When is the right time to buy a holiday home?

In the UK, the best time of year to buy a home is said to be March. According to Rightmove, March is the month where ‘home-movers spring into action’ and there are the most options on the market. Following that, April and May are the next best months to buy due to ‘lots of buyers and sellers being motivated to get into a new home for the summer months’. Less people tend to buy and sell homes in the winter months due cold temperatures and reduced daylight hours making it a less desirable time to move. No matter where in the world you are looking to buy, you should ask the following questions if you are planning to buy a home in 2023. 

Where is the best location?

The destination should be one of the first considerations, and there are two things to consider with regard to location. Not only is the popularity of the destination important, but within the area is it considered a good location? Is it close to local attractions, restaurants and transport links? Traditionally popular tourist destinations tend to attracts lots of people, resulting in higher demand from renters as well as competition amongst property owners. Thus, it can mean that properties in such desirable places come with a premium price tag. Investigating up-and-coming destinations may be beneficial as an alternative. If you’re looking to buy a summer vacation home, it may be better to get the ball rolling earlier in the year; and vice versa for winter. Take a look at the Lonely Planet guide to where is best to travel every month of the year for more inspiration!

Is it profitable?

Depending on the location, seasonality plays a big part in making a profit. Seasonality can be a major factor in driving profits, with many vacation rental businesses relying heavily on the seasonal fluctuations of customer demand. In cities such as London, this is less of an issue due to its popularity being fairly consistent year-round. On the other hand, locations dedicated to specific activities, such as ski resorts, are far more dependent on seasonal trends, with winter being the peak season for snow activity holidays. Summer months tend to see beachside resorts crowded with people taking full advantage of their vacation time. Understanding these seasonality trends and how they impact the location’s customer demand is essential for businesses seeking to maximise their profit potential in any given year. Having a plan for the lower season is wise. Another thing to consider is how much the property would sell for in the future.

How much maintenance is needed?

The amount of maintenance needed can influence how quickly you can get your holiday home on the market. If you choose a property that’s already equipped with all the necessary amenities or only needs minimal renovations, you’ll be able to get it on the market much faster. However, if you’re looking for a redevelopment project, this may not be as big of a concern. Regardless, it’s important to have a clear understanding of what work will need to be done before making any decisions. Buying a holiday home is an exciting endeavor but when it comes down to making this kind of investment, timing is key.