I'm thinking about buying a holiday home!

wotsthat

I'm in the fortunate position of living in a house with only a couple of years to pay on the mortgage.

I'd like to buy an apartment in and would need to fund this with a new mortgage.

I'm not in a particular rush so will 'my' apartment be cheaper to buy in 2011 or 2012?

PasturesNew

The £1.5 million one round the corner from me's dropped to just £1.35million. I guess you could snap it up at a bargain in 2011, but I bet in 2012 it's down to £990k.

silvercar

Holiday homes don't always follow the general housing market; they can have their own housing market depending on the supply and demand of said homes.

PasturesNew

silvercar wrote: »

Holiday homes don't always follow the general housing market; they can have their own housing market depending on the supply and demand of said homes.

Obviously the county is large and diverse ... but round my way .... they're all empty/unsold ... and dropping.

Those sold seem to be owned by big holiday flat companies like Blue Chip.

There's certainly no shortage of them.

angrypirate

If you ask Sibley and McTav, buy now as house prices only ever go up.
Ask some bears and they will tell you prices will be going down.
Ask other bears and they will tell you off for being greedy as you are buying a property that neither you or a tenant will live in.

Out,_Vile_Jelly

Remember to drop an invite to all your local neighbours when you throw your "second home housewarming party". They love hearing about what a bargain the cottage is.

RenovationMan

angrypirate wrote: »

If you ask Sibley and McTav, buy now as house prices only ever go up.
Ask some bears and they will tell you prices will be going down.
Ask other bears and they will tell you off for being greedy as you are buying a property that neither you or a tenant will live in.

Ask me and I would wonder why anyone would pay +£100k to buy a holiday home so that they can spend every holiday for the rest of their lives in the same place with the same attractions and the same neighbours. You might as well just stay at home, or even better invest that +£100k and use the annual interest to pay for a nice holiday.

I just dont understand why people want holidays homes, but thats not to say they are wrong and I am right, it just means we are different and that I am right.

purch

Using the word "property" and "investment" in the same sentence can get into a lot of 'bother' on this forum :eek:

Generali

wotsthat wrote: »

I'm in the fortunate position of living in a house with only a couple of years to pay on the mortgage.

I'd like to buy an apartment in Cornwall and would need to fund this with a new mortgage.

I'm not in a particular rush so will 'my' apartment be cheaper to buy in 2011 or 2012?

Most likely IMO about the same or slightly less in nominal terms so down about 5-8% in real (inflation adjusted) terms would be my guess but it really is just a guess.

Chances are you'll own it for long enough that a few thousand here or there over the length of ownership isn't going to make a great deal of difference.

PasturesNew

RenovationMan wrote: »

Ask me and I would wonder why anyone would pay +£100k to buy a holiday home so that they can spend every holiday for the rest of their lives in the same place with the same attractions and the same neighbours. You might as well just stay at home, or even better invest that +£100k and use the annual interest to pay for a nice holiday.

I just dont understand why people want holidays homes, but thats not to say they are wrong and I am right, it just means we are different and that I am right.

New build holiday flats are £200k to £1million, with £200k to £350k being "the norm".

So the figures stack up even crazier.

Holiday homes are an expensive luxury/liability - and the ability to rent it out while you're not there isn't as easy as it's made out because "the big boys" have got clutches of them and huge marketing machines dragging the holidaymakers into renting their place, not yours.

Loads of 2nd hand ones have been appearing on the market since they were bought at the peak, with losses showing up in LR where those people were individuals (not Ltd companies).

My neighbour's put his house with a local lettings agency and this year it's been booked out about 10 weeks. I expect he was anticipating a lot more....

macaque_2

wotsthat wrote: »

I'm in the fortunate position of living in a house with only a couple of years to pay on the mortgage.
I'd like to buy an apartment in Cornwall and would need to fund this with a new mortgage.
I'm not in a particular rush so will 'my' apartment be cheaper to buy in 2011 or 2012?

I can't help on the buying advice wotsthat but I can give you a few tips about Cornwall:

• Remember, Cornish people don't read or write but they can count money faster than a striking Cobra. Under Cornish law, trying to leave a shop with money left in your wallet qualifies as theft so be careful of shops fitted with security alarms at the doors. If necessary have your wife wait outside with the money while you have a look round.
• If you have small children, make sure they don't take any small pebbles home otherwise the beach police will arrest them. Also, don't go in the sea unless the safety police have given you permission.
• Fit blinds to your sitting room windows if you don't want a row of beady eyes in smocks sharing your TV viewing from the garden.
• Talk loudly in restaurants and always ask for langustines for starters (even if they don't serve them). If you don't want to get noticed, adopt holiday names like Jeremy and Vanessa. And if you mend cars or boilers for a living, for heaven's sake keep this to yourself.
• Always remember to pay and display when you stop your car (even at red traffic lights)

I hope the above is of help.