WHAT IS A ROOMING HOUSE ?
A rooming house is a residential property that provides individual rooms for rent to multiple tenants. These rooms often include their own ensuite and, in some circumstances, may include a kitchenette.
Unlike leasing an entire apartment or house, tenants in a rooming house rent a single room, which makes it a more affordable housing option for people with a limited budget or limited access to the housing market.
“At Accommodation Innovation, our goal is to help investors achieve the best returns with as little stress as possible. We provide a straightforward, end-to-end solution for converting your house to a Class 1b rooming house. Our services cover everything from desktop evaluations and rooming house design requirements to permits, construction, finance, and turnkey furnishing.”
WHY CHOOSE A ROOMING HOUSE?
HIGHER RENTAL YIELDS
Instead of renting to one tenant or family, you lease individual rooms, often improving your overall rental income exponentially, compared to traditional rentals.
REDUCED VACANCY RISK
Even with occasional vacancies, a property can maintain its cash flow by leasing multiple rooms separately, thereby, reducing the risk.
STEADY DEMAND
Affordable housing is always in demand, particularly with the current rental shortage in Australia. Rooming Houses appeal to students, young individuals in casual or part time work, professionals traveling for work, newcomers to the city and people seeking short-term accommodation.
CASH FLOW SECURITY
Utilities and furnishings can be bundled into the rent, making the tenancy more attractive. Tenants often stay longer due to affordability and convenience.
POTENTIAL FOR INCREASED VALUE
Converting a standard home into a rooming house can significantly increase its value and income potential. Often, minimal construction works are required, therefore investors may refinance based on the higher value.
UTILITY AND MAINTENANCE COST
Since fixed costs like mortgage payments, taxes, and property maintenance remain relatively the same, the extra income directly increases your cash flow.
TAX AND DEPRECIATON BENEFITS
Rooming houses often qualify for greater depreciation/deductions than standard single tenancy homes. Depending on location and whether certain requirements are met, potential land tax exemptions may apply to registered rooming houses.
WHAT WE CAN DO FOR YOU
Whether you have a single or double-storey home, or a property on a large or small block, we can collaborate with you to adapt your design by converting your dwelling to a rooming house.
Every property is unique, and we take the time to create layouts that make the most of your existing space, all while delivering strong rental returns.
Many investors experience weekly rental income that can be more than three times higher than with a traditional lease. By converting your property, you can significantly boost average residential yields, achieving stronger cash flow and long-term growth.
WHY WORK WITH US
At Accommodation Innovation, we take pride in delivering seamless, end-to-end solutions for investors looking to maximise returns through rooming house developments. Our team handles every stage of the process – from feasibility and building permit to construction, furnishing, and project completion, ensuring a smooth and stress-free experience. Let us handle all aspects relating to the conversion including the preparation of plans, Class 1b Building Permit, Performance Solutions & construction.