With a more than unusual 2020, we can’t lose sight of the fact that Australia still has some of the lowest rates of COVID-19 the world and Coronavirus has made many Australians take stock of where and how they live.
The Australian economy is also proving more resilient than those of our counterparts and with interest rates at historic lows and housing affordability is as cheap as it ever has been. It’s never been easier for investors to own a property. The Australian HomeBuilder package is also providing eligible owner-occupiers (including first home buyers) with a grant of $25,000 to build a new home or substantially renovate an existing home. TO FIND OUT MORE CLICK HERE
So where to buy your short-term rental home to maximise the returns on your investment property?
Considering how long it takes to build new estates or large apartment complexes, we’re going to experience an undersupply of well-located properties in our capital cities in the next year or two. At Air Design, our City pads were occupied at around 88% during the Coronavirus lock-downs of 2020 proving to be a better investment than traditional rentals which saw an 18 year low in occupancy rates in 2020.
With Australia’s population growth prediction for 2021, we need to build around 170 to 180,000 new dwellings each year to accommodate all the new households. Immigrants arriving into capital cities need to start somewhere and that normally starts with short term platforms like Airbnb while they find their feet.
COVID-19 has made many Australians take stock of where and how they live. Many businesses have discovered remote working suit not only the business but the teams with a more balanced lifestyle available. Many Australian’s are looking to move out of the rat race and many would like to try before they buy. This makes short-term rentals a perfect option to accommodate those town mice looking to be country mice.
Skilled immigrants to Australia are also encouraged to live in regional areas and will be eligible for permanent residence. Holders of the new skilled regional provisional visas will need to show they have lived and worked in regional Australia while holding one of these visas. This shows that short term housing in regional locations that don’t require traditional leasing documents are a good investment option moving into the foreseeable future.
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