Short Stay Accommodation in Strata Property: Friend or foe? Part 2

Last week we discussed some of the disadvantages associated with short stay accommodation. In this week’s blog, we discuss some of the ways short stay arrangements have benefited consumers, property owners and strata communities alike.

Short-stay accommodation, facilitated primarily through platforms like Airbnb, has brought about a significant transformation in the hospitality industry. While there are concerns about its impact on strata properties in Victoria, Australia, it’s essential to recognise that short-stay accommodation also offers several benefits to both property owners and the local economy.

One of the most notable advantages of short-stay accommodation is the potential for increased income for property owners. Many individuals and families have found a new source of revenue by renting out their properties for short periods. This additional income can be especially valuable for property owners facing financial challenges or seeking to make the most of their investments. It allows them to leverage their property as an asset, potentially offsetting mortgage payments, maintenance costs, and property taxes.

Short-stay accommodation can also boost the local economy by attracting tourists and travellers who inject money into the area. Visitors often spend on dining, shopping, entertainment, and other local services, thus contributing to the growth of local businesses. This can have a positive cascading effect, creating employment opportunities and promoting economic development within the community.

Furthermore, the rise of short-stay accommodation has expanded the range of accommodation options available to travellers. Traditional hotels may not cater to every traveller’s preferences or needs, making short-term rentals a welcome alternative. This variety fosters healthy competition within the hospitality sector, encouraging hotels and short-stay hosts alike to continually improve their offerings and services.

The flexibility offered by short-stay accommodation benefits both property owners and guests. Property owners have the freedom to utilise their property as they see fit, either renting it out during peak travel seasons or using it themselves when convenient. On the other hand, travellers gain access to unique, personalised spaces that often reflect the local culture and atmosphere, enhancing their overall travel experience.

From an urban planning perspective, short-stay accommodation can contribute to the efficient utilisation of existing housing stock. Properties that might otherwise remain vacant can be put to productive use, reducing pressure on the need for new developments. This aligns with sustainable living principles, as repurposing existing properties can help manage urban sprawl and minimise environmental impact.

By facilitating cultural exchange and interactions between locals and travellers, short-stay accommodation can enrich the community experience. Guests often seek local recommendations and insights from property owners, fostering a sense of connection and cross-cultural understanding. This can lead to the creation of lasting memories for both hosts and visitors.

Additionally, short-stay accommodation platforms often provide insurance and rating systems that enhance safety and accountability for both hosts and guests. These features can help mitigate potential risks associated with hosting strangers and ensure a level of trust within the community.

In response to the growing popularity of short-stay accommodation, some strata properties have embraced this trend by adapting their policies and management strategies. This adaptability demonstrates the ability of strata communities to evolve with changing market trends and consumer preferences.

In conclusion, short-stay accommodation in strata properties in Victoria has several benefits that should not be overlooked. These advantages include increased income for property owners, economic stimulation for the local community, a diverse range of accommodation options, enhanced flexibility, efficient use of existing housing stock, cultural exchange, and safety measures provided by platform regulations. While challenges associated with short-stay accommodation should be addressed, a balanced approach can ensure that both property owners and the community can enjoy the positive aspects that this evolving industry brings.