My parents live next door to their IP and have had the same tenant for something like 10yrs..she is keen to stay on, but they have not renewed her lease now so Dad can jump in and do some much needed renovations and increase the rent..
Tenant has been on a good wicket of $140-150/week over the whole time, market for the area is around $250-280 for similar properties.
It is 10min from the city, close to public transport and I have suggested a possibility of a Bed and Breakfast situation since they live next door..
I have no idea what's involved, either do they, I said I'd do some research for them.
As far as I can see.. Upsides are :
Even if vacant for a while, a few nights bookings can earn what they would normally make in a few weeks, payment usually upfront on credit cards etc..
Downsides are : Have to furnish the house, no sussing out tenants before hand, unreliable tenants, continual turnover of people may annoy neighbours, risky if unsuccessful as opposed to a stable long term tenant.
Has anyone tried this, whats involved in setting up, would you recommend?
PS They own the IP and their PPOR outright..
Cheers
Tenant has been on a good wicket of $140-150/week over the whole time, market for the area is around $250-280 for similar properties.
It is 10min from the city, close to public transport and I have suggested a possibility of a Bed and Breakfast situation since they live next door..
I have no idea what's involved, either do they, I said I'd do some research for them.
As far as I can see.. Upsides are :
Even if vacant for a while, a few nights bookings can earn what they would normally make in a few weeks, payment usually upfront on credit cards etc..
Downsides are : Have to furnish the house, no sussing out tenants before hand, unreliable tenants, continual turnover of people may annoy neighbours, risky if unsuccessful as opposed to a stable long term tenant.
Has anyone tried this, whats involved in setting up, would you recommend?
PS They own the IP and their PPOR outright..
Cheers
