What is the Occupancy Rate in Canberra for Short-Term Rentals?
Canberra sits in high authority as an established hub for accommodation demand – from our government sector, tertiary institutions, defence base, business travelers and holiday goers. This constant need puts us in a great position to take advantage of visitors needing a place for short-stay.
According to data from AirDNA, the occupancy rate in the Capital has held steady at 78% over a 12 month average to March 2022. Giving promise toward a consistent growth should investors take advantage of the gaps to invest in short-stay.
Source: AirDNA
The findings shown demonstrate Canberra rising above all other major cities during this period – while others battle ongoing pandemic restrictions and changes. The unique nature of our city positions us well to take advantage of our needed place in the market.
With the occupancy rates holding firm, it beckons nightly rates for short-term rentals to also climb. Since Jan 2021 there has been a steady increase from $170 to $209 average nightly rate by March 2022. For the everyday investor, this could mean $6,270 a month instead of $5,100 gross income based on these median figures.
Source: AirDNA
The outlook for short-term rentals is bright for investors, and we now have the ability to look at where is best to invest money around Canberra to utilise for maximum return – the below illustrates the last year’s figures from June 2020 to June 2021.
| Suburb | Average Occupancy Rate |
|---|---|
| Braddon | 84% |
| Turner | 83% |
| Belconnen | 78% |
| Kingston | 78% |
| Gunghalin | 77% |
| Barton | 77% |
| Bruce | 77% |
| Campbell | 74% |
| Phillip | 74% |
| Lyneham | 74% |
Source: AirDNA
The inner-city suburbs hold the most lucrative results, with no surprise as the central zones for business and tourism. The nightly price for one to three bedroom apartments (as of June 2021) in the Inner South and North, Belconnen, Woden and Gungahlin offer best opportunity for the short-term market.
With the rise of short-term rentals predicted to only increase, it is a worthwhile opportunity to explore. And with end-to-end management services like Guested, we utilise our industry expertise to guide your property to success.
With Canberra short stay properties offering an average of 30% higher returns than traditional long term leasing along with relatively high occupancy rates and flexible use of your property, short-stay is becoming a lucrative offering to take the hassle out of management and putting wealth into your reality.
Get in touch to find out if your property is suitable.