Which area offers the best rental opportunities for Airbnb? Is it even a good investment?
Answers
I like to tell you about three areas in Canada that are among the best rental chances for Airbnb, as well as a terrific investment opportunity.
One of these areas is Whistler, situated amongst the Coastal Mountain Range. It’s two hours north of Vancouver, British Columbia.
After the 2010 Olympics, Whistler has gained popularity and turned into a true 4 season resort. It hosts some of Canada’s most prestigious sporting events and activities, such as The World Ski and Snowboard Festival, Crankworx, and Iron Man. There is barely a weekend without a significant event which almost ensures you’ll be packed every weekend throughout the year. It annually receives above 3 million visitors and has 3310 active vacation rentals.
Canmore in Alberta, in my opinion, stands in second place and is easily one of the top Airbnb markets in Canada. The downtown core of Canmore is one hour west of Calgary, beautifully surrounded by the Rocky Mountains. It’s a unique but underrated vacation rental community.
What makes Canmore a great market is government regulation. Vacation rentals are legal in Canmore, which creates a golden opportunity. It has 1226 active vacation rentals with over 2 million visitors a year.
My third suggestion is Tofino is on the Western Coast of Vancouver Island, British Columbia. Tofino stands out above its weight against Canada’s top vacation destinations, a pristine and quaint surf town.
The low number of rentals and unmatched guest experiences can compete nationally. With only 369 rentals and more than 600,000 thousand annual visitors, it has less than half the active rentals of any other town on this list which is how it can maintain such strong occupancy and ADR.
Unlike what others may say, it’s possibly a good investment, however, bear in mind that there’s a lot more management overhead than with a regular rental. You’ll also have to take care of things like electricity, water, and laundry. You may consider it to be a part-time job.
Before you start, be sure you know the risks involved. Learn about the advantages and drawbacks and see whether it’s a good fit for you by getting to know a few people who do it. Also, it is best to be as close as possible to your house’s area. It should ease the management.
It’s not so much about which country you live in; it’s always profitable to invest in Airbnb! If you choose to buy properties as an investment, it’s logical to use them as an Airbnb option. Imagine a beach house you’ve purchased in a different city or another area. You only use it in a few months or weeks of the year. Putting it as an Airbnb option could give you earnings that you can never take from a regular long-term tenant.
So yes, investing in Airbnb is a profitable option!
But when it comes to spending thousands of dollars on a property, you cannot act recklessly, can you?! If you’re about to buy a property and use it as an Airbnb option, it’s essential to be mindful of some facts. The fact is the area where your property is located counts as a determinative element that affects the rental prices.
The cities with affordable housing costs are better for you as an investor. Plus, the attractions and amenities of the area are other critical aspects that you need to pay attention to as a future Airbnb host.
Here are the top Airbnb markets in Canada:
• Vancouver
• Montreal
• Toronto
• Whistler
• Canmore
• Tofino
• Niagara Falls
• Kelowna
• Quebec City
Located in the middle of Coastal Mountain Range, two hours north of Vancouver, British Columbia, Whistler has obtained a high amount of popularity after the 2010 Olympics and turned into a fabulous four-season spot. Whistler hosts some of the most high-class sporting events and activities in Canada: the World Ski, Snowboard Festival, Crankworx, and Iron Man. The significant events taking place almost every weekend guarantees your resort to be rented throughout the year.
Canmore is one of the leaders in the Airbnb markets in Canada. With a one-hour drive from west of Calgary, the downtown core of Canmore is situated in the exquisite Rocky Mountains. Canmore is a tremendous yet underrated rental region. Its neighbour community, Banff, is quite known to the public. What makes Canmore a fantastic investment opportunity compared to Banff is the government regulations.
Unlike in Canmore, vacation rentals are forbidden in Banff. This gives Canmore an excellent chance to take advantage of the massive need for accommodation in Banff.
It should be noted that Canmore is a charming vacation destination itself. Known as a pristine and quaint surf town, Tofino is situated on the Western Coast of Vancouver Island, British Columbia. Tofino is competing as an underdog on this list and is pushing the boundaries against Canada’s top vacation destinations. The low rent price and the unparalleled hospitality are why it can compete with the big guys in Canada. Comprising 369 rentals, half the active rentals of other towns on this list have enabled Tofino to provide a strong occupancy and ADR.
Unlike what others may say, it’s possibly a good investment, however, bear in mind that there’s a lot more management overhead than with a regular rental. You’ll also have to take care of things like electricity, water, and laundry. You may consider it to be a part-time job.
Before you start, be sure you know the risks involved. Learn about the advantages and drawbacks and see whether it’s a good fit for you by getting to know a few people who do it. Also, it is best to be as close as possible to your house’s area. It should ease the management.
