Holiday home as an investment

Endercriley

I'm in the process of buying a holiday home primarily for the benefit of my family but also with a hope of making money over a 10-15 year timescale.

Would any potential increase in property value be enhanced by removing the existing holiday home restriction and having the property listed as a 'normal' property?

Any thoughts much appreciated

harrys_dad

What is the "holiday home restriction"? If it is a condition on occupation imposed by the Local Council through planning policy or similar I suspect "removing it" may be very difficult if not impossible.

lincroft1710

Are you talking about "bricks and mortar" or static caravan/lodge type of holiday home.

Endercriley

It's a bricks and mortar detached house with a restriction requiring it to be vacant for two weeks a year.

lincroft1710

If this is a stand alone property, it's very unusual to have a planning condition preventing occupation for 2 weeks in the year. On this basis I would agree with harrys dad on the difficulty of removing such a condition.

bouicca21

Surely holiday home restrictions are usually longer than 2 weeks? You could meet that by simply going on holiday yourself ...

p00hsticks

lincroft1710 wrote: »

If this is a stand alone property, it's very unusual to have a planning condition preventing occupation for 2 weeks in the year. On this basis I would agree with harrys dad on the difficulty of removing such a condition.

I would imagine that we're talking about something like this

http://www.rightmove.co.uk/property-for-sale/property-41124551.html

Endercriley

Sorry to take so long to get back to you all, forgot my login!

Yes it's that style of thing on the attached link, one of a number of similar 'holiday homes'. The 2 week unoccupied stipulation is impossible for the authorities to monitor or enforce, I'm just wondering would removing that stipulation increase value.

Cheers

dimbo61

Would it increase value ? Could you rent out for the extra two weeks !
Sorry the example shown has an "F" EPC rating so can you rent it out after 2018 ?
Hope the one you are looking at has a much better EPC as that is shocking for a new property.
Holiday let or not.

Endercriley

The EPC rating for the place I'm looking at is C

cattie

It isn't the council who you need to worry about enforcing the restriction, it will be the site owners/managing agents & it will be a condition of the lease. This means it is a legal requirement & breaking/breaching the terms of the lease could result in the freeholder seeking to have your lease revoked & the property claimed back. Plus to boot you could end up having to pay the freeholder's legal costs too.

If you want a place to live in all the year round then a holiday place isn't for you.