Coromandel holiday properties are among the country's biggest earners. Photo / Supplied
Coromandel holiday properties are among the country's biggest earners. Photo / Supplied
Coromandel property owners are benefiting from record revenues from renting out their properties over summer.
New figures from holiday home management firm Bachcare show the top areas for rentals during summer are Abel Tasman/Nelson, Raglan, Wairarapa and Northland in fourth - followed by the Coromandel.
Bachcare says the highest incomes per booking can be found at properties in areas such as Hahei, Whitianga, Waihi Beach and Pauanui.
It says thousands of Kiwi residential property owners have benefited from a surge in domestic tourism numbers, earning up to $81,000 annually by renting their holiday homes out - earning up to three times the regional average for rental properties.
Pauanui property owners are getting good money from renting out their homes and baches. Photo / 123rf.com
Destination Hauraki Coromandel general manager Hadley Dryden said he was "not surprised with this result for holiday homes".
"With so many Kiwis unable to travel offshore, good weather and being a two-hour drive from over 50 per cent of the national population, we're a natural holiday choice."
He said the restrictions in overseas travel had helped tourism numbers during summer.
People were also more focused on seeing and spending time with their whanau after a tough few years.
"People come to enjoy the good-for-your-soul lifestyle that our region is known for. Holiday homes fit into the relaxed vibe of the place and they're perfect for those wanting to enjoy quality time with loved ones.
"For the long term, we need to do the best we can to look after the place. We're working on the region's first Destination Management Plan at the moment, this will provide some direction for the future."
Latest figures from Bachcare show property owner rental returns are up 14 per cent on the previous year and up 39 per cent on pre-pandemic levels as Kiwis holidayed at home with the borders closed.
The summer season, which ended in March, set a record for the most accommodation bookings - up 4 per cent on the previous year and a 15 per cent increase on 2019 levels.
Forecasts based on forward bookings suggest the 2022-23 year will surpass previous years and may lead to a shortage of short-term rental accommodation in some areas.
A record has also been set for the highest annual revenue for a single property - a Mount Maunganui home earning $81,000, the equivalent of more than $1500 a week, and about three times higher than the average Bay of Plenty rental property that is tenanted for the full year.
Hahei Beach. Photo / NZME
Bachcare spokeswoman Zaina Razzaq said the holiday home rental industry contributed hundreds of millions of dollars to regional economies nationwide annually.
She said while the latest tourism industry figures show domestic tourism expenditure increased 2.6 per cent ($622 million) to $24.6 billion, holiday home rental revenue growth in the same year was up 23 per cent.
"We know that 90 per cent of domestic leisure travel in New Zealand is by car and holiday home rentals appeal to a segment of the local market focused on lifestyle, primarily water-based activities.
"For residential property owners, particularly those in coastal regions that are within driving distance of large urban centres, this has provided a growing opportunity to supplement their incomes.
"According to our data covering over 2300 holiday homes, the regions that earn the highest average income per booking during the summer are Abel Tasman/Nelson, Raglan, Wairarapa and Northland.
"At a town level, the highest incomes per booking are found at properties in Hahei, Mount Maunganui, Whitianga, Waihi Beach, Pauanui, Matarangi and Mangawhai Heads.
"If we look at the top-earning property as an example of what appeals to domestic travellers, the primary drivers behind its high rental returns are its location, capacity and quality. The property has uninterrupted sea views, four bedrooms, two bathrooms, sleeps up to 10 people, and offers additional amenities such as free Wi-Fi."
Razzaq said despite the reopening of borders and international travel, for the coming year they are forecasting further annual growth.
"We know there will be a segment of the market looking to travel overseas but early indications from forward bookings are that this will be another bumper year for holiday home owners and regional tourism.
"With many Kiwis choosing to holiday locally and an expected influx of international tourists later in the year, we are expecting higher demand than ever for holiday home rentals.
"At peak times like this, there is a shortage of supply and we are actively looking to expand the number of properties we manage," she said.
Meanwhile, Whitianga features in Airbnb's list of top domestic destinations. Ranked by searches by New Zealand guests so far this year (minimum of 10,000 searches), the list is: Lake Tekapo, Canterbury; Ohakune, Manawatū-Whanganui; Whitianga, Waikato; Martinborough, Wellington; Cardrona, Otago; Wanaka, Otago; National Park, Manawatū-Whanganui; Raglan, Waikato; and Twizel, Canterbury.
Airbnb said new Kiwi hosts made just on $42 million in revenue in the past two years, an average of $8000 each.
