THE HOLIDAY BUSINESS
There’s never been a better time to invest in a Cornish bolthole or luxury home, whether it be for your own use or as a holiday let investment.
Post-COVID, the staycation is the way to holiday safely and Newquay’s foundations continue to gain not only from all the national acclaim, but also the fortuitous British trend of more frequent, style-driven shorter breaks, at home.
Examining the trend
More than ever before, holidaymakers are seeking luxury-end self-catering properties as opposed to hotel room stays, given that (on average) they offer 30% more space, more privacy, more freedom and are more cost-effective in terms of there being no extra hidden costs.
The evidence of UK-based self-catering popularity lies in occupancy rates: self-catering accommodation in the UK averaged an 81% occupancy rate in 2019, and outperformed hotel rooms which stood at 77.2%. And that was all before COVID even became a word that we all understood.
Add today’s low interest environment where compounding your savings at the 0.1 per cent rate set by the Bank of England will see it doubling in a disappointing 694 years, and it becomes ever-clearer why a lifestyle holiday let could be your obvious ‘investment with benefits.’
With stamp duty cut on purchases under £500,000 until March 2021, there are also still capital gains tax and entrepreneurs’ reliefs that can be claimed on properties that are commercially let, and occupied, for at least 105 days per year.
The profits count as earnings for pension reasons and you can claim capital allowances, as well as offsetting expenses against your profits.
And the days are long gone when Cornwall’s popularity is just limited to summer visitors. It is now a compelling, and lucrative, year-round, much-lauded, on-trend destination.
Stephens and Stephens Developers
Here at Stephens and Stephens, we have a number of very attractive investment properties for sale throughout the South West, with locations in Newquay, Truro, St Ives, and throughout Cornwall. If you’re interested in finding out more about our current or upcoming development projects, we’d absolutely love to hear from you.
Couldn’t your investment portfolio benefit from the pull of the most chilled of getaways and activities, spa treatments, wining and dining, and all aspects of the beguiling laidback Cornish lifestyle 365 days a year? We think so…
