First time posting here.
My wife and I rent in Sydney but we have an investment property in Melbourne which is currently being rented out on an airbnb and managed by a company. It’s a 2 bedroom 1 bathroom unit in an inner city locale about 3 km away from the CBD.
The number of airbnb listings in melbourne seems to be tripling by the year, and right now the property is honestly not making a lot of money for us. The few hundred dollars we pay the company each month (20% of all bookings) actually left us out-of-pocket. In the past, we could comfortably finance the shortfall without any worries as our jobs were pulling in more than a 100K a year after tax. However, things are about to take a dramatic turn as my current employer has requested me to leave the firm. Revenues have dried up with automation and my skills/knowledge are now good-for-nothing. I’m the main income earner so this is a 70% loss of income for us.
I am considering temporarily moving to Melbourne to manage the property myself as I can no longer afford paying the manager 20% of my revenues (more than $600 a month). I thought if i rented out the 2 rooms and did all the cleaning myself, I could probably turn in a small profit each month, which would help our finances tremendously. My plan is to:
- Rent out both rooms on airbnb if possible. If both rooms are taken, I’ll just stay at a local hostel for $20 a night.
- I’ll come in everyday between 10 pm - 3 pm to do laundry, cleaning, etc. I have a storage cage in the carpark to store extra towels and linens.
- Have a list of backup laundry service companies (I found one who can clean an entire place for just $49) for emergencies and handymen for repairs.
Is the above plan workable? The one problem I’ve yet to find a solution for is how to receive guests and clean when i’m travelling back to Sydney (I’ll have to travel back 10 days a month to see my wife). Most things can be automated, but its hard to automate key exchange, walkthrough and boots on the ground for emergencies. If I find a co-host, what would be an ideal arrangement and remuneration structure? Room rates are low in Melbourne. If i average a mininmum 3 night booking, I could probably offer $59 per changeover - I’m not sure if that’s an acceptable rate for a host to do key exchange, changeover and also clean the bathroom.
Thoughts appreciated. Thanks.