contract and settlement.

On OFIs, the place was empty. Then one day, we dropped around and found people had moved in .

Neither I nor the seller knew anything about it .

 

I was thinking along the lines of temporary furnitures, like folding beds / air mattresses etc.

 

Then won't you just end up with a really sub-par short term rental? You'll either get not much interest, a very sub-par quality of guests, or barely be able to charge enough to make it worthwhile.

You've also then spent money to furnish the place as well, which you might not even make the money back on. Then you've also created a problem of where to put the furniture once your short term stint is done.

Hard for me to see where any of this is worthwhile.

 

I agree with this. You would really want to make sure that you are going to attract quality guests to (hopefully) avoid issues with damage etc.

If you still wanted to pursue that road, you could look at hiring some furniture. You may be able to claim the cost as a deduction.

 

Are you self managing this property? Your property manager should ensure there are no significant vacancy gaps to worry about.

 

It's managed by agent but they have no good tenants passing their test so far.

 

Now that redefines the meaning of a "side hustle"

 

Yes, I do this. But I then long term fully furnished.
I find it works really well, you can get some cash coming in really quickly with Airbnb, like same day bookings once you list.
and you can take your time to find a really good long term tenant.
plus the hardest part transitioning between long term tenants is you can't show anyone the place prior to vacating. With Airbnb you can show inbetween bookings.

 

Decide if you're going to be a hotel or a house and stick to it.

 

Yes you can.... you just need to give them the required notice.

 

Thanks. I ended up doing my agent's work - advertise on 3 different classifieds, doing extra inspection openings in the evenings. Then pass on the prospects back to agent's application process to do their checks. I ended up finding a tenant more quickly than the once a week inspection opening done by them.

 

Why is there a gap between tenants?

 

They only do inspection open once a week and only started open 2 weeks prior to tenant moving out. The open was scheduled on early Saturday mornings at 10ish. I don't think a lot of people like to wake up that early on a Saturday.