Doctor Chau Ong, a doctor of pharmacy not medicine, has put down the white coat and picked up the Airbnb app. Now he’s a millionaire.
But he didn’t follow the traditional Airbnb playbook. “I don’t do vacation rentals,” Chau says. “Vacation rental means short-term stay. They can damage your homes. Why? Well, they’re vacationers. They party, they go crazy, right? So, if you want financial freedom, do mid-term rentals.”
Read on for my review.
“Or what I call corporate housing,” Chau continues.
“What’s that? Corporate housing is basically for traveling medical professionals; people who work on the internet for a living and need a place to stay; also, it’s for insurance housing, where families need a place to stay because maybe their home got damaged due to a natural disaster, right? And insurance pays super well.”
“But that’s what’s gotten me to where I’m at today, which is financially free. It’s not long-term, not short-term, but mid-term.”
So what are the main advantages of providing medium-length stays for folks?
Well, you’re booking more nights at once. This means steadier cash flow.
And then, less bodies in and out means less wear and tear, less maintenance, less customer support, less administrative tasks. Someone checks in, they get what they need, they’re good to go. Right? Like, you don’t hear from ’em for an entire month.
Different clientele too. You’re talking doctors, engineers, nurses, families – not concert goers and spring breakers and groups of friends who wanna cut loose for the weekend.
“With mid-term rentals, these people, they pay up front,” Chau explains. “And in my six years doing this, I’ve never had one eviction for corporate housing. I did have to do that for a vacationer before. But corporate housing, it’s a big company who usually pays the bill. Okay?”
“The other difference is pricing per night. With short-term rentals, yes, you can charge a lot per night, but, your occupancy is so low. For vacationers, it’s usually only about 30-40%. Think about it. There’s only four weekends in a month, which is when most people travel.”
“But with corporate housing,” Chau differentiates, “you rent out two, sometimes three months at a time, on average. So with that, your occupancy rate is actually double. It’s about 70-80%.”
“Plus, you charge by the month. It’s less headache, less work – for more guaranteed, more consistent income.”
“Also, with vacation rentals, you can only operate in destination cities. Whereas corporate housing, you can do pretty much anywhere there’s people; medium-sized cities; wherever there’s a hospital; wherever there’s companies or houses that need repairs.”
Just to recap, according to Chau, corporate housing means better clients, more options, more markets to work in, more consistent pay, fewer problems and just smoother sailing overall.
And you can use it to make six- or even seven-figures, like Chau here, as long as you get four things right.
First, pick the right location. Are there professionals traveling there for work? Or is it in an area prone to storms, heavy snow, high winds, fires, floods, etc.? Cool, then it’ll probably work well for corporate housing.
Second, you gotta find a home some landlord’s trying to rent out for the long-term, and get ’em to agree to you using it for corporate housing.
Third, you gotta market it effectively.
And then fourth, you gotta decorate it so that it pops, and it’s inviting for your intended audience.
From there, rinse, repeat, and watch the money flow in.
Want Chau to mentor you? That’s what his Beyond BNB Secrets course is for.
Book a call with Chau to find out what it costs.
Or tap below to discover digital real estate.