Why now is a good time to buy a holiday lodge?

Whether you want to start a property portfolio or cash in on the rise of staycations, now is a great time to buy a fully furnished holiday lodge.

Annual returns on this type of investment over a five-year recovery period could soon mean you earn enough profits to invest in additional properties, or other business ventures you have in mind. A report published by Which? states that holiday lets in the UK earn, on average, a 10% yield on investment, and this could go up to 14% in the next year.

The property market is booming right now, and it couldn’t be simpler to get involved.

Why is now a good time to buy a holiday lodge?

Holiday lets are a quickly expanding market. Thanks to Brexit and the recent pandemic, the amount of people choosing to holiday within the UK has skyrocketed, with demand outstripping supply across the UK this summer.

Continued demand for staycation accommodation is expected to remain in summer 2022 as travelling abroad is looking likely to remain uncertain due to the ongoing factors associated with Covid, though more importantly the impact on travel restrictions has created further interest to many people looking to explore more of UK. Over 50% of people who took a holiday in the UK in 2021 have already booked a 2022 adventure.

Why buy a holiday lodge as opposed to a holiday house?

Buying a holiday lodge on an already established park ensures you will have the support and expert knowledge of the park owners behind you. Whilst you own outright the asset, the investment strategy offers a hands-free business for investors. The company’s management will take care of all marketing, bookings, cleaning, and maintenance. There are also options that allow fixed-return periods so that no additional costs are incurred.

Holiday Lodges, offers residential specification and luxury with their own outdoor terrace and private hot tubs, which are one of the most requested amenities when searching for holiday accommodation. With the right location, and sites performing with excellent holidaymaker reviews, you are guaranteed a return on your investment.

Holiday lodges are also exempt from Stamp Duty, and being a Furnished Holiday Let (FHL) benefit from capital allowances and tax breaks, allowing the landlord to maximise their returns.

Here at Holmeshaw we work with an extensive developer who has over 45 years history in the market. This allows us to see the histroical revenue and occupancy levels of existing sites, as well as those which have been fully redeveloped to meet the high standards, and desirability that people require today. This adds further peace of mind knowing your returns are proven.

A brand new residential built holiday lodge will start at around £160,000 and come fully furnished and decorated to a high standard, with car parking.

How to start the simple process of buying a holiday lodge

If you are considering buying a holiday lodge, you’ll be pleased to know the process couldn’t be simpler.

Holmeshaw, offer a range of fabulous properties in which to invest, and the team here is on hand to help along each step of the way. With marketing material, video walk-throughs, and of course the chance to visit the sites and lodges. Holmeshaw will ensure you have full clarity throughout the whole process.

What’s the catch?

Most purchases are cash as lodges are not fixed-built assets, and therefore standard mortgages are not applicable. Whilst the purchase is of high value the returns support a strong five-year investment.

The asset wouldn’t have the same capital growth associated with residential bricks and mortar, however, commercially there is the potential for the asset to increase in value aligned to the revenue generated., as the investment model does operate as a business. For further security, the company also offers a guarantor on the returns and a no-fee exit strategy, which can offer upto 47% ROI over a five year period, much stronger than any forecasted capital growth.

For more information click the image above, or drop us a line at info@holmeshaw.com