• Privacy policy
  • T&C’s
  • About Us
    • FAQ
  • Contact us
  • Guest Content
  • TLE
  • News
  • Politics
  • Opinion
    • Elevenses
  • Business
  • Food
  • Travel
  • Property
  • JOBS
  • All
    • All Entertainment
    • Film
    • Sport
    • Tech/Auto
    • Lifestyle
    • Lottery Results
      • Lotto
      • Set For Life
      • Thunderball
      • EuroMillions
No Result
View All Result
The London Economic
SUPPORT THE LONDON ECONOMIC
NEWSLETTER
The London Economic
No Result
View All Result
Home Lifestyle

Will The Holiday Let Boom Will ‘Level Out’ Beachside Towns?

UK holiday let property investments have prospered as working patterns have changed, with a widespread remote working set up offering employees more flexibility.

Keith Ayago by Keith Ayago
2021-06-03 10:23
in Lifestyle
FacebookTwitterLinkedinEmailWhatsapp

Staycations: An Enjoyable Investment 

The UK’s holiday lets market has seen a huge boost driven by temporary restrictions on international travel due to pandemic. UK holiday let property investments have prospered as working patterns have changed, with a widespread remote working set up offering employees more flexibility. Long weekends and staycations are set to continue long after the pandemic abates, providing landlords and property developers confidence that they will see high rental returns.

Holiday lets are more attractive to workers who are looking for the most economical way of using space more efficiently, as less of their time will be consumed in an office. As enforced frugality has led to many employee’s savings increasing, and workers are looking to invest in working in more spacious environments with outdoor space. Many workers will be weighing up whether they: a) move to a new house further away from central cities, b) buy a holiday home to retreat to at the weekend, or c) upgrade their existing property. Or, if workers do not have the means to invest in a property, they may look to let a holiday home out to work from for long periods of time.

Where are Holiday Seekers Looking to Stay?

Due to the pandemic, demand for suitable holiday homes in desirable locations across the UK is at an all-time high. Traditional ‘bucket and spade’ resorts, such as Margate are seeing an increase in new business thanks to the pandemic, as locals living inland are frequenting the beach more regularly.

Families generally retreat to beaches, where children can enjoy the space and freedom it provides. Cornwall, Devon, Cotswolds, Norfolk coasts, Hunstanton, the Isle of White, Dorset and Brighton are all popular with UK tourists. However, in these sought-after locations, demand is outstripping supply, which is why some ‘micro-beaches’ such as Folkestone, Plockton, Barton-on-Sea and Robin Hood’s Bay have seen an increased interest as a result of the pandemic. 

A Surge of Growth: Towns a Commutable Distance From London

In addition to these locations, some of the less well-known locations will generate tourism, namely towns commutable distances from London near the south coast such as Chichester, Wickham, and Bognor Regis. Some areas that were previously not in vogue, but are within a commutable distance from London may see an upswing in property values. largemortgageloans.com specialises in financing commercial developments. Paul Welch, CEO of largemortgageloans.com comments, 

“For the foreseeable future, people are looking to buy a spacious retreat near to the countryside where they can escape on a Thursday, returning Monday when they need to be back in the office.” 

RelatedPosts

Reform’s Darren Grimes ‘left red faced’ after police deny urging him away from local surgeries 

How Quickly Can I Get a Doctor’s Appointment in London?

People are celebrating the anniversary of the ‘least accurate thing anyone ever wrote about Brexit’

The Happiness Hormones: What They Are and How to Get More of Them

Seaside Towns are Levelling Up

Residential findings in Q4 2020 revealed growth in the middle of the UK, and counties surrounding London stepped to the forefront of people’s property search. People are seeking coastal retreats near their homes, rather than seeking the same overcrowded hotspots. “I expect that beach resorts will see some ‘levelling out’ over the next few years,” says Paul Welch. “If you have a house in Crawley, you may visit Brighton for a long weekend, and if you live in Horsham, you may be drawn to Chichester. Similarly, if you live in Essex, then you might invest in Clacton-on-Sea.” The silver lining is that destinations that once appeared run-down will become destinations where people come to spend money. There is likely to be an increase in pop-ups and new businesses hoping to capitalise on the increase in footfall. If you are renting a holiday let out 40 weeks a year, ultimately this will increase the property value. 

New Lenders Enter the Holiday Lettings Market 

More lenders are offering holiday let mortgages due to increased confidence in the holiday lets market. Interest rates for borrowing vary from 2.99% 3-5% (with some additional fees). Niche building societies are competing in a market that has awoken after laying relatively dormant. Loan to value ratios average approximately 75% (depending on the financial profile and potential income forecasts). When lenders assess a holiday let application, they will work out what the rental income will be, based typically on 30 weeks per year. Depending on where the property is located they will work out an average rental income based on high, medium and low seasonality. Holding a holiday let within a Limited Company is a more compelling proposition due to the potential tax savings. Maintenance, marketing and general costs can be offset against your rental income. The holiday let boom could be where we all end up taking our business zooms….

Subscribe to our Newsletter

View our  Privacy Policy and Terms & Conditions

About Us

TheLondonEconomic.com – Open, accessible and accountable news, sport, culture and lifestyle.

Read more

SUPPORT

We do not charge or put articles behind a paywall. If you can, please show your appreciation for our free content by donating whatever you think is fair to help keep TLE growing and support real, independent, investigative journalism.

DONATE & SUPPORT

Contact

Editorial enquiries, please contact: [email protected]

Commercial enquiries, please contact: [email protected]

Address

The London Economic Newspaper Limited t/a TLE
Company number 09221879
International House,
24 Holborn Viaduct,
London EC1A 2BN,
United Kingdom

© The London Economic Newspaper Limited t/a TLE thelondoneconomic.com - All Rights Reserved. Privacy

No Result
View All Result
  • Home
  • News
  • Politics
  • Lottery Results
    • Lotto
    • Set For Life
    • Thunderball
    • EuroMillions
  • Business
  • Sport
  • Entertainment
  • Lifestyle
  • Food
  • Travel
  • JOBS
  • More…
    • Elevenses
    • Opinion
    • Property
    • Tech & Auto
  • About Us
    • Privacy policy
  • Contact us

© The London Economic Newspaper Limited t/a TLE thelondoneconomic.com - All Rights Reserved. Privacy

← European local councillors in the UK join forces to fight for rights ← Fizzing takedowns as Tim Martin wants looser EU immigration rules due to staff shortage
No Result
View All Result
  • Home
  • News
  • Politics
  • Lottery Results
    • Lotto
    • Set For Life
    • Thunderball
    • EuroMillions
  • Business
  • Sport
  • Entertainment
  • Lifestyle
  • Food
  • Travel
  • JOBS
  • More…
    • Elevenses
    • Opinion
    • Property
    • Tech & Auto
  • About Us
    • Privacy policy
  • Contact us

© The London Economic Newspaper Limited t/a TLE thelondoneconomic.com - All Rights Reserved. Privacy

-->