facebookBeen seeing ads for 'Big Tiny', an SG-based company that lets you buy a tiny house in AU/NZ for ~$80k and rent it on Airbnb for high yield (up to ~27% p.a.). Does anyone here own one? - Seedly

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Anonymous

13 Jun 2021

Property

Been seeing ads for 'Big Tiny', an SG-based company that lets you buy a tiny house in AU/NZ for ~$80k and rent it on Airbnb for high yield (up to ~27% p.a.). Does anyone here own one?

Is owning property in Australia or New Zealand really that easy? And if the rental yields are that high, would anyone really want to invest in a 120-200 sqft house? It's a rather interesting concept, and I'm wondering why it doesn't seem to come up in conversations more often.

Discussion (5)

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I invested in one and it's a great concept. S$120k investment (they have lower investments also) invested for 2 years will give you a guaranteed yield of 8% a year and 5 yrs 10%. They then give you the intotial investment back after period of investment. In this climate 10% per annum tax free is pretty sweet. They build the trailer home in Malaysia and ship to Australia, NZ. Cost to do this would be a fraction of $120k investment. They then agree with a farmer to put on their farm for free. Farmer covers electricity, water, changing sheets etc in exchange for 30% of revenue. Investor gets 10% of investment (works out as 5 nights rental) and Tiny home takes their cut from the rest. Pretty clever.

Risks could be:

  • Big Tiny can't collect enough rent per month to cover the payments.
  • Competition from other rental homes,
  • government clamp down on tiny homes / mobile homes.
  • downturn in economy reducing demand for short holidays.

so far so good though and enjoying $1000 a month tax free revenue income stream.

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Hi there, I don't own one, but I had checked them out before. Apparently, the tiny house is not tied as a "house" so u do not need to wry about those ABSD, property tax, etc. They are like a house on wheels, it is movable to different places (e.g. farms/lakes,etc). And lately, they have different plans (fixed and variable) but it has its own catch. This concept is relatively new, as they only started in 2017 and the variable plan only started less than a yr. Apparently, the variable plans are the ones to have more returns.

You can just give them a call and arrange an appointment with them at Yishun to see their "tiny house" and understand more about them. Their contact staff is very friendly and so no harm to check it out.

Their website is: https://www.bigtiny.com.sg/

I know of someone who supposedly spoke to the founders. from my understanding, it operates in a nich...

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