While we are over the staycation boom that happened during the pandemic, bookings are still 16% higher than before the outbreak.
It’s also proving to be very profitable, as a report from Sykes Holiday Cottages found that owners typically saw a turnover of £24,000 last year, 59% up on 2019.
This rises to £33,000 for a three-bedroom property, and £57,500 for a let with five beds or more.
Graham Donoghue, chief executive of Sykes Holiday Cottages, said: “We’re still seeing a significant number of new holiday home owners join us despite the rising cost of living, and positively for owners, bookings and income levels are continuing to grow.
“The government’s impending review into the sector can’t be ignored and our research would suggest that this is on holiday let owner’s radars too. However, at this stage, our view is that any immediate changes for the sector are quite unlikely amid other priorities in government.
“In the meantime, our focus as a business is on continuing to demonstrate the sector’s positive impact while playing our part in supporting its sustainable growth.”
A quarter (25%) of UK holiday home owners are very worried about the potential of new regulations or fees being enforced, with a further 52% somewhat worried.
The government is currently exploring how to regulate the sector, owing to concerns about short-term lets reducing the supply of long-term rental stock, as well as dominating some regions of the UK – diminishing local communities.
Cumbria and the Lake District are the highest-earning holiday hotspots for 2022, where owners can earn an average revenue of £28,000.
The Cotswolds also made its first appearance on the top five highest earning regions list, with an average annual income of £28,000, closely followed by the Peak District in third place with an average turnover of £27,500.
For those weighing up what to invest in, hot tubs continue to be the greatest boost for revenue, adding 37% to average incomes, while pet-friendly properties could earn owners 31% more, and WiFi could add 26% in income.
Holiday let owners’ sentiment remains strong, with new owner enquires up 173% versus 2019.
Some 84% of holiday let owners say bookings are still stronger than ever, with bookings to Sykes’ properties currently up 9% year-on-year, while 63% are planning to grow their holiday let portfolio over the next five years.
