Anyone bought a holiday home as an investment/source of income

[Melly]

Was wondering if anyone has done this. I'm toying with the idea of buying a holiday home to let out, have seen something for sale on rightmove website. I'm trying to work out whether it would be a good investment. Anyone doing this, if so what are the advantages/pitfalls? Any ideas or advice would be very welcome. Thanks.

it could work if its a well sought after holiday area.

where is it you are looking at?

I know a bit about this subject(work-wise), what area are you thinking of?

We have a holiday home in Spain but it is not as simple as it sounds.

To be fair, we didn't buy it as an investment or income but as a holiday home for us, family and friends to use, as and when.

Its been a dream of ours for the last 20 years and we have waited a long time for this.

I think the key to it all is 'location, location, location' just like in England! If you plan to buy an apartment alongside hundreds of other apartments, all being rented out, you will find it hard to realise a good rental income from it. the rental season is very short anyway (school holidays and the summer season). Of course, it depends on where you plan to buy.....

The taxes do add up... far more than you first think. For instance in Spain, you have to pay tax on rental income even if you don't rent it out! Admittedly its only a nominal amount!

However, the apartment next door to us has just sold for 100,000 euros more than we paid for ours 18 months ago so we did make the right choice about the location.

Good luck with it!

If you plan to rent it out you need to have someone handling the maintenance/cleaning locally who you can trust or even just to keep an eye on thinsg whiel you are n't using it. Some countries place an annual tax liability on the value of the property as well as any income it generates.

Agree about location being important. Some currently fashionable areas are getting saturated with investment buyers and new builds for holiday lets, like Bulgarian ski resorts, and resale may become harder - locals can't afford them and the way the climate is changing the ski season will get shorter so rental demand will decrease, therefore noone will want to risk buy-to-let in the longer term. Also people are buying atm near smaller airports to where low cost airlines fly from UK but these routes are not guaranteed more than 6 months ahead so make sure you would still have reasonable access to a main airport or port too.

My mums friend brought an apartment lest year in a gated complex. The whole place was done over just before Xmas, they took everything from nearly all the places, clothes, furniture the lot.

the place I have asked for the details of is in cornwall, near calstock/Tavistock. It is on an established holiday park. I live in Plymouth so it's about 15 miles away.

my mum bought an apartment in bulgaria her friend owns 3 complexes there they are really nice i will send you the flyer through email if you like she is really happy with it and has already took loads of bookings for the summer

I think the fact that it is on an established holiday park will make a big difference for renting it out.

I suppose it is all about the sums, potential rent, length of season, upkeep, site fees/ maintenance charges.

I am still at the looking stage so cn't offer much help.