Holiday Rentals

[WebBoard]

From: Samuel Riley


If you live in a major tourist/holiday area like I do (Leura, Blue Mountains) would it be better to consider holiday rentals? obviously it is not as secure income stream as a signed tenancy.
but rent is higher on a week/per week basis.

what are the tax advantages (if any)

Does anyone have any experience or advice in this area of investment??

Thanx

sam.riley@unilever.com

 

[WebBoard]

Reply: 1
From: Keith J


Sam,

I too live in BM and have several friends who consistently fail to make money with holiday rentals in Katoomba/Leura. Permanent letting provides a more consistent income, but in BM it's v. hard to find anything even approaching +ve c/f. Vacancies rates for holiday letting are v. high around here.

Also, talking to valuers growth seems to have slowed considerably in upper BM.

On a +ve note renos may be the go - there's lots of crap houses around with potential.

Keith

 

[WebBoard]

Reply: 1.1
From: Samuel Riley


Thanks I am currently purchasing a 2 bedroom unit in Katoomba street. (where the State Bank is) This is for reno as I also agree with you that this is the best investment opportunity in the upper BM at the present time.