Last updated on June 21st, 2023
airbnb property for sale adelaide city centre
Are you looking to invest in a property where you can maximize profitability in a particular region? If yes, then it’s certainly a must to consider the major things to look out for when buying a property for Airbnb. While Airbnb rental arbitrage in Adelaide is fairly popular and does not require you to purchase a property, it’s still the best to learn about buying a property for Airbnb and making sure that it’s profitable.
Aside from a property’s fascinating architectural design, proximity to major tourist areas, and accessibility to the best go-to places, the primary step is to determine profitability. Airbnb occupancy rates in Australia vary according to their respective cities and it’s important to learn more about these metrics before you begin.
In this article, we’ll discuss the Airbnb metrics in order to gauge the best property investment, specifically when buying a property investment in Adelaide, Australia. This includes the best website recommendations for property investment, defining property gross rental yield, cash-on-cash return, and monthly revenue, along with some of the most ideal and profitable properties according to their location.
Adelaide is known for plenty of wondrous festivals and sporting events, its coastline and hills, and of course – food and wine! This city boasts affordable real estate property prices that are almost half of that of major cities such as Sydney. In addition to this, Airbnb rules in Adelaide state that it’s legal to operate as long as it is registered and approved by the commission.
Since Adelaide is crowned as the 3rd most liveable city, it’s no wonder that it has become a haven for property investment.
Is Property Investment Profitable in Adelaide City Centre?
Australia is known to be one of the fastest-growing property markets across the globe. This means that the country has a wide variety of profitable property investments offering higher yields. Using an Airbnb calculator, it was discovered that a 3-bedroom apartment in Adelaide City Centre can generate an annual revenue of A$49,963 with a steady occupancy rate of 42% and a nightly rate of A$309.
airbnb property for sale adelaide city centre
Profitable Properties for Sale in Adelaide City Centre
Finding the best properties that have the potential to produce high yields and capital growth are certainly some of the preferences of major investors. It’s always best to ask for assistance from real estate agents to access exclusive and unique properties during the development stage.
At the same time, it’s even better when a property investor like you conducts research about predicted growths and market forecasts. Here are some of the profitable properties in Adelaide City Centre along with the calculated gross rental yield, cash-on-cash return, and annual revenue:
301/304 Waymouth Street, Adelaide SA 5000
1. Studio-type Property for Sale Adelaide
2 min walk to the City West Campus of the University of South Australia
Asking Price: A$129,000
| GROSS RENTAL YIELD | 16.88% |
| ANNUAL REVENUE | A$21,772 |
| CASH ON CASH RETURN | 24.87% |
160 Rundle Mall, Adelaide SA 5000
2. 1-Bedroom Property for Sale Adelaide
Near Rundle Mall Shopping Complex
Asking Price: A$125,000
| GROSS RENTAL YIELD | 34.49% |
| ANNUAL REVENUE | A$43,109 |
| CASH ON CASH RETURN | 77.69% |
111/61 Hindmarsh Square, Adelaide, SA 5000
3. 2-Bedroom Property for Sale Adelaide
Close to Adelaide Convention Centre
Asking Price: A$295,000
| GROSS RENTAL YIELD | 17.90% |
| ANNUAL REVENUE | A$52,799 |
| CASH ON CASH RETURN | 27.93% |
George Crawford Road, Crewe, Cheshire CW1
4. 3-Bedroom Property for Sale Adelaide
3.2 miles to Sandbach
Asking Price: A$240,000
| GROSS RENTAL YIELD | 25.60% |
| ANNUAL REVENUE | A$61,438 |
| CASH ON CASH RETURN | 47.96% |
5. 4-Bedroom Property for Sale Adelaide
Located just around the corner from Walkley Park Reserve
Asking Price: A$495,000
| GROSS RENTAL YIELD | 20.96% |
| ANNUAL REVENUE | A$103,767 |
| CASH ON CASH RETURN | 37.12% |
Conclusion
Since Airbnb is rapidly increasing and constantly changing for each city in the world, it is crucial to make decisions based on wild guesses. The data points mentioned in this article for Adelaide such as Airbnb occupancy rates, annual revenue, and average daily rate should be the primary basis before investing in a property.
Hence, if the data presented above has given you ideas to boost your strategic pricing plan for your business, then an Airbnb rental arbitrage calculator is certainly what you need for success in the long run. It’s a fact that some of the STR investors are also considering Airbnb Rental Arbitrage, but they still need to have a reliable data tool on to base their conclusions!
As we live in a digital era, an accurate data analytics tool can help your business stand out among your surrounding competitors and benchmark your property by tracking the occupancy rates of competing listings in your preferred city.
