Last updated on June 21st, 2023
airbnb property for sale Brooklyn City Centre
Brooklyn draws millions of tourists annually because of its interesting restaurants, bars, and museums which makes it worth visiting. Aside from being the home of iconic NYC attractions such as Coney Island, the Brooklyn Bridge, and Prospect Park, it also serves the best New York pizza!
Before deciding to purchase a property in Brooklyn, it’s certainly important to consider the major costs and revenue. While rental arbitrage in Brooklyn is fairly popular and does not require you to purchase a property, it’s still recommended to learn about buying a property for Airbnb in the future and making sure that it’s profitable.
Before getting started, it’s also essential to consider the Airbnb rules in Brooklyn in order to operate an STR business without worrying about breaching the laws.
Source: Manhattan Rentals
Over time, Brooklyn homes and townhouses have increased in value. Based on a market report in Brooklyn, there is also an increase of 13.7% in new leases excluding renewals. This can also be related to the fact that there are plenty of millennials who keep moving from the densely populated and expensive Manhattan districts to the nearby neighborhoods in Brooklyn that are up-and-coming.
Airbnb occupancy rates by city state that an average host in Brooklyn can earn up to $37,836 during the peak seasons of September. With over 7,454 Airbnb listings in Brooklyn, it’s certainly a catch for property investors.
Aside from looking at 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. In this article, we’ll discuss the metrics in order to gauge the best property investment.
This includes the best website recommendations for property investment in Brooklyn, property gross rental yield, cash-on-cash return, and annual revenue, along with some of the most ideal and profitable properties according to their location. Stoked to learn more? Continue reading!
Is Property Investment Profitable in Brooklyn City Centre?
According to a recent report by PropertyShark, home prices in the highly-coveted Brooklyn neighborhood have exponentially decreased since last year. Using an Airbnb calculator, it was discovered that a 2-bedroom property in Brooklyn City Centre can generate an annual revenue of $109,612 with a steady occupancy rate of 88% and a nightly rate of $335.
airbnb property for sale Brooklyn City Centre
Profitable Properties for Sale in Brooklyn 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. Some of the favorite neighborhoods in Brooklyn are Dyker Heights, Midwood, and Greenpoint. Here are some of the profitable properties in Brooklyn City Centre along with the calculated gross rental yield, cash-on-cash return, and annual revenue:
1. Studio-type Property for Sale Brooklyn
0.2 miles to Ps 186 Dr Irving A Gladstone
Asking Price: $110,000
|GROSS RENTAL YIELD||25.29%|
|CASH ON CASH RETURN||50.12%|
2. 1-Bedroom Property for Sale Brooklyn
0.1 miles to Helen M Marshall School
Asking Price: $105,000
|GROSS RENTAL YIELD||24.93%|
|CASH ON CASH RETURN||49.01%|
3. 2-Bedroom Property for Sale Brooklyn
0.2 miles to Ps 157 Grove Hill
Asking Price: $150,000
|GROSS RENTAL YIELD||24.25%|
|CASH ON CASH RETURN||46.97%|
4. 3-Bedroom Property for Sale Brooklyn
Near Howard Beach
Asking Price: $199,000
|GROSS RENTAL YIELD||22.84%|
|CASH ON CASH RETURN||42.76%|
5. 4-Bedroom Property for Sale Brooklyn
Very walkable to Springfield Garden
Asking Price: $270,000
|GROSS RENTAL YIELD||24.47%|
|CASH ON CASH RETURN||47.65%|
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 Brooklyn 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 which 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.