Mail Online / This Is Money - Holiday Lets

ended 12. October 2021

A journalist at the Mail Online / Thisismoney is writing an article on whether now is the best time to buy a holiday let. 

With the market potentially calming down after the 'staycation summer', is October/November the best time to buy a holiday let as there may be less competition and market ‘buzz’? 

The journalist is also seeking views on the fact that the availability of mortgage deals for holiday lets has roughly doubled in the past year due to demand. Will buyers this autumn benefit from better rates? 

Keep your responses short and to the point! Deadline is tight.

6 responses from the Newspage community

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Doug Miller
Director at Lansdown Financial Services
"Whilst the staycation buzz has subsided with consumer confidence in foreign travel returning, holiday lets remain one of the hot topics our clients wish to discuss at the moment. With the ability to use the property yourself for up to 90 days per year (depending on the mortgage lender), whilst having a property that then more than pays for itself the rest of the year, many see this as a great investment and it's hard to argue when holiday lets generate such good returns. Many holiday lets are seasonal investments, so whilst the market may be cooling right now it is not necessarily the best time to buy as the property may remain empty until Spring 2022." Finding a holiday let in areas that are desired year round, such as the beautiful city of Bath, are proving the go to destinations for those seeking a great year round return on their investment.
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Lewis Shaw
Founder & Mortgage Expert at Shaw Financial Services
"Would I buy a holiday let? No. Should you buy a holiday let? Probably Not. Despite a huge rise in the deals available for holiday let mortgages, that is merely lenders doing what lenders do, adapting to the market at the time, to capitalise on the available business. Surely noone is so shortsighted to think that when travelling restrictions ease (which they will) we're all going to continue to go on expensive little jaunts to the coast when we can have almost guaranteed sun, warm seas and cold beer abroad for a fraction of the cost?"
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Joe Stallard
Director and Advisor at House and Holiday Home Mortgages
As specialists in the holiday let/holiday home sector, October always tends to be a busy month once people are back at work following their summer holidays. Many will have been inspired by their stays and now want to understand how to get their own UK holiday let. With lenders returning to the holiday let mortgage market, there have been some recent signs of rate improvements, which should only make things more attractive for those looking to own their own holiday property. "We've not yet seen signs of a slowdown even after the stamp duty holiday ended and expect the next month or so to be busy as people find the right property to invest in."
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Joshua Gerstler
Chartered Financial Planner / Owner at The Orchard Practice
"The number of enquires we have received for Holiday Let mortgages has fallen rapidly over the past few months. With people now able to travel overseas again, perhaps the shine has been taken off this sector."
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Scott Taylor-Barr
Financial Adviser at Carl Summers Financial Services
"Mortgage deals for Holiday Lets have increased in availability and wherever there is choice for the consumer there is competitive pressures on the supplier. As a result, we have seen the costs (both rates and fees) on these deals fall as availability increases. I'm not sure that the slowing of the staycation boom will have any immediate impact on the cost of buying a holiday home: you would need those that have purchased them to be looking to offload them, so we're likely a few years away from that happening. However, even if we do see lots of people selling their holiday homes in the future, they are properties in some beautiful locations around the UK and there is nothing (with some exceptions) saying these have to be holiday homes - they are just houses and apartments in nice places. So many will simply be absorbed into the local property market."
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Kate Allen
Owner at Salcombe Finest
"In any normal year, the fading sun would be reflected in the dwindling demand for coastal holiday homes. But 2021 brings a powerful list of prospective buyers with multi-million pound budgets as strong this Autumn as it was 6 months ago, however stock is incredibly limited. We are aware that the lure of foreign travel beckons as le soleil is guaranteed for les touristes, but given current booking levels for 2022, the UK as a holiday destination will be de rigeur for at least another year and rental incomes will be lucrative."