Money & Banking

The new technology that allows you to grow your income and become an entrepreneur

The new technology that allows you to grow your income and become an entrepreneur

The cost of living is continuing to rise in Australia, but retirees’ don’t have the income to match it.

Naturally, they’re turning to a new and fresh source of income.

Seniors are increasingly renting out spare rooms, opening their doors to travellers and letting them into their homes to increase their finances and beat loneliness.

Australians aged over 60 are flocking to sites such as Airbnb and HomeAway to list their properties as the cost of living has a sharp bite.

On Airbnb, seniors are the fastest growing host demographic in Australia, raking in $158 million in 2017, new figures from Airbnb revealed.

Seniors group COTA Australia’s chief executive Ian Yates have said that older people are embracing modern platforms to supplement their pension or superannuation.

“It’s an obvious way for people who have the room to generate a bit of extra income, depending on where they live of course,” he told news.com.au.

“For the majority, the motivation is income based, but some also do it for the interaction with other people, meeting people from overseas and interstate.”

Airbnb Australia country manager Sam McDonagh agrees.

“Seniors are turning their empty nests into income engines allowing them to supplement their income and stretch savings further,” McDonagh explained.

However, the Insurance Council of Australia warned against relying on the host protection insurance offered from the different platforms, as there are gaps in the coverage.

Spokeswoman Lisa Kable explained that most do not cover loss or theft of personal items, cash, pets and public liability in shared areas.

“Householders who offer their houses or apartments on short-term holiday rental websites are likely to find they are not protected by home and contents insurance,” Kable said.

“I have heard frightening stories of homeowners returning after short-stay guests have departed to find a completely empty house or that their home has been used for illegal activities.”

Do you use Airbnb or HomeAway to rent out your spare room? Let us know in the comments.