Have you ever invested in a hotel/guesthouse?

[lookinginvest]

While it would be unfair to suggest that the UK holiday market is "cheap" there is no doubt that many people now choose to remain in the UK for their holidays. As a consequence, investment in hotels and guesthouses has increased significantly and with crowd funding options regularly available, it would be interesting to hear from those who have actually taken the plunge. Did it work for you? Would you do it again?

 

[Longterminvestor]

Do the new taxation rules impact investment in holiday lets?

I have also seen situations where local councils have blocked the sale of property to those who do not live in the area. That aside, we often forget the beautiful countryside and attractions in the UK which are the envy of many tourists from overseas.

 

[mrs emma womersley]

I've recently listed a cottage on airbnb and was very surpriesd at how quickly I've been getting bookings. There is certainly a demand for short breaks for people with dogs.
The cost of putting a dog in a kennels, or taking it abroad are often not worth it, so lots of dog owners want to take them along.
I've only had our place listed for 2 months so far, and pretty much every booking has been for a couple with at least one dog.
I can't comment on the profitability yet (though it's looking good),just the demand.

 

[FWL]

I read somewhere that Airbnb charge the property owner AND the guest - is that right?

 

[diyhelp]

That is right Airbnb do charge both parties - 3% for the landlord and double and more for the person booking the property (or the other way around). Seems like a win win - people with empty properties can at least get some money and clients can book at the last minute. I am surprised nobody thought of this earlier - was Airbnb the first?

 

[John Wilson]

Do the new taxation rules impact investment in holiday lets?

No, section 24 doesn’t apply to holiday lets, as its classed as commercial. This is why so many people are switching their BTLs over to serviced right now. The yields are far higher too, anyway.

Pardon my cynicism, but I’m sure the government will still find a way to torpedo this market too, as it has with buy to let.

 

[diyhelp]

Hi @John Wilson

The government have a habit of directly/indirectly encouraging growth in certain areas and then "BANG" the taxes start to flow. Electronic cigarettes is a perfect example

 

[John Wilson]

Great example. And to think the education system tells us that the government really just has our best interests at heart!

 

[Longterminvestor]

Politicians are simply after as many votes as they can and would "sell their granny" to climb that greasy pole to the top

 

[John Wilson]

Ha yeh, sell their granny, your granny, everyone else’s granny... not to mention everyone’s kids for generations to come...

 

[PostBrexitInvestor]

I read somewhere many years ago that it is very hard to make money on larger hotels while you own them. The big money comes when you sell on with an improved reputation - and the cycle starts again