Holiday lets generate double the income of residential buy-to-lets
The average holiday let generated annual rental income of £22,281 in 2016, double the average of £11,052 for residential properties, according to Second Estates.
The holiday property firm revealed that in peak season, the average holiday let property generates a whopping £1,200 a week, almost six times the average weekly rent in the UK.
It said there are now 165,000 holiday let properties in the UK, with the average income per booking up 6.4% in the first four months of 2017.
The areas of the UK where holiday let rental growth was fastest in the first four months of 2017 were: the South of England (+17.3%); Cornwall (+14.5%) and Devon (+8.9%), according to the report from Second Estates.
The business said that the rise in rental income is being boosted by international and domestic visiting looking for short-term stays in popular UK holiday destinations.
There were a record number of visits to the UK in 2016 (37.6m) and overseas visitors contributed £22.5bn to the UK economy. The number of overseas visitors increased 7% in the first three months of 2017 (compared to the same period in 2016) and the amount they spent increased 11%.
Alistair Malins, CEO of Second Estates, explained: “The weak pound is persuading millions of Britons to remain in the UK this summer and attracting more overseas visitors to the UK. The strength of the UK tourist industry is paying dividends for holiday property owners.”