There is a perception that short-term rental is a seasonal business, with most profits reaped during the summer months. However, data shows that revenue from renting on Airbnb in Cyprus is an all-year round affair, with great opportunities to be made off-season! Let’s take a look at all the reasons why you should be renting out your property in Cyprus throughout the year.
The growth in Cyprus tourism
As we have already discussed, Cyprus tourism industry is experiencing a new golden age. Tourism has been growing at a steady 15% rate over the last few years. The targets set by the Cyprus government for reaching 4 million visitors per year and generating proceeds of €3.5 billion by 2025 look to be achieved much sooner. Coupled with the growth of a new type of tourist, Airbnb rentals are on the rise and present fantastic opportunities for home-owners in Cyprus to monetise on their property investments. In fact, by renting out your spare bedroom in Limassol on Airbnb, you can have earned an average of €6500 during the last 12 months.
Cyprus as an all-year-round destination
While Cyprus is certainly not turning its back on the traditional ‘sun and sea’ model, it is definitely moving to reposition itself in the holiday market to provide a more diversified and ultimately more sustainable product. From sporting events such as yachting regattas, to rustic retreats in the country side, eco and wine-tourism, Cyprus has upped its game in promoting what it has to offer. A key growth segment is rural tourism, which has flourished in Cyprus and offers a range of great options from boutique country retreats to rustic village houses, giving travellers a unique way to experience the island life. Short holiday lets through global brand names such as Airbnb, are offering authentic experiences for tourists and business visitors alike, contributing to the growth of the market.
More Business travellers
Supporting these impressive figures of tourism growth is also Cyprus’ return to a strong economic growth of almost 4%, and a renewed investor confidence. This means a significant increase in the flow of funds into the island. Whether it’s luxury marinas, a new generation of financial and start-up companies, or the €550 million casino resort project, business travellers and investors are coming to Cyprus in drones. Coupled with the rise in the “bleisure” tourism, where visitors blend their business and leisure trips, Cyprus is the perfect destination to stay back a few days after the meetings are done, to enjoy the sunshine and explore the island. As these visitors are often traveling on company budgets, this represents an interesting opportunity for the Superhosts and owners of luxury apartments in Cyprus.
Cyprus conferences industry is also booming. From blockchain, to Forex, to shipping and Fintech festivals such as Reflect, Cyprus is a global hub for industry events. Usually these conferences happen off-season – during the spring and autumn months. With an influx of speakers and attendees from around the world, there is a huge opportunity for local hosts to generate an income, while also showing these visitors the meaning of Cypriot hospitality.
Less supply, higher prices
Let’s recall the basic rule of economics – where there is demand and less supply, the prices rise. It seems that a lot of hosts in Cyprus don’t see the opportunity of having an all-year-round listing on Airbnb, and only make their property available during the summer months. This means that only the savvy ones are left to benefit from the visitors coming to Cyprus during the rest of the year. Looking at the market data of rentals in Limassol, we can see that there is plenty of opportunity to generate an income on Airbnb throughout the year. Interestingly, the higher-priced properties, experience a higher uplift in revenue during the summer months, but the average priced ones saw less of a variation. Properties that are at the bottom-end of the price range saw an even flatter revenue curve between between the peak months and the rest of the year.
Don’t lost out on the growing opportunity of hosting an Airbnb in Cyprus.
Get in touch with our team for a free consultation today.