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If you’re considering an investment property, the world of short-stay rentals is emerging as a strong contender especially when you combine it with the quality offering of a premium prefabricated home. Here’s why.

The short-stay market is performing strongly

  • In New Zealand’s key markets, short-term rental income is considerably higher than traditional long-term rentals. Economists estimate yields for Airbnb-style properties can reach around 10% or slightly more, compared to about 3.9% for standard long-term rentals. NZ Herald+1

  • For example, in Christchurch the median annual revenue for short-stay listings is around NZD 46 000, with an occupancy rate of about 72% in the last year. Airbtics | Airbnb Analytics

  • In Queenstown the average daily rate reaches NZD ~$358 and median annual revenue of about NZD $59,715. Airroi

Why a prefabricated home fits perfectly

  • Lower purchase price than a conventional build means your capital is working sooner and the threshold to income is lower.

  • Premium finish and design deliver the kind of guest experience that earns bookings, positive reviews and repeat stays — critical in the short-stay market.

  • Faster income potential: once delivered and operational your property starts earning, rather than waiting for a conventional build to complete and lease.

  • Flexibility: situate it on a suitable block, target high-quality stays, and benefit from tourism, business travel or holiday-home demand.

How to make it work

  1. Choose a location with strong short-stay demand. Look for high occupancy, good ADR (average daily rate) and favourable short-stay regulations.

  2. Design for guest experience. High-quality furnishings, modern amenities, efficient check-in/out performance and strong online presentation all matter.

  3. Plan your costs and returns. Use data-driven market benchmarks: e.g., Christchurch market revenue, Queenstown ADR etc., then subtract costs (maintenance, utilities, platform fees) to project net yield.

  4. Manage effectively. Guest experience, reviews, dynamic pricing and housekeeping are key — they drive occupancy and rates.

  5. Stay compliant. Ensure you meet local regulations for short-stay accommodation (for example zoning, consents, fire & safety).

A clear investment case

When you compare:

  • Long-term rental yields in NZ: ~3.9%. NZ Herald

  • Short-stay yield potential: up to ~10% or more in well-selected markets. RNZ+1

By choosing a smart, prefabricated home — positioned correctly, managed well — you’re tapping into one of the higher-return property investment pathways available today. And the beauty is: you’re offering something exceptional, not just “another rental”.

Final thought

Your next investment doesn’t have to be a standard house or long-term lease. It could be a show-piece that people choose for their holiday or escape. A home that pays for itself — and then delivers profit. If you’re ready to explore how a luxury prefabricated home could work for you, we’re here to help.