staycation
Marketing No Comments

The weak pound is set to drive demand for UK staycations

As the cost-of-living crisis continues apace, and the value of pound remains low, affordable staycations are back on the agenda with people choosing to holiday near UK tourist hotspots, instead of taking trips abroad. With this in mind, AGO Hotels is looking at what this means for its own business and the wider UK hospitality market.

The latest increase in interest rates is the highest single jump in 33 years. With this at the forefront of minds for the majority of the UK population, affordability has become the focus. Travel, much like most other commodities has substantially risen in price. As a result of the cost-of-living crisis, which is severely impacting household budgets, it is very likely the UK economy / budget hotel sector will see an upsurge in staycation demand. For those opting for a staycation they will be looking for value, balanced with quality and location. Location plays an integral part of the decision-making process and knowing there will be suitable activities and attractions available so the guests can make the most of their holiday.

Hoteliers must now more than ever try to capitalise on any and every opportunity, endeavouring to demonstrate the benefits of their location from the very first time the guest views the hotel online to when they work through the door. This could, arguably should include offers and packages for guests at the local attractions, “stay in our hotel and receive a discount or complimentary entry to local attractions”. Pre-arrival communication with the guests, and again on arrival, if it is relevant, provide guests with information on how they can make the most of their stay. As far as is relevant to the style of hotel, guests will expect the very best stay and in times of economic uncertainty, hoteliers must not lose track of how important a straightforward, positive experience is for guests, achieved through ease of booking, seamless check-in and a top sleep experience.

Contact us today to speak with a specialist Holiday Let Broker to discuss how we can assist you

As well as the weak pound having an impact on the movements of UK residents, we are seeing how it is driving change from overseas. There has been a recent increase in tourism as overseas opportunistic travellers are looking to capitalise and take full advantage of the weak pound, which is providing a welcome boost for many hoteliers. Some hotels in key locations are reporting significant increases to their occupancy level and tour operators have been calling Quarter 3 2022, their best trading period for bookings since October 2019. This is particularly true in the case of tourism from the US. The US has always been one of the strongest feeder markets of tourism into the UK and there is every sign this will continue if the costs of flights remain manageable and there is no further disruption at airports as we saw in the early part of summer.

Discover our Holiday Let Mortgage Broker services.

At AGO, we expect to see the benefits of staycations across our entire portfolio. Those hotels closer to attractions and visitor experiences, and in more leisure destinations will clearly have a greater demand, though with the weak pound attracting the foreign guests there will likely be demand from a broader pool of guests. With very competitive room rates we remain committed to providing those wanting a trip away this winter, a cost-effective comfortable option.

While we do try to create growth in occupancy, we must not lose sight of the significant impact caused through the economic crisis the UK is experiencing. This is impacting room rates, and with ever increasing inflation, costs of running the business are higher than ever. The impact of paying higher wages, higher supplier costs and a raft of other increases in costs means the conversion to the bottom line is under significant stress. Remaining profitable and staying open to welcome guests is ever more uncertain. As we move into winter, and the quieter season for the UK hotel market, the coming months will be very telling.

By Lionel Benjamin

Source: Hospitality Net

DORSET holiday homes
Marketing No Comments

Let’s hope holiday lets rules don’t go wrong

The short-term lettings market in Scotland is about to undergo a major change in the way it is regulated and operated. New rules, which take effect from this month for new properties entering the market and from April 2023 for existing lets, require landlords to apply for planning permission to operate a holiday let. This permission must be applied for regardless of there being any guarantee of acceptance, which means that substantial fees and legal costs could be incurred without any certainty that the planning application will be accepted.

While many understand that the short-term lettings market has been allowed too much leeway in the way it operates in terms of appropriate safety regulations and the numbers of properties operating in certain areas these changes have the potential to bring the market to a sudden, grinding halt.

In places like Edinburgh and the Highlands, which have the greatest number of holiday lettings in Scotland, the impact will be considerable, this policy could pose substantial problems for local communities.

The risk is that, while reducing the number of holiday lets may produce more long-term residential lettings properties for the community, it will have an impact on the tourism sector which provides local jobs. Reducing the number of available holiday lets also has the potential to reduce the attractiveness of the capital and the Highlands as destinations thereby potentially reducing the number of people employed in the tourism and hospitality sectors. There may be more homes available to rent but there may be fewer jobs for people to do so regulatory changes such as this need to be approached with caution. Every action has a counter action, and the general rule of unforeseen circumstances dictates that you make major changes at your peril.

Contact us today to speak with a specialist Holiday Let Broker to discuss how we can assist you

There are already signs that holiday letting landlords are selling up or shifting their properties from the short-term market to long-term. These landlords say that the requirements for planning acceptance are not transparent enough. It is not clear what planning permission is being sought and the delays in processing applications (at least nine months in the Highlands) means that the next holiday season would need to be written off. Finally, the costs of submitting an application with no guarantee that it will comply with the rules and be accepted make continuing in the market untenable for many landlords.

The result will be a loss of many thousands of holiday homes into the long-term market or for sale on the open market. This potential increase in the number of properties in the private rented sector is to be welcome, particularly in cities like Edinburgh where demand is higher than anyone has ever experienced before. But if it is accompanied by a downturn in the tourist market next year then many of those people who may have found a home may subsequently be unable to find a job.

Discover our Holiday Let Mortgage Broker services.

The issue with these changes is the vagueness of the regulation and the rapidity of its introduction. No landlord is going to be able to afford to lose an entire season of holiday lets so the delay in processing these is a key issue in forcing these properties out of the market.

Equally, a planning permission measure which restricts properties without a main door entrance is clearly targeted at Edinburgh which, like most Scottish cities, is largely comprised of tenements. Given that one of the key issues last year during the Edinburgh Festival was the cost of accommodation it is unlikely this will be improved by dramatically decreasing the stock available.

As ever with legislative and regulatory changes there will be consequences for the market, and it is unlikely that these will occur in the way which the politicians expected. The issue, as ever, is supply and demand. If you restrict supply prices will rise, if you increase supply prices will fall. We shall see what happens next summer, but I think that record prices for holiday lettings will be the order of the day in Edinburgh and elsewhere.

By David Alexander

Source: Scotsman

second home
Marketing No Comments

Accidental damage leaves hefty bill for holiday let landlords

One in nine holidaymakers say they have accidentally caused damage to a holiday home according to new research by Direct Line business insurance.

In one in five cases this damage cost £200 or more to repair.

The survey suggests that 25 per cent of people who cause damage do not admit this to the property owner. Of these, almost a third felt too embarrassed to own up, 29 per cent did not want to pay for the damage and over a fifth did not think the damage was significant enough to warrant saying anything.

Among these, younger guests aged between 18 to 34 years old are the group most likely to cause accidents in rental holiday homes with over-55s typically being the most careful.

Contact us today to speak with a specialist Holiday Let Broker to discuss how we can assist you

Many guests also admit to treating holiday homes differently to how they would their own, with 42 per cent saying they treat them with less respect. Some of the main reasons are pre-assuming that the landlord’s insurance policy will cover potential accidental damage, not taking financial responsibility for any of the damage caused or not wanting to worry about such issues while on holiday.

According to landlord claims data from Direct Line business insurance the priciest types of accidental damage in 2021 were carpets and flooring damage (costing over £940 on average); water damage (£1,340) and soft furnishings and fixtures (£940).

Discover our Holiday Let Mortgage Broker services.

Many households are opting for ‘staycations,’ with 28 per cent planning a stay in a rented holiday home in the UK in the coming year.

Over a quarter have attributed this to the increased cost of living restricting how much they can spend on travelling abroad and 23 per cent are remaining in the UK to save money. A third are doing so to avoid ongoing issues with airports and airlines such as losing luggage, flight cancellations, and long queues.

A Direct Line spokesperson says: “Most holiday homes are not covered by standard home insurance policies, so it’s important that landlords find a holiday home policy that suits what they need and consider adding on cover such as accidental damage, legal expenses or loss of rent, to help deal with the financial fall out of unforeseen issues.”

By `Graham Norwood

Source: Landlord Today

staycation
Marketing No Comments

North Wales climbs staycation league as people take short breaks to escape ‘gloom and doom’

A Travelodge survey ranked the region as the UK’s second most popular ‘rural’ destination for British holidaymakers in 2022.

The trend for short-stay trips in Britain is fuelling the popularity of North Wales as a staycation destination, according to a Travelodge study. With fewer people taking a traditional two-week holiday, regions close to big urban areas are attracting increasing numbers of visitors.

A survey of 2,000 holidaymakers by the hotel chain found that North Wales was the second most popular “rural” destination for Brits this summer, headed only by the Lake District in England. The findings reflected the pull of Snowdonia’s mountains but, for many, the region’s beaches were just as big a lure.

Travelodge’s latest Travel Index estimates 65% of Brits took their main holiday at home this year. Of these, 60% have so far taken three staycation breaks and may yet take another.

Around a third were families who usually take a main annual holiday but who instead took shorter UK breaks so that they could enjoy different experiences and locations. A quarter said they opted to take several UK short breaks as it “gave them something to look forward to against the gloom and doom of the global crisis”.

One big surprise in the survey was the appearance of Blackpool at the top of the list for “coastal” holidays – a position traditionally occupied by Cornwall and Devon. Taking second spot was Bridlington, Europe’s “lobster capital”, followed by Brighton.

Contact us today to speak with a specialist Holiday Let Broker to discuss how we can assist you

Travelodge spokesperson Shakila Ahmed believes the holiday trade is becoming more eclectic as people seek out different things to do closer to home. “More Britons are exploring hidden holiday gems that are on their doorstep than ever before,” he said.

“Record heatwaves this summer have also inspired Britons to take more spontaneous breaks to the great British countryside such as North Wales.”

For a third of Brits who opted for short breaks this year, they did so in order to catch up with family and friends. Almost as many saw short breaks as a way of keeping their children entertained during the summer school holidays.

As always, the weather was a big influence, with 29% of holidaymakers choosing to take spontaneous staycation breaks because of the summer heatwaves. Perhaps for the same reason, traditional seaside jaunts remained the nation’s favourite choice of holiday (35%) in 2022.

Discover our Holiday Let Mortgage Broker services.

Travelodge, which has 28 properties in Wales, estimates the UK staycation market was worth £30 billion in the year to date. So far 42% of Brits have been on holiday this year and feedback suggests this is one luxury they are unwilling to forego despite the current cost-of-living crisis.

Next year, this assertion will be sorely tested. Operators, hoteliers, B&B owners are fearing the worst with tourism expected to bear the brunt of household cutbacks. A fifth (21%) of Brits admitted it was just too expensive for them to holiday abroad this year.

Ironically it was the global financial crisis that helped underpin the domestic holiday sector this year. Travelodge’s latest Travel Index found 60% of those who choose not to travel abroad this summer, did so because of fears over airport chaos and flight delays. A further 28% of Britons holidayed at home because the weather here was considered superior to places like Dubai where temperatures are too oppressive.

Shakila Ahmed expects the trend for short breaks to continue. “With so many places to see and so little time and money, the traditional two-week holiday is on the decrease and a lot [of] shorter breaks, particularly in North Wales, are on the increase,” she said.

By Andrew Forgrave

Source: Daily Post

staycations destinations
Marketing No Comments

Continued appetite for staycations offers boost to holiday let

Buy-to-let investors are always keen to look for new opportunities, and over the last few years there have been few bigger opportunities that the boom in the holiday let arena.

We polled brokers recently to get a better insight into their own experience of the holiday let market, and it’s clear that the last couple of years have been a period of significant growth for this sector.

More than half (55%) of intermediaries said they had written a holiday let case over the past 12 months, while more than 84%said they had seen an uptick in holiday let enquiries since the start of the pandemic.

What’s more, almost half (48%) saw a jump in enquiries since restrictions had been lifted.

It would be easy to assume that this interest is solely down to the pandemic. With overseas travel all but impossible, it was understandable that there was then a sharp rise in interest in staycations. People need to take a holiday, after all.

Little wonder then that investors recognised the increased interest, and took advantage by adding holiday lets to their portfolio.

However, that train of thought would suggest that the staycation trend has passed. After all, now that we can holiday abroad once more, will there still be the demand for short-term lets?

Contact us today to speak with a specialist Holiday Let Broker to discuss how we can assist you

Demand for domestic holidays

The reality is rather different, however, with a host of studies revealing that the appetite among Brits to have at least one holiday on domestic shores remains strong.

For example, the latest study from VisitBritain found 59% of Brits plan to take at least an overnight trip domestically over the next 12 months, compared to 44% who are going to head overseas at some point.

Notably, one in three intend to take more UK trips in the next 12 months than the preceding year.

That’s a pretty strong statement that interest in domestic trips may have been given a helping hand by the pandemic, but that demand is far from dwindling.

Throw in the fact that improved international travel means greater numbers of visitors from abroad heading for our shores, providing more potential tenants for short-term lets, and it’s perhaps not surprising that landlords remain keen on investing in these properties.

Discover our Holiday Let Mortgage Broker services.

The role of brokers

Mortgage intermediaries are crucial allies for all property investors, irrespective of what form of property they are looking to put their money into.

As a result, brokers will inevitably be hearing from clients in the months ahead who are interested in the holiday let market and how to go about finding finance.

This represents a terrific opportunity for brokers. Holiday let may have traditionally been seen as something of a niche area of the market, a specialist segment which they may have overlooked – not anymore, so it’s crucial brokers get to grips with the subtle ways in which holiday let products differ from traditional buy-to-let deals so that they can help those clients secure the funds they need to add to their portfolios.

Flexibility from lenders

Lenders have a big role to play here. Firstly, across the board we need to do a far better job in educating brokers, helping them understand the intricacies of these holiday let products and how they can support clients in a range of different circumstances.

But we also need to do a better job in highlighting the decision-making process. At HTB for example we put our trust in our manual underwriting process; there’s no relying on automated decisions, which risk unfairly excluding clients who could make a great success of holiday let investments.

Instead, flexible lenders are able to get to grips with the facts about each and every case, nail down the crucial details so that they are able to provide a more informed decision.

The holiday let market has already grown substantially and looks set to play a more important role in the future. It’s therefore vital for brokers to make the most of this opportunity, and for lenders to support them in doing so.

Source: Financial Reporter

short-term lets
Marketing No Comments

Research reveals 39% of us don’t check doors are locked before going on holiday

A new study has revealed that more than a third of people don’t check that all of their doors are locked before going on holiday.

Research from Aviva has shown that only 61 percent – or three-fifths – of people check all doors when they go away, and only 58 percent check that windows are closed.

Other safety checks come even further behind, with 57 percent of holidaymakers admitting that they don’t check that sheds and garages are secure, and 81 percent leaving garden furniture out.

As well as this, nine percent of people hide keys under doormats or plant pots, despite the fact that 14 percent of the people surveyed had experienced their home being burgled in the past.

Aviva reports that claims for UK home thefts are 48 percent higher in July to September compared to the rest of the year, with claims averaging a value of £6,000.

The company has offered up its best advice for those planning to go away on holiday this year.

Contact us today to speak with a specialist Holiday Let Broker to discuss how we can assist you

Don’t forget to lock up

Aviva research finds that two-fifths of people don’t check that their doors or windows are locked before they go on holiday.

Don’t advertise your holiday on social media

Before you travel and while you’re away, be mindful that countdown trackers and holiday snaps will let others know you’re not at home.

Leave a key with a trusted neighbour, friend or family member

But give the key to the person to look after – don’t leave under a plant pot or doormat where anyone could find it. Ask your trusted person to check for other internal issues such as water leaks, as well as signs of unwanted guests.

Make your home seem occupied while away

Use timers to switch on lamps and radios to give the impression of someone being at home.

Ask a neighbour to park on your driveway

Again, this suggests that someone is living at the property.

Discover our Holiday Let Mortgage Broker services.

Consider investing in a burglar alarm and security lighting

Both are practical ways to protect your home and can act as a deterrent to burglars.

Mow lawns and trim hedges before you go

An overgrown garden is a giveaway that residents may have gone away.

Lock ladders and tools away

Some burglars will have their own toolkits, but others are more opportunistic, so make sure sheds and outbuildings are locked.

Keep your valuables out of sight

Where possible, keep valuables away from windows. Similarly, don’t store valuables in the bedroom. Thieves know that’s where most people keep their precious items, so hide them in different spots around the home.

Kelly Whittington, Property Claims Director for Aviva UK, commented: “So many people have postponed their breaks because of the pandemic, so summer 2022 is a fantastic time for holidays. But we’d urge people not to get so excited that they forget to carry out checks and leave their homes vulnerable while they’re away.

“A few simple steps can help to deter burglars and keep homes secure – so people aren’t returning to a post-holiday headache.”

By Chloe Shakesby

Source: Farnham Herald

Holiday Let Mortgage UK
Marketing No Comments

Hodge returns to residential loans market

Hodge has reentered the residential mortgage market for its 50-plus, retirement interest-only and holiday let mortgages, after a short break from new business.

Contact us today to speak with a specialist Holiday Let Broker to discuss how we can assist you

The bank says that after experiencing “record volumes of business” it had “made the call to close to new applications for a two-week period to restore its levels of service”.

But now says that from today, 4 July, “new applications for all products are now open again, with service level agreements back to 48 hours with other service guarantees to intermediary partners available again too”.

Hodge mortgages business development director Emma Graham says: “We pride ourselves on both our service and the fact that our underwriters assess applications on a case-by-case basis.

Discover our Holiday Let Mortgage Broker services.

“We remain fully committed to maintaining a personal approach but will continue to invest in technology to provide additional levels of automation while ensuring we’re able to offer the services our brokers have come to expect.”

The bank, which runs a savings department, says that products available through its commercial lending division remain unaffected, with this announcement only relating to personal mortgage loans.

Last month, Hodge appointed Stuart Benge as senior business development manager for commercial lending.

Benge joins Hodge with more than 25 years of finance sector experience, having previously worked with N&P Commercial and Assetz Capital, among others.

In his new role, he will be responsible for expanding Hodge’s presence in the investment property sector on a national scale.

By Roger Baird

Source: Mortgage Finance Gazette

Mixed Use & Multi-Unit Holiday Lets staycation boom holiday let is
Marketing No Comments

Airbnb is giving more than £8m away so people can design weird and eccentric homes

Airbnb is known for its weird and unusual letting options. From treehouses and converted double-decker buses to medieval castles and mansions.

North Wales has endless rental options for people hoping to visit the area, or those wanting a mini-break to enjoy the incredible options on their doorstep. And now, the company has pledged $10 million (approximately £8.1 million) to people who want to build their own eccentric rental homes.

The funding is part of a project the company has created to make “100 of the craziest and most unique property ideas”, as reported by the Insider. Anyone who wants to apply has until July 22.

Contact us today to speak with a specialist Holiday Let Broker to discuss how we can assist you

Airbnb said it will accept submissions from architects, designers, and everyday people. If successful you could be given $100K (£81.5K) to bring the ideas to life.

Once the project has been completed, it will be rentable on Airbnb’s “OMG!” category. Submissions will be judged by the celebrated architect Koichi Takada, designer and fashion icon Iris Apfel, Airbnb VP of experiential creative product Bruce Vaughn, and Airbnb host Kirstie Wolf.

Discover our Holiday Let Mortgage Broker services.

Brian Chesky, CEO of Airbnb said: “We’re in 100,000 cities. Very few people can think to type in more than 20 places [into a search bar]. So what happens? Everyone ends up going to the same places. Everyone goes to Vegas and Miami and New York and Paris and Rome and London.”

We previously reported on the ‘out of this world’ flying saucer Airbnb. The small campsite in Redberth, near Tenby, is home to some of Wales’ most unique holiday homes – including a jet, a Pacman dome, a UFO spaceship and more.

The rental was deemed so incredible that it even appeared on the Airbnb advert. You can read all about the space here.

We also reported on the six North Wales hotels on the list of UK’s top places to stay in Tripadvisor Travellers’ Choice awards. This saw several places in North Wales make the top 25 lists for the UK. It included five in the resort of Llandudno.

By Jaymelouise Hudspith

Source: Daily Post

staycation
Marketing No Comments

Caravan rental firm snapped up by Sykes Holiday Cottages

A static caravan rental website based in Huddersfield has been acquired by Sykes Holiday Cottages. The deal allows private equity-backed Sykes to diversify its range of rental properties.

UKCaravans4hire was established more than ten years ago and connects holiday makers to more than 6,000 holiday homes located across the UK.

Following the acquisition, the business will continue to be run independently by its existing leadership teams but will sit under a newly formed parent company.

Gareth Irving, chief executive and founder of UKcaravans4hire, said: “This deal represents a new chapter for our business and I know with Sykes’ expertise and support we’ll be able to build on the huge success we’ve already had over the past two decades.

“Looking ahead, we’re ideally placed to reap the rewards of growing demand for affordable staycations, working with Sykes to grow our business and promote our holiday homes to a wider audience.”

Contact us today to speak with a specialist Holiday Let Broker to discuss how we can assist you

The deal follows hot on the heels of Sykes’ acquisition of Forest Holidays, owner and operator of environmentally sensitive cabins.

The combined group of businesses under Sykes’ leadership, whose own platform provides access to more than 22,500 holiday homes, are estimated to take more than 2.65 million customers on holiday in 2022. The group employs in excess of 1,700 people and is on track to achieve more than £170m of revenue in 2022

Graham Donoghue, chief executive of Sykes, said: “As the UK’s leading provider of static caravan rentals, UKcaravans4hire is the perfect business to have by our side as we enter into this new market, offering UK holidaymakers an unmatched choice of affordable and high-quality accommodation.

Discover our Holiday Let Mortgage Broker services.

“It’s a transformative time for Sykes as we accelerate our ambitions to become the leading name for UK tourism. We see huge potential in UKcaravans4hire to serve what is currently an underserved market, applying our expertise and market-leading technology to grow the business and catapult it to even greater success.”

Sykes is backed by Vitruvian Partners and was advised by Springboard Corporate Finance, Hill Dickinson LLP and Mayer Brown International LLP on the deal. UKcaravans4hire was advised by Symmetry Corporate Finance.

Source Insider Media

Wild camping staycation
Marketing No Comments

Staycation: The only places in the UK where wild camping is ‘officially permitted’ named

Wild camping is many Britons’ dream staycation and can be a great way to cut down on costs. However, camping in the wrong area could see Britons hit with a heavy fine.

The UK has some of the world’s most beautiful countryside and its many fields are perfect for camping.

However, there are also laws that prevent Britons from pitching up their tent wherever they want.

A spokesperson from Pitchup said: “Dartmoor National Park is the only place in England where wild camping is officially permitted.

Contact us today to speak with a specialist Holiday Let Broker to discuss how we can assist you

“However there are still restrictions on where you can set up camp.”

With its gorgeous open moorland and deep valleys, Dartmoor National Park offers plenty for all the family.

Its famous wild ponies can be spotted grazing on the moors and archaeologists think they may have been here for over 3,500 years.

Tourists can backpack camp on some areas of Dartmoor and will need to carry their own equipment.

They can stay for one or two nights at a maximum and should check which areas are allowed before setting up.

Tourists are also asked to stay out of sight and should use lightweight tents that blend into the landscape.

Discover our Holiday Let Mortgage Broker services.

They should never light fires or leave waste behind and should take everything home in their backpack.

The park states: “If you worry about carrying your rubbish home, need a bin or a toilet – then this isn’t for you – use a campsite.”

Wild campers can also try asking a landowner’s permission if they want to set up camp in other areas of England.

The rules in Wales are similar to England and wild campers will need to seek landowner’s permission first.

However, the rules are slightly different in Scotland. The Pitchup spokesperson said: “In Scotland, right-to-roam laws are still in place, which means that wild camping is still legal.

“You can set up and camp in certain areas across Scotland as long as you follow the Scottish Outdoor Access Code.

“However it is important to note in places like Loch Lomong and the Trossachs National Park, you are required to purchase a camping permit between the months of March and September.”

By ESTHER MARSHALL

Source: Express