Unless you live a life of luxury and are free to do as you like throughout the entirety of the year, it’s likely that you won’t be able to spend all your time at your holiday home. Whether it’s in sunny Spain or picturesque Portugal, having a holiday home is a great way to feel comfortable while you’re abroad and do things the way that you like without the restrictions of hotels. Most people only spend a few weeks a year at their holiday home if they are lucky, so if you want to make the most out of the investment, have you considered renting out your holiday home?
Find out how to make a success of renting out your holiday home while you’re not using it.
Consider the type of mortgage that you choose
If you are planning on letting out your property, you need to be sure that you are choosing the right mortgage type. You will need to ensure that you choose a normal mortgage and not a buy-to-let or a second residential mortgage, as these usually prohibit borrowers from letting the property as a holiday home. Speak to a mortgage advisor about the best option for you.
Let the taxman know
As is the case with most things, letting out your holiday home is going to come with tax implications. If your rental income is more than £2,500, you need to report this on your self-assessment tax return.
Make the most of technology
When it comes to letting out your holiday home, utilising technology well is one of the best things you can do to not only attract holiday-makers but also save yourself money and time. Firstly, ensuring that your property has Wi-Fi is an absolute must. Sure, people come on holiday to get away from the pressures of everyday life, but that doesn’t mean that they don’t want to check the news on their phone or upload photos to their social media accounts.
Another type of technology that you could use is one that will allow you to remotely control your heating. This will allow you to adjust it yourself during unoccupied periods and having efficient heating will increase your chances of getting bookings during the winter months.
Don’t forget to screen and set house rules
It’s important to remember that this is your property that you have invested time and money in, so you want to be sure that you aren’t just letting anyone stay in it who could potentially damage things. Be sure to lay out your wishes and requests clearly in your terms and conditions and remember to have a good chat with potential tenants on the phone, if not meeting them in person.