Holiday homes are paying off

With international travel on hiatus for a while yet, New Zealanders have set their sights on domestic travel, and the market is booming. Coupled with what seems like a collective desire for a simpler lifestyle post-Covid, the Kiwi bach is more appealing than ever.

With the economy faring better than initially forecasted, New Zealanders are looking domestically to spend their extra cash and satisfy their unwavering desire to explore.

Regional locations that may have always been on the list but took a back seat to the lure of foreign travel are reclaiming the interest of the Kiwi traveler. It constitutes a significant shift and doesn’t look to slow down. And with that, demand for baches is at an historical high, making the modest Kiwi bach a potential gold mine for savvy investors and existing holiday homeowners alike.

Kai Iwi lakes. Photo / Getty Images.

Bachcare’s Marketing Manager, Tara Toman highlights the diverse circumstances of their client base. “Some have had the bach in the family for years, some who are new to renting and others who have been self-managing but has proved too much to handle alone.”

In what has been a remarkable year of challenges, it could be said the boom is partly attributed to the desire of New Zealanders to lead a life less chaotic, recalibrating and refocusing our priorities. The Kiwi bach with its notions of family and nostalgia, embodies a philosophy of simplicity. Tara adds “The Kiwi bach, or crib for our Southland friends, is as ingrained in our culture as jandals and sunburn, it offers an escape.” And escaping we are, in droves.

In the recent July holidays alone, Bachcare reported bookings up 83% on last year and owner rental income up om 57% year on year. Data from Tourism New Zealand shows the number of New Zealanders outside of their home region peaked at 550,000 on July 11. And with this, a growing number of homeowners are listing their holiday homes. Enforced saving together with historically low interest rates have forged a renewed interest in holiday home ownership. The Far North, Coromandel, Raglan, Otago, Nelson and the Bay of Plenty are seeing strong demand, but baches across New Zealand are enjoying the upward trend.

The benefits of owning a bach need little explanation, however, the untapped financial potential of a bach is an attractive prospect, and Kiwis are catching on. The numbers make for some appealing reading. Bachcare’s top performing properties earned an average of $63,133 gross rental income between September 28th 2019 through to October 2nd 2020”, highlighting the potential of baches to be financially self-sufficient.

Bachcare has long been the go-to for Kiwis looking to book their home away from home. With a comprehensive network and knowledge of the industry, they are seeing a vast increase in the number of new listings to accommodate the unprecedented demand. Tara explains “We like to make things as simple as we can for our owners, give us the keys and we’ll do everything else.”

Hokianga Harbour. Photo / Getty Images.

Bach self-management has historically been a time consuming and complicated affair, Bachcare offers a superior alternative. An owners’ portal giving precise tracking of a property’s calendar and more. With a dedicated website for new owners, Bachcare gives a comprehensive introduction and explanation of the listing process. With a team of New Owner Advisors, making the initial step and beyond seamless. The team’s invaluable knowledge is applied to oversee professional photos, pricing and expected occupancy. Holiday Managers across the country take care of meet and greets, cleaning and manage guest queries during their stay. Every aspect of the booking process is managed and delivered effortlessly.

Maximum exposure is a given. Properties are not limited to the Bachcare website but can be managed across all major listing sites like Airbnb, Bookabach, Holiday Houses and Booking.com. This is one of numerous ways they seek the most coverage of their clients’ properties. And it’s fruitful for their bach owners. Tara cites Bachcare Owner Charlie Dent, whose bookings were almost all wiped out by Covid-19 restrictions. “Bachcare did a great job of making sure we replaced our lost income and then some. Our bach is looking busy for the summer season ahead and we love that it is being well cared for at the same time.”

Following what has been an onerous winter for many, the summer is promising renewed optimism and continued demand for holiday homes. And this summer looks set to be the best yet.

For more information, visit www.newowners.bachcare.co.nz or call 0800 42 22 42.

This content has been created in partnership with Bachcare.