When looking to purchase a property for investment purposes, there are so many things to factor in. Location, price, profitability and more, are all things a good investor needs to take into consideration when looking at an opportunity. Holiday homes are no different. In fact, the location can be extra important when thinking about a holiday home investment. Let’s take a look at how and why the location of holiday homes in international markets is important to investors.
Where To Look
When investing in a holiday home – that is, a home you may rent out to holidaymakers and even use yourself at times – you need to consider the location carefully. Typically, a good holiday home would be in or near a capital city, although this is not always the case. Comparatively, though, these areas tend to be desirable to holidaymakers; near the big city but with a bit of a getaway feel. In the UK, for example, places like Bath are hugely desirable. Just an hour and 20’s train ride from London but with a gorgeous small-town vibe, it has everything.
British Holiday Homes
In Britain, it is also a great idea to take advantage of the current interest rates. As mentioned, Bath is a highly sought after location just 80 minutes from London. In this city, you will find all buildings clad with limestone, giving it a beautiful countryside vibe. Though, this city has absolutely everything a holidaymaker could need to find their dream getaway.
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Properties range from townhouses to apartments, with an average 2-bed AirBnB sitting at around £224 per night. This puts it on par with Byron Bay’s holiday homes. Properties here may cost slightly more, though.
Australian Holiday Homes
In Australia, an hour’s flight from Sydney, you find Byron Bay, one of the nicest places in Australia, with the rich and famous often choosing this location as their Australian retreat. With the recent interest rate cuts to just 0.1% in both the UK and Australia, you may want to purchase a new holiday home or refinance your existing holiday home. There are various websites available to make informed decisions about your financial options. There is a huge opportunity to make money in Byron Bay with an investment home. With apartments nearer to the beach renting for a minimum of $400 AUD per night, you’d be mad to not see the investment potential here.
Spanish Holiday Homes
The Spanish capital is, of course, Madrid. However, there is no coast in Madrid and we know vacationers like their sun, sea and sand! In just a two-and-a-bit hour train ride south, you’ll find yourself in Malaga, a place with beaches as far as the eye can see. Properties here tend to be beachside apartments with a low rental price of around 75 EUR per night. However, these seaside apartments also cost around one-half of similarly sized properties in Bath or Byron Bay, so the investment potential is still there!
Choosing the right property location is key to making a good holiday home investment. When located near capital cities you open yourself up to travellers from all around the world looking for a getaway with easy transport links to a major hub. Plus, maybe you’ll get to stay there once or twice a year!
Featured image credit: Unsplash
