Day: September 14, 2023

Where to Buy Short-Term Rental Property: With Tips & Tools

Post author By Ramon Meris
Post date September 14, 2023

Learn a systematic approach to your vacation rental search before you buy short-term rental property! Embrace Airbnb data and kiss the guesswork goodbye.

Home > Resources > Airbnb Investment >

Where to Buy Short-Term Rental Property: With Tips & Tools

Learn a systematic approach to your vacation rental search before you buy short-term rental property! Embrace Airbnb data and kiss the guesswork goodbye.

September 19, 2023

Embrace Airbnb Data and Kiss the Guesswork Goodbye

Finding the perfect short-term rental property may often feel like searching for a needle in a haystack. While some might rely on gut instincts or hushed words of mouth, savvy investors understand that the path to profitable returns is paved with data-driven precision.

There’s no stopping that the digital age will continue to reshape industries, and the real estate sector is no exception.

The days of blindly investing in short-term rentals are gone. This makes way for a more calculated approach supported by Airbnb analytics. And it’s not difficult at all! In this article, we will dive deep into how data will guide you where to buy short-term rental property. We’ll break down complex terms and show you the ease of relying on quantifiable metrics. So leave behind the uncertainties of hunches and fads because your Airbnb success is waiting, and it’s backed by data you can trust!

But First, Set Your Budget!

Admittedly, searching for the best short-term rental markets is an exciting endeavor. But getting carried away by the charm of a potential location without a well-thought-out budget may lead you to stress and even deep disappointment.

With some wiggle room, establish a budget beforehand. You may use your savings or Airbnb financing. Buying short-term rental property is not just about the purchase price. There are other expenses attached to it such as acquisition cost, maintenance and renovation costs, as well as other hidden costs. Finding the best vacation rental property for you but not being able to afford it in the end is a waste of time spent on it.

Where to Buy Short-Term Rental Property

Location is everything in any form of real estate investment. Be sure not to skip this because we’ll tell you what to look for in an Airbnb market. We’ll demonstrate the best tool for you to gauge the viability of any vacation market with the easy-to-use Airbticss Insights Tab!

Just by typing in your target city, you will know the key investment metrics of any Airbnb market! In fact, Airbtics is covering 54,000 visible markets globally, out of which 43,000 are verified. With these numbers, feel free to search a state, a city, or a neighborhood anywhere in the world.

Instantly, you will see this screen that shows all the important quantifiable Airbnb factors that can lead you to a profitable short-term rental property!

High Occupancy Rate

As in any other line of business, the demand for a product or service is crucial. It’s the same with a short-term rental. Launching a short-term rental business without understanding the demand is risky. And in the vacation rental industry, one metric to measure this is the Airbnb occupancy rate in your target city.

A high Airbnb occupancy rate reflects the booking activity in a market. In terms of demand, this refers to the level of interest of guests to seek short-term rental accommodation in your area. And you will want this to be as high as possible.

For instance, the Seattle Airbnb market has a high occupancy rate, whopping at 82%. This rate means out of the total length of time that all the properties are available for booking, 82% of that is booked.

Click the historical trends and see the peak season of the Seattle short-term rental market! As the data confirm, short-term rentals sell like pancakes during the months of July and August with 100% occupancy from the 50th percentile and above!

High Return on Investment

Assuming that you have found a market with a high short-term rental demand, it’s time now to gauge the return on investment. This answers the question, “Can the potential rental income justify the initial purchase price?” This helps you assess the financial viability of your short-term rental property.

This is where the gross rental yield can lend a hand. It is one of the measuring sticks for Airbnb property investments. To calculate it, you need to divide the annual rental revenue by its purchase price (annual revenue ÷ purchase price = Gross Rental Yield).

In our example, the Seattle Airbnb market has an average of $43,896 in annual revenue, while its median property price is $789,475. If we’re going to get the gross rental yield using this median price, this only results in 5.56%.

Of course, you want to maximize your return on investment. The workaround here is you can always go for a more affordable property! Luckily, real-estate websites like Redfin and Zillow allow you to search for properties on sale using their filters so you find one that matches your budget!

Find the Best of the Best Investment Property Using Airbtics Advanced Filters

Real estate websites do not monopolize the advanced filters. Quite the contrary, not all short-term rental analytics companies have these. But on Airbtics, it’s just business as usual for both Airbnb investors and hosts to utilize this feature.

Airbtics Advanced Features have led investors only to the most profitable locations. We have also given them comprehensive data that will guide them in finding the best Airbnb rental attributes in their markets. This way, their occupancy rate is higher than the market average. And in some cases, they can charge a higher nightly rate compared to their direct competitors!

Each Market Has The Best Property Type

Choosing the right property type for your Airbnb business can be a challenging decision. Each has its own unique set of characteristics. It is not as simple as flipping a coin to decide between offering an entire house or an apartment for your Airbnb accommodation.

The profitability of the two can significantly differ depending on the specific city and neighborhood where a rental property is located. “What is the Best Type of Property for Airbnb? (with 3 Sample Markets)” shows you a straightforward step-by-step guide to help you make an informed decision!

Find Your Market’s Optimal Property Size

1 to 6, that is the typical range that you can choose for the number of bedrooms. So instead of rolling a die, use Airbnb analytics to inform your decision before you buy short-term rental property. Same with the property type, it can vary depending on your target market.

The article titled “What is the Best Number of Bedrooms for Airbnb?” delves into the intricacies of this number’s game. It provides valuable insights and a data-driven approach to help you determine the optimal number of bedrooms for your specific location!

Swim in Profit or Drown in Loss

The decision to add a pool or buy a short-term rental property with one already on it is a significant one. It comes with both costs and potential benefits. Understanding the value a pool can add to your property in terms of attracting guests and potentially increasing nightly rates is crucial.

Leveraging data analytics, this article answers the question, How Much Value Does a Pool Add to Short-Term Rentals? By analyzing relevant data points and market trends, we offer insights into the potential fruits of having a pool on your Airbnb.

Soak in a Higher Nightly Rate or Sink in Additional Expenses

A question often asked on Airbnb forums is whether or not to plunge into investing in a hot tub. Is the allure of a bubbling and relaxing amenity worth the investment? Enhancing guest satisfaction which gives higher nightly rates seems a never-ending quest in Airbnb.

The article “Is a Hot Tub for Airbnb Worth It?” delves into the considerations and benefits of a hot tub for short-term rentals. It provides valuable insights to help investors and hosts make an informed decision that can lead to increased bookings, nightly rates, and guest satisfaction.

Let Data Drive Your Airbnb Property Search

Investing in short-term rentals used to feel like a leap into the unknown. Searching for the property to buy was often met with uncertainties and risks. Many investors relied on gut feelings or hearsay while hoping for the best. However, they faced disappointments along the way due to the lack of a systematic approach and a reliable tool to light their paths.

You now have the power of data at your fingertips which can transform your approach to your Airbnb property search. Imagine having to ability to make informed decisions about where to buy short-term rental property. Visualize potential return on investment, understand demand, and discover the best property attributes in your market using Airbtics. Your journey toward profitable short-term rentals starts right now!

Have you eyed a specific vacation rental and been wondering if it’ll be worth it? Then check its income potential with the most powerful Airbnb calculator!

Find a profitable
investment property

Use powerful analytics to discover lucrative & traditional Airbnb properties within minutes.

Find a profitable
investment property

Use powerful analytics to discover lucrative & traditional Airbnb properties within minutes.

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Airbnb Investment All About Airbnb

Best Areas in Leeds for Buy to Let Properties: A guide to Airbnb investments

Post author By Magdalena Jara
Post date September 14, 2023

Guarantee your investment success by investing in the best locations in Leeds for buy to let properties! Learn about this market in this article!

Home > Resources > Airbnb Investment >

Best Areas in Leeds for Buy to Let Properties: A guide to Airbnb investments

Guarantee your investment success by investing in the best locations in Leeds for buy to let properties! Learn about this market in this article!

September 22, 2023

Key Takeaways

For investors looking to cater to vacation rentals and student accommodations, Leed’s rental market offers a ton of investment opportunities. Many hosts were able to get a good cash-on-cash return just by listing their property on Airbnb.
We were able to identify Leed’s top buy-to-let areas with the help of the dynamic data provided by Airbtics. We also feature the best property types you can purchase, along with their gross rental yields and estimated annual income, among other datasets.

Introduction

Nestled in West Yorkshire, England, we can find the dynamic city of Leeds which stands out as one of the largest cities in the UK. Known for its rich history, vibrant cultural scene and solid economy, Leeds is a destination for those seeking to discover a thriving city that offers unique experiences and opportunities.

It’s undeniable that Leeds is an exciting destination to visit with its abundance of places of interest and fascinating cultural and architectural heritage. Leeds also provides appealing real estate investment opportunities that are sure to catch the attention of investors.

But in order to make well-informed decisions that will ensure your investment success, you should conduct thorough research and set clear goals before embarking on this journey. This is a crucial factor that shouldn’t be overlooked, especially if you want to invest in a top Airbnb location in the UK like Leeds.

In this article, we will mention some of the key factors that should influence your decision to invest in a rental property in Leeds as well as the best areas for buy to let investments. Have we captured your interest? If so, keep reading!

Why invest in Leeds real estate market?

Leed is a dynamic city that offers plenty of attractive investment opportunities that can entice property investors easily. But to get a better understanding of the city’s situation, it’s always a good idea to consider the benefits that the real estate market can provide for real estate investors.

Make sure to check out some of the reasons why investing in a buy to let property in Leeds is a good idea:

Strong rental market

One of the biggest advantages of investing in the real estate market of Leeds is that there will always be a strong demand for rental properties given that this city has a growing population and is a well-known tourist destination. Moreover, it’s home to prestigious universities that draw a significant influx of students. This means that Leeds is a great location to do a student property investment.

Additionally, Leeds is among the top cities in the UK for Airbnb investments. This, coupled with the housing market’s affordability, provides potential for consistent rental income and also a good rental yield for property investors who are aiming to invest in Leeds.

Solid economy and job market

Leeds is one of the fastest-growing cities in the UK and serves as a financial and commercial center of the region. With a booming economy and a strong job market, the city is truly a catch for professionals and investors alike.

The economy is sustained by diverse sectors, including manufacturing, finance, and technology. Moreover, many major companies and organizations are settled in Leeds, providing plenty of job opportunities. With its balanced economy, the city offers stability and great opportunities for both businesses and workers.

Great living conditions

It’s a given fact that Leeds is a striking city where residents and visitors alike can enjoy a high standard of living. The city spares no effort to provide great amenities like green spaces and outdoor recreational areas, shopping centers, sports and cultural facilities, among others. Leeds is also an excellent place for students since it’s home to renowned universities and educational institutions like the University of Leeds and Leeds Beckett University.

The city owns a strategic location within the UK and has a well-connected transportation system. On top of that, Leeds provides a relatively affordable cost of living compared to other major cities in the UK. Aside from the transportation cost and daily expenses, the housing market also offers different price ranges and property types. Currently, the average house price in Leeds is £253K.

Plenty of things to do

Welcome to Leeds, a city that will never bore you! We are just spilling facts since this destination has a lively and inviting atmosphere that will make you feel at home. The cultural scene in Leeds is one of its best features. There is no lack of museums, art galleries, theaters, and music venues in the city. But the icing on the cake are the Leeds Festival and the Leeds International Film Festival, which are popular occasions that attract people from all over the world.

Outdoor enthusiasts shouldn’t worry either because Leeds is also known for its parks and other recreation spaces like Roundhay Park. Additionally, the charming rural areas of Yorkshire Dales and the Peak District are close to the city and offer opportunities for hiking, biking, and other activities.

Is Airbnb profitable in Leeds?

Thinking of buying an Airbnb investment property or doing rental arbitrage in Leeds? This is a great idea because this city can help investors like you obtain a steady source of passive income.

Let’s dig a little into Leeds’ market – according to Airbtics’ calculator data, Airbnb hosts can earn an average revenue of £29,706 with a median occupancy rate of 82% for operating a 1-bedroom apartment in Leeds.

If you want to host guests in Leeds, you should also be aware of the city’s Airbnb regulations, so that you can manage your listings effectively without breaching the rules.

Source: Airbtics Dashboard

Prime Buy to Let Locations in Leeds, UK

As one of the largest cities in the UK, it’s understandable to have a hard time choosing the right place to set up your Airbnb property in Leeds because each area’s profitability will differ. But we are here to make this research less overwhelming for you with the aid of Airbtics!

Go ahead and check out the top areas to buy to let property in Leeds, UK:


Best Area	Number of Airbnb Listings	Best Number of Bedrooms	Median Property Price	Airbnb Annual Revenue	GRY
Holbeck	47	2 bedrooms	£228,000 (2 BR)	£43,105	18.91%
Headingley	67	3 bedrooms	£345,000 (3 BR)	£40,913	11.86%
Armley	47	3 bedrooms	£220,000 (3 BR)	£39,682	18.04%
City Centre	159	2 bedrooms	£325,000 (2 BR)	£37,674	11.59%
Leeds Dock	36	1 bedroom	£135,000 (1 BR)	£31,440	23.28%
Woodhouse	71	1 bedroom	£128,000 (1 BR)	£30,088	23.51%
Harehills	130	2 bedrooms	£115,000 (2 BR)	£29,834	25.94%
East End Park	57	2 bedrooms	£155,000 (2 BR)	£26,112	16.85%
Burley	49	1 bedroom	£150,000 (1 BR)	£24,577	16.38%
Burmantofts	43	1 bedroom	£142,000 (1 BR)	£20,541	14.47%

Best Area

Airbnb Dataset

Holbeck

Total Number of Airbnb Listings: 47
Best bedroom size: 2 bedrooms
Median property price (2 bedrooms): £228,000
Airbnb Annual revenue: £43,105
Gross rental yield: 18.91%

Headingley

Total Number of Airbnb Listings: 67
Best bedroom size: 3 bedrooms
Median property price (3 bedrooms): £345,000
Airbnb Annual revenue: £40,913
Gross rental yield: 11.86%

Armley

Total Number of Airbnb Listings: 47
Best bedroom size: 3 bedrooms
Median property price (3 bedrooms): £220,000
Airbnb Annual revenue: £39,682
Gross rental yield: 18.04%

City Centre

Total Number of Airbnb Listings: 159
Best bedroom size: 2 bedrooms
Median property price (2 bedrooms): £325,000
Airbnb Annual revenue: £37,674
Gross rental yield: 11.59%

Leeds Dock

Total Number of Airbnb Listings: 36
Best bedroom size: 1 bedroom
Median property price (1 bedroom): £135,000
Airbnb Annual revenue: £31,440
Gross rental yield: 23.28%

Woodhouse

Total Number of Airbnb Listings: 71
Best bedroom size: 1 bedroom
Median property price (1 bedroom): £128,000
Airbnb Annual revenue: £30,088
Gross rental yield: 23.51%

Harehills

Total Number of Airbnb Listings: 130
Best bedroom size: 2 bedrooms
Median property price (2 bedrooms): £115,000
Airbnb Annual revenue: £29,834
Gross rental yield: 25.94%

East End Park

Total Number of Airbnb Listings: 57
Best bedroom size: 2 bedrooms
Median property price (2 bedrooms): £155,000
Airbnb Annual revenue: £26,112
Gross rental yield: 16.85%

Burley

Total Number of Airbnb Listings: 49
Best bedroom size: 1 bedroom
Median property price (1 bedroom): £150,000
Airbnb Annual revenue: £24,577
Gross rental yield: 16.38%

Burmantofts

Total Number of Airbnb Listings: 43
Best bedroom size: 1 bedroom
Median property price (1 bedroom): £142,000
Airbnb Annual revenue: £20,541
Gross rental yield: 14.47%

Source: Airbtics Dashboard

Pro Book

Deeper STR Insights. Broader Investment Opportunities.

Want to go deeper, broader, and faster? Supercharge your Airbnb Investment by accessing the most in-depth Airbnb & real estate insights with our exclusive STR report.

Having trouble finding the best areas to buy to let properties?

Finding profitable rental markets can be a time-consuming task and we know that the investor’s time is valuable. For this reason, taking advantage of the many available resources for property investors to speed things up in this journey is a great way to start.

We recommend visiting real estate forums or doing a throughout research in search engines to find out which locations are drawing the investors’ attention in specific countries. This will also help you to sort your list and have a clear idea of which cities to focus on.

In addition, we encourage investors like you to make use of analytics tools to find profitable markets to invest in Airbnb, particularly those that can provide dynamic data.

Imagine exploring a city while getting useful info that can make things easier for you, it sounds like a dream come true, right? It’s possible with the Airbtics Dashboard since you can get a reliable dataset that will show you metrics like the average revenue, occupancy rates, nightly rates, and seasonality, among others.

But don’t take just our word for it, go ahead and take a look at Simon, an Airbtics customer, who was led to a new Airbnb market that generated more profitability than his previous one!

Just by typing the name of the city you want to target, you will be able to get important insights. However, if you’re not finding your desired area, you can also create a custom market.

You can go ahead and use filters to find out what type of property offers the most attractive profit in your preferred area. The best part of using dynamic data is that by moving and zooming in and out of your map, the data will also change accordingly.

This process can now be repeated until you decide what type of property would be a good investment in your target city or neighborhood. Compare data between different property types and you find out the option that suits you the best!

Enjoy a rewarding investment experience with the aid of Airbtics!

To sum up, we can conclude that Leeds can help investors and hosts secure a nice rental income by purchasing an investment property in specific areas of the city and then listing them on platforms like Airbnb. But, there are still many profitable cities to find, so don’t jump to a conclusion just yet. You should also explore more rental markets outside the UK as well!

While finding out the best areas for buy to let properties in Leeds is undoubtedly a good start, you should continue your research to make wise investment strategies. Use the best analytics tools and analyze the level of profitability of different markets with our Airbnb income estimator!