The benefits of owning a holiday home

There are so many benefits to owning a second home that it’s hard to know where to start but here are the top things that owners agree on.

Getting away from it all whenever you like, as often as you like

Having a place that’s all yours that you can escape to when you need a break from regular life is pretty magical. You can get away for some quality time with that special someone, spend weekends with friends or get the whole family together for memorable holidays all year round. And you can do it as often as you want. No booking, planning, flights, baggage restrictions or airport queues required, just instant relaxation as soon as you arrive.

Staying in a place that ticks all the right boxes

We’ve all had holidays where the accommodation has been a let-down or the location turned out to be on a flight path, but, with your own place, there are no nasty surprises. You already know you love the property and the area – because you chose it! Not to mention that you have all your home comforts around you.

Trying new things, exploring new places, making new friends

When you spend a week somewhere new, you probably don’t even scratch the surface of all the things to do in the area. When you own a second home, you can explore every single square inch of your location and have time to try as many (or as few) new activities as you like. You’ll probably get to know your neighbours and become part of the local community, too.

The option to earn additional income

You’re probably considering a second home because you want to enjoy the benefits yourself, but if you know there will be long periods where your property stands empty, you could rent it out on a short- or long-term basis and reap the financial rewards.

With luxury lodges, for example, many of the developments and resorts have management teams that will handle the entire letting process for you.

Obviously, there are associated financial and maintenance costs with letting any property that would need to be carefully considered. We’d always advise getting professional advice.

The different types of second home

There are so many different types of holiday home and second home to choose from; it all depends on what you’re looking for and why. Will it be a long-term investment, a much-used second home, an occasional holiday retreat or a source of rental income? Are you looking for something permanent to pass down to the next generation or something you can sell on in a few years’ time? There are options for all of these.

Non-permanent homes: lodges, caravans and chalets

Non-permanent homes - for example, holiday lodges, chalets and static caravans - can be a low-maintenance, low-cost entry point to second home ownership. With this type of property, there’s no stamp duty or council tax to pay; they tend to be lower maintenance and have lower running costs than a traditional bricks and mortar property; they are often sited on developments that have a huge range of onsite amenities; and you’re likely to be joining a community of likeminded people. Plus, it’s fairly straightforward to sell your property on when you no longer want or need it.

In terms of other costs, there may be an annual service charge to pay but it does mean that someone else is responsible for painting the fences and fixing the outside light! And, if you’re looking for ‘help to buy’, many holiday resorts and lodge developments have a range of finance options.

Permanent homes: flats, houses, bungalows and apartments

While the upkeep and initial outlay costs can be higher, a ‘bricks and mortar’ property can be an excellent long-term investment. Particularly if you’re planning to enjoy your second home for many years – or you’re thinking of passing it down through the family. There are, of course, some financial implications such as the stamp duty surcharge when purchasing; and capital gains and inheritance tax when selling on, so make sure you consult a financial advisor.

You could also buy a second home and rent it out long-term to supplement your main income or pension. If you’re not a cash buyer, the mortgage types available for second homes vary depending on whether you plan to rent your property out or not, but a mortgage adviser will be able to help you weight up your options.

Hopefully we’ve helped you think through some of the pros and cons of owning a second home. If you need some inspiration, check out some of the fabulous UK locations, that are just waiting to be explored.