Short term holiday let market is particularly thriving at the moment with Second Estates reporting that the average income per booking is up 6.4% in the first 4 months of the year compared with last year, at the same period.
The UK now has £165,000 holiday let properties, with the average resulting annual rental income of £22,281 in 2016. This is double the average annual rental income of £11,052 for residential properties. According to the report the typical holiday let property generates £1,200 weekly, practically six times the weekly rent in the UK.
The rise in holiday home income is a result of higher rentals during school holidays, Summer, Easter and Christmas perios. This counteracts the times of the year where the property is not tenanted.
The fastest rental growth areas in the UK in the first 4 months of 2016 were the South of England (+17.3%); Cornwall (14.5%) and Devon (8.9%). This increased rental income is being driven by growing demand for short term stays in popular UK home destinations.
The study has proven that the number of overseas visitors increased 7% in the first 3 months of 2016 and the quantity they spent was up by 11%. There was a record number of visits to the UK in 2016, with around 37.6 million oversea visitors producing in the region of £22.5 billion to the UK economy.
Alistair Malins, CEO of Second Estates, said: “The weak pound is persuading millions of Britons to remain in the UK this summer and attracting more overseas visitors to the UK. The strength of the UK tourist industry is paying dividends for holiday property owners.”
Do you own a caravan or holiday home? Are you covered?
At Sharrocks, we have over 45 years’ experience in issuing insurance for UK holiday home properties and we work within a region of the South East synonymous with UK holiday makers.
Our policy is designed to be flexible covering owner occupied and let holiday properties including static caravans, and without any “unoccupancy clause” meaning the property can be left unoccupied for any length of time. Many insurers are unable to cover let properties and will often restrict the period the property is vacant for to 60 days only. We have ambitious plans to develop our offering for UK holiday makers over the next few years.”
To a receive a quotation simply complete our online quotation form Holiday Home and Static Caravan Insurance Quotation, call our friendly team on 01795 580800 or visit Holiday Home Insurance Online Quotation