What is Serviced Accommodation?
Serviced accommodation is the popular property strategy everyone’s talking about. But what exactly is it and how does it work? Simply put, serviced accommodation is property that offers hotel-like facilities on a short-term basis. Accommodation services can include furniture, housekeeping and kitchen facilities to provide a ‘home away from home’ sentiment. Investors typically let serviced accommodation to tourists or working professionals looking for short-stays on a night-by-night basis. Guests could be contractors who work away Monday-Friday and need somewhere to stay during this period.
Is Serviced Accommodation Worth It?
Serviced accommodation can be a great investment strategy and has been known to yield great returns for property investors. This is because it allows investors to capitalise on a booming market (tourism) that is already picking up speed post-lockdown. Whether you are buying the property or letting it out on a rent -to-rent basis, serviced accommodation can be very lucrative. Here’s how a previous Assets for Life candidate and mentee, Laura North, has grown her serviced accommodation from the ground up to £96, 000 profit a year: