The Australian property market shows clear demand for serviced apartments, with strong rental yields contributing to their popularity. Investors view them as a secure and stable option, and the benefits of using serviced apartments include advantages over traditional residential properties, such as diverse tenant profiles and attractive returns
Benefits of Using Serviced Apartments
One key benefit is the potential for consistent rental income. Serviced apartments are often leased on a short-term basis to business travellers, tourists, and corporate clients, generating a steady income stream. Additionally, these apartments typically achieve higher rental yields than standard residential properties, providing more profitable returns.
Another major advantage is the lower vacancy rates that serviced apartments tend to enjoy. With prime locations and desirable amenities like gyms, pools, and concierge services, these properties are in high demand. As a result, the risk of vacancies is reduced, offering investors greater security.
Mortgage Street offers products like Progressive, Receptive, and Liberal which accept serviced apartments as valid security. These properties must meet the minimum living area requirement of 20 sqm. For apartments below 20 sqm, Mortgage Street can offer a tailored solution to suit the investor’s needs.
For more detailed advice and financing options, speak with one of Mortgage Street’s accredited brokers. Their expertise can help guide clients through the process, ensuring that investment decisions align with broader financial goals.
By choosing serviced apartments as an investment, borrowers can secure a reliable income stream, reduce vacancy risks, and diversify their property portfolios with profitable assets in Australia.