Whether your holiday lodge is for business or pleasure, it can have a positive affect on your overall sense of well-being as well as your bank balance. On average, the gross income of all holiday rental owners in the UK is around £950 million a year. Holiday rentals are most popular with families, who require flexibility in regards to meals, and activities during their holiday. Many opt for self-catering accommodation where they feel more at home, away from home. This way they can have flexibility with meals and meal times, space and comfort away from their home environment.
Return on Investment
There is lower risk with property investments compared to other investments due to lower interest rates and vulnerable stock markets which are looming our nation this era. Therefore, you will be able to own your dream holiday let, with a high yield, and pay less tax.
The holiday rental industry on average has around 30 weeks of occupancy per year, which gives scope to the return on investment possible. Surrey is one of the most popular locations to let during school holidays such as Summer, Christmas and New Year. A holiday lodge investment can bring you just as much income in the 6 weeks of Summer than a rental property can in a years long let. Plus, you can use it anytime you wish!
Be your own boss. You can rent out your holiday lodge when you like, and use it yourself or with your family and friends at other times. The ball’s in your court. You can generate income from your home, then when you decided to retire you may decide to either use your lodge to retire to, or you can pass it on to your loved ones. But for the time being, your lodge is generating an income, paying for your expenses and saving you money on other holidays.
No Extra Fees and Tax
As your new holiday lodge will be a holiday home, not residential, you will not be expected to pay stamp duty or land registry fees. As an investor, you will expect to receive tax-free returns. Therefore, everything you earn from your holiday lodge will be money in the bank. As our lodges come fully furnished, they count as furnished holiday lettings, therefore you may claim Capital Gains Tax, you are entitled to plant and machinery capital allowances, so the profits you make count as earnings for your pension.