You are here: Home - Uncategorized -

Thumbs up for UK holiday homes

0
Written by:
04/10/2006

Owning your own holiday home is no longer the preserve of the rich and famous, says Paula John  

A low interest rate environment and the growth in equity in people’s homes have left many in a position where they can afford to invest in a second property.

According to research from Halifax, many of us look within these shores when we choose to invest in a part-time pad.

In fact, of the 3.5m Britons who now own holiday homes, almost a third have their second property in the UK.

Spain is the next most popular location, with 16% of Britons’ holiday homes, followed by France with 7%.

The UK is particularly popular with 35 to 44 year olds with more than half having holiday homes here. However, for Scottish holiday home owners the most popular location for their property is the USA (26%).

What, where, why?

Bungalows make the most popular second homes, with 35% of all respondents and 50% of over 65s citing a one-story property as ideal.

Terraces are the least popular choice for holiday homes (2%), while a flat would be the holiday home choice for 25% of people aged 18 to 24.

The defining factor for three quarters of holiday homeowners is ease of travel.

Proximity to a beach is the most desirable factor for holiday homes for 25 to 34 year olds, while the 55 to 64 year olds stated a preference for secluded areas.

Money matters

Around 41% of people say they would be willing to spend between £75,000 and £100,000 on their holiday home.

Many people must be in a position to buy a second property outright, as only 19% said they would take out a new mortgage to finance a holiday home.

The majority (25%) of over 65s prefer to use their savings.

Colin Kemp, managing director of Halifax Estate Agency commented: “Many people see a holiday home simply as a place to get away from it all but many also view it as a long term investment. By buying a holiday home that is within easy reach, they can enjoy their investment whilst hopefully earning money from it at the same time so it is not surprising that such a large number of people are choosing holiday homes in the UK.

“However, Spain continues to reign as the most popular location outside of the UK to buy a second home. With budget airlines and low cost mortgages adding to its attractions, one million foreigners are expected to set up home on the Spanish coast in the next six years.”
 

Tagged:

Tag Box

Debt

Pension

Spending

Financial fitness

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Are you a first-time buyer looking for a mortgage?

Look no further, get the help you need by searching for your perfect mortgage

Five ways to get on the property ladder without the Bank of Mum and Dad

A report suggests the Bank of Mum and Dad is running low on funds. Fortunately, there are other options for st...

The essential Your Money guide to the April 2018 tax changes

As we head into the 2018/19 tax year, a number of key changes take place to existing policies while some new i...

A guide to switching energy provider

All you need to know about switching from one energy supplier to another.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Having a baby and your finances: seven top tips

We’re guessing the Duchess of Cambridge won’t be fretting about maternity pay or whether she’ll still be...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

YourMoney.com Awards 2018

Now in their 21st year, our awards recognise the companies offering the best products and services to consumers

Money Tips of the Week

Read previous post:
Mortgage misery for a quarter of a million

The number of borrowers missing mortgage payments is rising. Donna Werbner reports  

Close