The trick to buy to use as an Airbnb is to have Plan B and Plan C all ready
Buy a property for using on Airbnb requires a different mindset as there is more at risk here.
So instead of just Plan A and Plan buy as in the rent to rent model, this requires more research and a Plan C as well.
The rent to rent model was simple.
- Plan A - rent the property and it works
- Plan B - rent the property and if it doesn't work you cancel the lease with no penalty
Buying the property now means you have much great er costs.. (ie you will have spent money on transfer, bond costs and to resell the property may mean greater time length again and more costs (ie agent fees etc)
So buying requires three plans
- Plan A - you buy and it works
- Plan B - you rent it out long term, and that rental covers all or a significant amount of all costs
- Plan C - you sell, but can sell quickly, or at a really good price because its a high demand area.
Finding the unit to buy will be similar to finding the rent to rent model:
- Buy in a place you like, and see if Airbnb works well there
- Go where Airbnb is good, and look to buy in that area.