property investment reviews for Cornwall
the current climate for investment
The Sunday Times | 10th May 2009
In the Property game one man's misfortune is another's gain. While for many,
in these leaner times, a holiday home has become a liability to be off loaded
as rapidly as possible, for others now is a good time to buy.
Prices are down, often by more than the average, and a combination of the
credit crunch and the weak pound is encouraging more of us to holiday at
home rather than abroad. A place by the sea or in the country here in Britain
is looking like a good place to park money that is struggling to earn 0.005%
in the bank. Not just to lounge around in yourself, of course, but to let
out for part of the year, so it pays its way and maybe even makes profit.
A study of the market in a series of popular holiday home destinations carried
out by the property website Rightmove, in conjunction with Holiday Lettings,
shows that the Cornish resort of Newquay offers the best potential returns.
A typical two bedroom flat, sleeping up to six guests and selling for an
average of £173,938, could be let for anything between £300
and £1300, depending on the season. If it were rented for a modest
22 weeks a year, it would give a 10% annual return on the purchase price-rising
to 15.6% for a more ambitious 34 weeks of occupation.
"Newquay has appeal across all age groups: the great beaches and reliable
surf are two big attractions" Ross Elder director of Holiday Lettings
says " Larger resorts like this, with more facilities, also have more
year-round bookings and don't shut down, like some smaller places. Newquay
accounts for one sixth of the Cornish inventory"
Financial Times | 31st January 2009
The strong Euro and an increased drive to save money are encouraging people
to ditch the Cote d’azure and Costa del Sol this year in favour of
spending their holidays closer to home.Travel companies are seeing a rise
in demand for holiday accommodation in scenic areas such as Devon and Cornwall,
which in turn is presenting some good opportunities for investors.
“The interest in purchasing a second home where you can make money as well
as use it for your own holidays is proving incredibly attractive”
says Gail Streatfield Knight Frank in the west country. “Investors
can expect a return of up to around 5% from holiday lettings”
Western morning news | 31st January 2009
With families wanting better value from their leisure spending as money
gets tighter, the number of UK short break holidays taken in 2009 is set
to rise strongly as operators rapidly expand the range on offer.“With
the pound so weak, fewer British holidaymakers will head for Europe or the
US in 2009. We expect many of them to take short breaks as a cheaper alternative
to a traditional week in Euro-Zone where living costs could hit their budget
for six.”
Several operators say demand is also surging for UK self catering, holiday parks, boating holidays and holiday lodges . A 48% increase in inquiries
for UK holiday accommodation is reported by website holidayhomelettings.co.uk.