Purchasing a property for short-term rental is one of the most rewarding decisions investors are making today. It is the perfect way to boost and diversify investment portfolios. Short-term renting is a growing business and surely one that is very lucrative. As opposed to buying properties suitable for long-term dwelling in exclusive residential communities across the Bahamas, investors are brilliantly looking at these fine areas to secure developments that they can rent out for a short period of time. Unfortunately, not all of the private Bahamian communities allow short-term renting but investors are constantly scoping the island to find those that do. This is because the benefits of short-term renting are quite difficult to pass up on. Here are some of the great advantages that come along with owning short-term rentals located in private Bahamian areas:
1) Exclusive communities are in demand
While it can be risky to invest in something that depends on the occupancy of others in such a fluctuating economy, clever investors have found the key to owning short-term rental properties in the Bahamas: LOCATION. Banking on properties in gated communities like Delaporte Pointe, Lyford Cay, and others that allow the activity is the ideal way to ensure a greater return on the investment because these areas are basically in-demand. The quality of a rental is important. Tenants are looking for rentals that are positioned in a peaceful, secluded, and safe district. Most gated-communities in the Bahamas also feature lots of convenient luxury amenities and can be found nearby relaxing beaches or other touristic landmarks. Buying properties that can give renters the most to revel in during their stay is a tactic that razor-sharp investors are using when looking to own short-term rentals. The concept is extremely profitable.
2) Booming short-term rental market
Despite the Covid-19 pandemic, the market for short-term renting in the Bahamas has been stronger than ever. Trends show that travelers, whether visiting for holiday leisure or business, prefer to rent places they can have to themselves due to wanting to maintain social distancing. Locals are even looking for unique places to can enjoy an unsurpassed short-term staycation. With popular facilitative platforms like Airbnb, it is easy to advertise these types of rentals to the expansive crowd of people looking to rent. Reservations for short-term rentals are skyrocketing and the thriving market poses a clear threat to the hotel industry. The opportunities are everywhere and savvy investors have recognized the value in buying properties to make available for short-term renting.
3) Flexibility is allowed
This type of investment allows flexibility. Not only can money be made while they’re not present, owners can also decide when they want to make their places available and how much they would like they rent it for. From a strategic aspect, it is safe to say that investors look for properties they’d personally take pleasure living in. Say you’d like to stay in your own rental for a while…. Why not! With no one occupying it for long periods, it’s quite likely you’d find time to choose which days you want to stay there and make the best of it.
4) Friendly laws & taxation
Tax laws in the Bahamas can make a short-term rental investment decision even more attractive. Fortunately, there aren’t any government restrictions that can put a limit on the value of a rental or in other words, what can be charged. Additionally, with it being a form of generated revenue, it is a major pro that property owners do not face income tax.
Our Team Can Help
Thinking about making an investment? Consider the perks of a short-term rental property. Contact BE Luxury today and get connected with an expert advisor to help you determine if it should be your next financial decision. With the best knowledge on the ideal gated communities that would allow temporary tenancy, our team could make the process towards ownership an absolute breeze.