In a rooming home, each tenant rents their own room or suite, often with a private ensuite, and shares common areas such as the kitchen and laundry. In Queensland, rooming accommodation is regulated, and homes must be designed and approved for that use.
Why investors look at it
- Several rents from one property, which can add up to more than leasing the whole house
- A broad tenant pool, including students, young professionals and workers
- One vacant room doesn't leave the whole property without income
What to weigh up
- Management takes more time than a single lease, so fees are usually higher
- Council approval, building rules and insurance requirements apply
- Compare net returns after all costs, not just the gross rent