Summer is here – but, for obvious reasons, it’s shaping up to be a very different summer than we’re used to. For UK holidaymakers, it could well be a case of looking closer to home in 2020 – and self-catering holiday accommodation are ‘front of the queue’ to reopen after coronavirus restrictions.
This means a holiday rental business could prove a timely and profitable venture.
It’s a flexible venture too – perfect for those at retirement age, looking to pivot their career or a side-hustle to the day job. And the surge of services such as Airbnb has made it even easier to rent out a property to tourists.
With the right approach, you could see a generous return on the time and money you invest. Here are some of the key concerns to look at when starting:
Take Advantage of a UK ‘staycation’ Boom
All the signs are pointing towards a boom for UK staycations this summer, with foreign jaunts shunned due to ongoing concerns and restrictions. If you’re now thinking about starting your own holiday rental business to capitalise on this, you aren’t short of prospective locations.
From the Lake District to the Cornish coast and Scottish Highlands in-between, there are a lot of domestic destinations that are set to prove popular. But remember two things when eyeing the market for a potential property: the rental value and how easy it is for you to access.
Must-haves for Any Holiday Rental Business
As you set up your own holiday letting business, the accommodation you offer to guests must meet specific rules and regulations. Health and safety is, needless to say, a huge concern and you should get a risk assessment done to ensure nothing is left to chance. You can also check with companies like HomeLet about your insurance needs to protect both you and your guests.
Ruban Selvanayagam, from professional UK homebuyers Property Solvers comments: “when acquiring property for holiday let purposes be sure to undertake your due diligence to ensure your buying at the right price. Remember that the ‘bricks and mortar’ value will be very different from what a specialist lender might state. You’ll need to make sure that things will still stack up if things took a turn for the worse, for example.”
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Tax is another important concern for any holiday rental business. If you rent out the property over a certain period of time each year, you’ll be classed differently for tax purposes. But you may also qualify for tax relief if it counts as a furnished holiday letting. Don’t forget to double check if there are any restrictions on commercial lettings when you buy your property too.
How to Prepare a Property for Holiday Rental
With all the important paperwork in place, you can then focus on what is perhaps the fun part of preparing a holiday rental business. You’ll want your property to stand out proud compared to your competition. One way to ensure this is with the quality of your furniture. And it can be a good idea to invest in higher spec furniture to add even more value to the guest experience.
Beds, tables and chairs are essential staples of any holiday rental business. So, it can be even more worthwhile to think about what extras you can provide. It can be anything from off-road parking to high-speed wifi internet or even allowing furry friends to stay with their families. Or you could go even bigger and indulge your guests with a hot tub or sauna.
Keeping Your Holiday Rental Business in Shape
Getting a holiday rental business up and running is the first step towards success. But it’s one step. Keeping things ticking over and in good shape is what will drive your new venture ahead.
A changeover between bookings like has the potential to derail your prospects if badly handled. So, be sure to put processes in place that cover all bases: Vacation rental cleaning, laundry and key collection. The property must be in pristine condition each time a new guest walks through the door – and that means ensuring each room is cleaned from top to bottom with fresh linen ready to go.
When running a holiday rental business, you should also stay on top of all maintenance issues. Even a blown lightbulb can negatively affect a guest stay, so be ready to anticipate and fix any problems as they arise. The same goes for the upkeep of your property’s garden too.
Like any new venture, preparation can make all the difference when starting a new UK holiday rental business. Doing your research and enlisting expert opinion are important components in getting your venture off the ground. It ensures you reduce the risk to your fledgling business – and maximises your potential as demand for staycation experiences looks set to soar in 2020.