Holiday bookings down considerably

Pennylane

There is little evidence here of people being on tight budgets and not going on holiday.
we got stuck in a traffic jam a few weeks ago … only a rural one where 2 buses tried to pass in a tiny village. But while we sat waiting we looked at the cars going through and it was like, BMW, Range Rover, Merc, BMW, Audi, Range Rover, Merc etc etc.  and all on recent plates.  

GDB2222

I prefer to staycation, especially in the summer, but let’s face it, the weather is not reliable. It’s not as cheap as it used to be to holiday abroad, but it’s quite possibly cheaper than the uk, and the weather is more reliable.

It may well be that the demand for holiday accommodation in this country is going to stay  down, now that travel restrictions have eased. 

jonnydeppiwish!

GDB2222 said:

I prefer to staycation, especially in the summer, but let’s face it, the weather is not reliable. It’s not as cheap as it used to be to holiday abroad, but it’s quite possibly cheaper than the uk, and the weather is more reliable.

It may well be that the demand for holiday accommodation in this country is going to stay  down, now that travel restrictions have eased. 

Quite possibly the case - a search for a holiday let on the Cornish coast has an average cost of £1700 for 2 weeks. I know cruises aren’t to everyone’s taste, but for the same period I’m off around the Med with Cunard full board for £2,800.
Overpriced lets I think

lookstraightahead

I love holidaying in the U.K. but It's not worth the price. I can go on holiday abroad for a fortnight for the same cost as a week in a caravan in a popular tourist area in the U.K. 

the only thing I will do in the U.K. now are short hotel breaks with deals on, or camping.

 

lookstraightahead

jonnydeppiwish! said:

GDB2222 said:

I prefer to staycation, especially in the summer, but let’s face it, the weather is not reliable. It’s not as cheap as it used to be to holiday abroad, but it’s quite possibly cheaper than the uk, and the weather is more reliable.

It may well be that the demand for holiday accommodation in this country is going to stay  down, now that travel restrictions have eased. 

Quite possibly the case - a search for a holiday let on the Cornish coast has an average cost of £1700 for 2 weeks. I know cruises aren’t to everyone’s taste, but for the same period I’m off around the Med with Cunard full board for £2,800.
Overpriced lets I think

Yes this is what we do. We love cruising, but we also love the U.K., but I just can't bring myself to pay U.K. prices for holiday lets.

lookstraightahead

Pennylane said:

There is little evidence here of people being on tight budgets and not going on holiday.
we got stuck in a traffic jam a few weeks ago … only a rural one where 2 buses tried to pass in a tiny village. But while we sat waiting we looked at the cars going through and it was like, BMW, Range Rover, Merc, BMW, Audi, Range Rover, Merc etc etc.  and all on recent plates.  

Probably no money left. They're probably leased or people have gone into debt to afford them.
I had a lot more debt when I had my big car, big house. Now I have a smaller car and a smaller house I have a lot more disposable income for holidays. 

ts247

There was a huge demand for uk holiday let accommodation after the lockdowns while travel abroad was still restricted.  Due to this the prices became inflated.  In the time since there has been more holiday accommodation made available (lots like yourself switching from long term to holiday lets and lots buying second homes) and travel has opened up, so there is more competition from these other options.  Mostly the price of holiday accommodation has not changed to reflect these changes, with owners/agencies still expecting the sort of rent they were getting at the peak of demand for uk holiday lets.  Of the lets I know of (looking Easter to october), one fully booked with week stays has an unbeatable view, so will always be in demand, one is super flexible with a minimum 2 nights and is chock with short stays, the rest have patchy occupancy and empty augusts.  If you’ve not got a USP (like breathtaking view), look at stay restrictions (are you limiting to 7 nights only?) and reduce price.  Good luck ☀️

simon_or

How's it looking when you do a search for a week's accommodation in July-August in the area as a prospective holidaymaker?

Is there plenty of availability at the same price point with your property being one of them? Or is it only a couple of properties available? That might give you an idea of the price point you're at, how much supply there is and whether you need to adjust the rate.

At a high level, it may be partly due to people's holiday habits returning to normal to the usual summer destinations in Europe and the periphery. More predictable weather, more bang for the buck and options that simply aren't replicable in the UK.

My mortgage broker has mentioned to me previously that she did more holiday let business since COVID that she'd done in the 10 years before that, so it could even just be excess supply in the market using leverage. With the rise in interest rates, there's probably owners who are considering returning to the long term letting market or selling up so perhaps if you hold out the situation may improve.

Pennylane

ts247 said:

There was a huge demand for uk holiday let accommodation after the lockdowns while travel abroad was still restricted.  Due to this the prices became inflated.  In the time since there has been more holiday accommodation made available (lots like yourself switching from long term to holiday lets and lots buying second homes) and travel has opened up, so there is more competition from these other options.  Mostly the price of holiday accommodation has not changed to reflect these changes, with owners/agencies still expecting the sort of rent they were getting at the peak of demand for uk holiday lets.  Of the lets I know of (looking Easter to october), one fully booked with week stays has an unbeatable view, so will always be in demand, one is super flexible with a minimum 2 nights and is chock with short stays, the rest have patchy occupancy and empty augusts.  If you’ve not got a USP (like breathtaking view), look at stay restrictions (are you limiting to 7 nights only?) and reduce price.  Good luck ☀️

We are very flexible.we will do 3 nights+ breaks. We have people in right now for 4 nights.  We got the agency to look at our bookings and they say our pricing is fine, we are flexible and we are getting more bookings than similar properties in the area.

I do agree that holidays abroad are often cheaper. We do AI from our local airport (which is always far more expensive) and we still get a great deal.  However, we mainly get retired couples staying here, many of whom may no longer be able to get insurance to travel abroad.  We also get a lot of people who bring their dog.

We have also had people who are having new kitchens fitted in their own homes or new flooring laid throughout and just want somewhere to relax away from workmen for a week.  

Thanks for all your helpful comments.

AlexMac

lookstraightahead said:

I love holidaying in the U.K. but It's not worth the price. I can go on holiday abroad for a fortnight for the same cost as a week in a caravan in a popular tourist area in the U.K. 

the only thing I will do in the U.K. now are short hotel breaks with deals on, or camping.

 

This is our experience too; we’re comfortable, but not rich, so we take two or three longish, off-season breaks in easy-to-reach and cheap destinations like northern Spain. It’s not just UK accommodation costs which deter, but all the ancillaries; 15 Euros each for a three course meal including a bottle of Alborino by a harbour side in Cantabria versus a tenner for a single glass of wine in Blighty? So now lockdown is over, we’re back on planes and ferries!

 We do also travel frequently to family on the Isle of Wight  - a relatively cheaper UK tourist destination - but because we have to use hotels, we really notice how eye-watering the prices are in any decent places. 

if the OP does go back to long term renting on ASTs to save all those add on and management costs, I guess the upside will be another home for a local family?