Melbourne property investors face an essential decision between obtaining stable long-term leases and maximising their rental income through short-term rentals. The Melbourne market which attracts international events, tourists, and business travellers creates unique investment possibilities for those who select their rental approach wisely.
The Appeal of Long-Term Rentals
The traditional long-term rental system depends on maintaining a stable environment. A 12-month lease agreement generates dependable rental income while reducing tenant movement and requiring minimal property management involvement. Investors who want to avoid risks can find comfort in this hands-off rental method. The rental yield from long-term rentals remains fixed which prevents investors from benefiting from peak rental periods in Melbourne’s active market.
Unlocking Higher Returns with Short-Term Rentals
Short-term rentals give investors the opportunity to generate higher returns compared to traditional long-term rental properties. Short-term rentals through platforms like Airbnb enable property owners to earn higher nightly rates during major events including the Australian Open, the Grand Prix, and the AFL Grand Final. Your rental income will increase through dynamic pricing because you can adjust rates according to market demand throughout the entire year.
The STR model provides investors with complete control over their rental properties. The short-term rental model gives you complete freedom to use your property for personal vacations, because you can easily schedule unavailability on the calendar. The ability to use your property for personal stays stands out as a significant advantage for many investors. The operational risks associated with short-term rentals have increased substantially.
The short-stay levy of 7.5% in Victoria requires hosts to manage their properties, while negative reviews from guests can reduce future earnings, so professional management becomes essential for success.
The Best of Both Worlds: Professional Management
A professional property management service allows you to achieve both high rental income and personal time freedom. Working with a professional short-term rental manager at BNB Butler enables you to achieve the highest possible returns from short-term rentals while maintaining the hands-off investment experience of long-term property ownership.
Our team of experts handles all aspects of your property management. We utilise data-based pricing strategies to maximise your property earnings through optimal sale adjustments. Our team handles all guest communication and booking requests, delivers premium cleaning services and maintenance while keeping your property in its best condition.
The professional management system delivers two benefits to your investment by using optimal pricing and occupancy to increase revenue while maintaining quality standards that produce essential five-star reviews for long-term success. Our team converts the complex work of short-term property management into a hassle-free experience that benefits your investment.
Melbourne investors should choose short-term rentals because they provide better financial returns. A short-term rental property managed by professionals will generate higher returns than traditional long-term leasing.
Are you ready to increase your investment value without dealing with complex management tasks? Contact the BNB Butler team for a complimentary call to discover the complete earning potential of your property.
