How do i buy a holiday let?
We are looking to invest in a holiday let but dont really know where to start, if anyone has done this and can offer any advice it would be appreciated.
Asked on Sep 7 2010,
General in Hemel Hempstead |
We bought a holiday home in Orlando but made sure it was where we could get a long term let, lol we only stayed in it twice. it has rented out since the day we marketed it for rent and hasn't let us down yet. In this country I would imagine you would have to do the same research we did. Look for area, demand, good agent to market property and look out for your best interests. Do a google search and you will find lots of helpful websites.
Answered on Sep 9 2010,
Paradoxically, don't buy a holiday cottage in the area where you like to go on holiday, thinking you'll use it some of the time and let it the rest of the time. It's much easier to manage a holiday cottage close to your home. We do this and let it through an agency (English Country Cottages in our case). ECC operate an owner discount scheme so we can book any cottage in any of their brochures for a discount. Think about the level of involvement you want. Do you want to do your own marketing and bookings - although the big brochures charge about 25% of takings as commission, most people earn more this way than by doing their own marketing. Do you want to clean the cottage 20 -40 times a year, or pay someone else to do it, and pay them £30 -£40 per time. Do you want to do the laundry, or pay someone else to do it. Meeting and greeting and being 'mine host' is an important part of the job. I suppose the general point I am making is that running a successful holiday let is more like runninng a bed and breakfast business than like letting property on shorthold tenancies. The other point I would make is be sure that you understand the tax system for holiday lets which is quite different to that for let property and is in the process of being radically changed by the coalition govt.
Answered on Dec 31 2010,
Didn't find what you were looking for? Ask a question
More General in Hemel Hempstead questions on AskMe
See more AskMe Q&A about General