So, you have decided to purchase an investment property and then start an Airbnb. The last decade has given us numerous success stories about profitable operations and lots of money being made. But now some things have changed, and maybe we can’t have the same confidence as before. Before you commit yourself to an investment you should know that running a successful Airbnb today requires your time, consistent management and marketing your property. Owning an Airbnb will cause you to make changes to your life, but there are several benefits that should make it all worthwhile. Here are some of the positives and negatives about running an Airbnb.
- Responsibility: Running an Airbnb is a business, and because of this you are going to have to make yourself available for various reasons. You can find Airbnb management in Sydney. Tenants are going to be arriving and departing at times that are convenient to them. While they stay, they are going to require services like linens and toiletries. There will be maintenance issues, and you will have to deal with incoming guest inquiries at the same time as managing the needs of your current guests. You will also need to find time for cleaning between occupancies. Occasionally there will be repair issues too.
- Income: Managing an Airbnb can be a good income stream, once you get past the start-up costs. An Airbnb can bring as much as three times the income of a full-time rental property. Most people are used to paying more for accommodations on holidays. Another benefit is that you are paid for the rental in advance, which means that you do not have to be concerned about delinquent payments and how to collect.
- Control: An Airbnb is also better than a traditional rental because it offers you some flexibility. A service like HomeHost can help you manage your listing schedule. You do not have to have the property available all the time. You can use it for yourselves or family. And you can shut the business down when you go for a holiday.
If you have considered all the factors of starting your own rental property business and you wish to proceed, your next step is to find an agent that understands the rental property market. There is an art and a science in choosing just the right property, and the location is also a critical factor. If you get this part right, you could be on the path to a very pleasant passive income.