Would you AirBnB your IP ?

Discussion in 'Airbnb & Short Term Letting' started by teetotal, 1st Aug, 2016.

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Would you consider to AirBnB your IP ?

  1. Yes

    41 vote(s)
    73.2%
  2. No

    15 vote(s)
    26.8%
  3. I don't know what is AirBnB

    0 vote(s)
    0.0%
  1. Azazel

    Azazel Well-Known Member

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    Well in theory I would, but I really don't have any interest in it at the present time.
     
  2. turk

    turk Well-Known Member

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    In March this year I starting turned an IP into a short term rental`the occupancy has increased each month with July's being 90% and August presently at 80%.
    This, especially with the higher summer rents should return more than double what I received from long term rent.(Nett return after agents/Airbnb/Stayz fees).
    Allowing 15% for consumerables, utilities and furniture etc depreciation hopefully the final return
    is around 170% of the long term rent.
    Changeovers take 2 to 3 hours and the house stays cleaner with less wear and tear than with a long term rental.
    From July to late August there are 3 groups with 1 group leaving in the AM the other arriving in the PM, leaving no gaps and only 3 cleans over a 5 week period.
    The thread I started at the time
    Airbnb
     
    Shark, Pentanol, Iamnumber5 and 2 others like this.
  3. DaveM

    DaveM Well-Known Member

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    I would, if there was a demand for airbnb in slums :)
     
    Balman, larrylarry and Sackie like this.
  4. Angel

    Angel Well-Known Member

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    I voted no because the properties that we currently have are not suitable. I would consider it in the future, especially if we live in a nice lifestyle area. Maybe the townhouse at the beach would be suitable ................
     
  5. Gockie

    Gockie Life is good ☺️ Premium Member

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    Angel, its definitely a strategy worth pursuing... townhouses are good for it. You dont need it to be a big place, it just has to present really well and be comfortable. If you can buy one overlooking the beach with cafes and shops etc nearby that's even better. I can't see that letting you down in the long run if you buy well...
     
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  6. Gockie

    Gockie Life is good ☺️ Premium Member

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    Good strategy... Easy extra income... and with that sort of property i'm sure you'd get wonderful guests...
    I think the negatives with doing it in a PPOR is that the property will be subject to a prorated CGT when it finally becomes time to sell it, and there's some potential loss of privacy. But on the flipside, its right at home and convenient to manage, and you should meet interesting people from all over the world. :)
     
    Lou likes this.
  7. Biz

    Biz Well-Known Member

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    I've thought about it for one I have, very well located house close the Sydney CBD. There is no way though that I would be able the change sheets, meet people to hand over keys etc. If there was a way to outsource all that to someone though I would consider it if it stacked up.
     
    pianissimo and teetotal like this.
  8. larrylarry

    larrylarry Well-Known Member

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    I believe there are some small businesses doing that. One of my clients have 2 houses up in the blue mountains, well located with views, he has a manager that manages his properties as well as others. According to him, the numbers are good.
     
    teetotal likes this.
  9. teetotal

    teetotal Well-Known Member

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    What sort of management fee did you find out?
     
  10. teetotal

    teetotal Well-Known Member

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    Did he share any numbers, which you can share here ?
     
  11. EN710

    EN710 Well-Known Member

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    Admittedly I only look (find) 2-3 so far and it's about 15-20%
     
    teetotal likes this.
  12. Lou

    Lou Member

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    To be honest, I haven't really thought about it - probably because I have a buy-renovate-hold strategy so selling (and CGt) just aren't really part of my strategy. Though it would be interesting from a scenario planning perspective to know how an AirBNB arrangement would impact CGT - good point to raise!
     
  13. larrylarry

    larrylarry Well-Known Member

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    I didn't probe further but I stayed in one of his in Leura, very nice.
     
  14. Azazel

    Azazel Well-Known Member

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    We're glad that you're being honest!
    ;)
     
  15. Scott No Mates

    Scott No Mates Well-Known Member

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    You'd have to rename it to something like 'Uber-bed' or 'Hot bunks' to appeal to the Elizabethtans.
     
  16. Azazel

    Azazel Well-Known Member

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    Ooh, hot bunks!
    There could be something in this.
     
  17. Scott No Mates

    Scott No Mates Well-Known Member

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    If you tossed it around a little 'hunk bots'. :oops: May appeal to the Oxford Street crowd.
     
  18. Depreciator

    Depreciator Well-Known Member

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    Biz, there are a couple of Sydney start-ups doing Airbnb turnovers. One is called Kayla, from memory. I'm away at the moment - Gold Coast at an accountant's conference - but I'll be in the office Friday. I have a card somewhere on my desk from another mob and will try to find it. Anything well located in Sydney will do well.
    Scott
     
    teetotal and Biz like this.
  19. Ed Barton

    Ed Barton Well-Known Member

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    Near hospitals can be good too. No peak periods like NY or school holidays, but a steady flow of bookings from what I hear.
     
  20. Depreciator

    Depreciator Well-Known Member

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    Yes, and I imagine near industrial parks like Macquarie Paek and Norwest in Sydney. Airbnb listings would ideally be 'business ready' to pick up that corporate market.
    My place has proximity to hipsters and that's not seasonal so it's booked out six months in advance.