An investment you can actually enjoy? Imagine that…

Immerse yourself
Is now the perfect time to invest in a purpose-built holiday home at home? Many signs point to yes.

Investment in residential property has been a political hot potato for quite some time now and that potato shows no signs of cooling anytime soon. Residential property as a rule of thumb is a lucrative, low-risk long-term investment and has been for the last thirty years, however as the national housing crisis deepens and central government continues to crackdown on buy-to-let investors with increasing rates of Stamp Duty and less favourable tax breaks for landlords, investors are seeking an alternative and looking to diversify.

When you hear the term “purpose-built holiday home” it traditionally evokes memories of visiting Grandma and Grandpa at their static caravan in Bognor before enjoying an evening of cabaret and Punch and Judy surrounded by men in red coats (and fun times they were too). Now times have changed; expectations have changed, the market has changed and the demand for innovative architecture, sophisticated design and eco-friendly construction have continued to grow with the increasing popularity of shows such as Grand Designs and innovative companies like Huf Haus and Tesla.

Our very special mix of community, ecology and architecture has been growing in popularity for many years now and one of the key reasons is simple…The best investments are those that you can enjoy yourself. I think that most people will agree that their family will get a lot more fun and happy memories from a holiday home in the beautiful countryside of the South-West than a couple of student flats on the outskirts of Luton. However, far from being just an investment in family time and happy memories, many sociopolitical factors are making a holiday home in the UK a more attractive prospect for the serious investor, allow me to elaborate…


Whilst Brexit brings with it much uncertainty and presents many challenges over the coming years, particularly for the volatile financial markets, it has revealed some very interesting opportunities in our sector. Holiday homes in Europe are becoming less viable and more expensive with the falling value of the pound and therefore an investment at home is becoming even more attractive. Who knows what changes in legislation are around the corner regarding home ownership abroad and if there’s one thing investors don’t like, it’s uncertainty.


The staycation market across the UK is booming with families getting less bang for their buck abroad and rediscovering the forgotten beauty of the Great British Countryside.  Reports by the Great Britain Tourism Survey show that the size of the domestic holiday market grew by 41.6% from 2006 – 2015 and expenditure grew significantly from £19.14bn to £28.5bn, an increase of nearly 55%. More recent research from the Resolution Foundation also shows that 5.2m people in the UK now own multiple properties, compared with just 1.6m in the year 2000.


Families are getting more frustrated with the inconvenience and stress of flying abroad, particularly with budget airlines and the recent debacle involving Ryanair. This would appear to simply be the first of many meltdowns involving these budget airlines and their share prices are telling the story.


Homes in Britain generally appreciate better in comparison to their counterparts in mainland Europe and whilst a holiday home in the Cotswolds will most likely not rival the capital appreciation of an apartment closer to London, it will probably do much better than a French or Spanish holiday home and the enjoyment factor remains.

Stamp Duty

As you are purchasing a plot of land and building your own home on said plot as opposed to purchasing a new build home, the Stamp Duty implications are weighted in your favour. Stamp Duty is only payable on the land, not the build, and the additional 3% surcharge does not apply.

Like-Minded Community

Investing in a purpose-built holiday home that does not have permission as a primary residence does not take stock away from the first home market, meaning you can invest with a clear conscience in a community of like-minded individuals.

Furnished Holiday Let

Is the Furnished Holiday Let the new buy-to-let? Recent government changes have made buy-t0-let less attractive and smart investors are now taking advantage of the favourable tax breaks available to Furnished Holiday Let properties. To qualify your property must be available to let 210 days per year and actually let at least 105 days per year which opens up many benefits in the form of Capital Gains relief, Inheritance Tax relief and Capital Allowances.


Whichever way you look at it, we’re living longer – it’s a fact. With advances in medical science and improved vitality into our older age, we will be retired longer and our retirement plans are taking on an entirely new shape. The prospect of having a modern Grand Designs style property in the countryside, designed and built to your specification is a fantastic thought for anyone approaching the end of their working life, not to mention a wonderful legacy to pass on to the next generation.

In conclusion, the current social, political and economic landscape has created an environment where a holiday home in the UK looks to be an even more attractive prospect. You no longer need to make a binary choice between financial returns and family fun; break the mould and enjoy both.

Back to news