A number of our savvy investors are looking at alternative ways to increase their income from rental properties and we believe looking at Air BNB is a great alternative strategy for our clients.
We recently caught up with Callum Forbes from And Chill to discuss the benefits of having a property management company dedicated to managing your Air BNB rentals.
The first thing our investors want to know is ‘do we have to get involved, or can we hand over everything to a management company to do for us?’ The short answer is that they offer an end-to-end management solution. They take care of everything including styling, photography, cleaning, maintenance and guest liaison; so you can sit back ‘and chill’.
When compared to traditional property management; when a property manager locates a tenant, manages associated bills and inspects the property once every six months; Air BNB management companies have weekly on-site property inspections, look after all associated bills, supply furnishing (for an additional cost), arrange cleaning, list it on the online portals and offer reporting while giving 24/7 management.
The fee is considerably higher, however is offset by the high yield (return on investment) which can double the amount of an average Sydney yield in popular inner city suburbs. Some companies will even give a rental guarantee for a 12-24 month period.
An important point to note is that if renting a unit, you need to check what the Executive Committee’s stance on Air BNB is. It’s also advisable to check with the council as some councils have a policy around Air BNB rentals.
So why not look at an alternative to the traditional and start seeing your return on investment grow?
Air BNB ideal to get more out of investment
DO you have an investment property and want to earn more than the average 3-4 per cent yield in Sydney?