Investing in a holiday home provides an opportunity for personal retreat and potential rental income. The key to a successful investment is choosing the right location.
In this article, we explore the 25 best places to buy a holiday home, considering factors such as market trends, affordability, natural beauty, amenities, and cultural attractions and current statistics that can help you in making the best decision.
What to take into consideration before investing in a holiday home
According to Census data, there has been a notable 4.7% rise between 2011 and 2021 in the number of individuals who spend more than 30 days per year in a holiday home. From 2021 to the present times, the figure reflects a significant increase, with thousands more people opting to stay in holiday homes for an extended duration compared to a decade ago.
When considering the investment potential of a holiday home, it’s important to be aware of the challenges that businesses face. Startups, in particular, encounter a level of risk and uncertainty. According to a recent report by CyberCrew, approximately 20% of all businesses in the UK fail within the first year, while a staggering 60% go bankrupt within the first three years. These statistics highlight the importance of conducting thorough research and due diligence before making any investment decisions.
In the dynamic landscape of startups, the United Kingdom has emerged as a hotspot for innovation and entrepreneurial success. The country has fostered an impressive number of unicorn startups, with a total of 122 as of recent reports. These unicorn startups represent companies that have reached a valuation of $1 billion or more, indicating their significant growth and market impact. Also, the UK’s tech startup scene has experienced substantial financial growth. In the first five months of 2022 alone, UK tech startups raised a staggering 12.4 billion British pounds. This influx of funding demonstrates the investors confidence and potential opportunities available within the UK startup ecosystem.
These statistics highlight the vibrant entrepreneurial spirit and investment potential within the United Kingdom. Holiday home buyers considering locations within the UK can take advantage of the thriving startup scene, which can contribute to the overall economic stability and innovation within their chosen destination.
In addition to considering market trends and affordability, it’s also essential to understand the economic landscape when making an investment decision. According to recent statistics from the UK government, the business population in the country reflects a diverse range of sizes. As of 2022, there were approximately 5.47 million small businesses, 35,900 medium-sized businesses, and 7,700 large businesses. These figures demonstrate the vibrant private sector and the potential for holiday home buyers to engage with local businesses, contributing to the overall economic vitality of their chosen destination.
Best Places to Buy a Holiday Home
1. Cornwall, England: An Idyllic Coastal Haven
Nestled in southwestern England, Cornwall boasts picturesque coastlines, charming villages, and a rich cultural heritage. With stunning beaches, rugged cliffs, and a variety of outdoor activities, Cornwall remains a favourite among holiday home buyers.
As already mentioned above, the entrepreneurial landscape in the United Kingdom has witnessed significant shifts and trends in recent years. From a surge in new incorporations to changes in the number of small businesses, these statistics provide valuable insights for holiday home buyers considering the investment potential within the UK market.
From 2020 to 2021, the UK experienced a remarkable milestone in its business history. Over 800,000 new incorporations were recorded, marking the highest number of new business formations in a single year. This surge in entrepreneurial activity reflects the entrepreneurial spirit and opportunities available within the country. However, it is important to note that there has been a decline in the number of small businesses in the UK. In 2023, the number of small businesses stood at 5.5 million, a significant decrease from 5.9 million in 2020. This decline represents a fall of 6.6%, indicating the changing landscape and challenges faced by small businesses.
These statistics illustrate the dynamic nature of the UK business environment. While there has been a decline in the number of small businesses, the record-breaking number of new incorporations showcases the ongoing entrepreneurial drive within the country. Holiday home buyers can consider these factors when evaluating the economic landscape and investment potential of their chosen destination.
2. Costa del Sol, Spain: The Sunny Paradise
Renowned for its year-round sunshine, the Costa del Sol offers an enviable Mediterranean lifestyle. Beautiful beaches, vibrant nightlife, and a rich cultural scene make it a popular choice for holiday home buyers.
3. Algarve, Portugal: A Coastal Gem
The Algarve, in southern Portugal, offers breathtaking landscapes, golden beaches, and a welcoming atmosphere. With a mild climate, affordable property prices, and a well-established tourism industry, it is an appealing destination for holiday home buyers.
4. Tuscany, Italy: Timeless Beauty and Culture
Tuscany combines natural beauty and rich history with rolling hills, vineyards, charming villages, and iconic cities like Florence and Siena. Renowned cuisine, world-class wineries, and proximity to the stunning Tuscan coastline make it an enchanting destination for a holiday home.
5. Bali, Indonesia: Tropical Paradise
Bali, the “Island of the Gods,” offers a tropical paradise with lush landscapes, stunning beaches, and vibrant local culture. Its unique blend of spirituality, traditional arts, and breathtaking scenery make it sought-after for holiday home buyers.
6. Côte d’Azur, France: Riviera Chic
The Côte d’Azur, also known as the French Riviera, exudes elegance and charm with its glamorous resorts, beautiful beaches, and vibrant coastal towns like Nice, Cannes, and Saint-Tropez. It is a haven for those seeking a luxurious holiday home.
Did you know that you can expect as many as 300 days of sunshine here? That sounds like a pretty good reason to consider having a holiday home in this sunny region.
7. Greek Islands: Mediterranean Bliss
The Greek Islands offer a Mediterranean paradise with crystal-clear waters, white-washed villages, rich history and over 500 islands.
Whether you choose Santorini, Mykonos, or Crete, each island has its unique charm and attracts tourists year-round.
8. Dubrovnik, Croatia: Historic Coastal Charm
Dubrovnik, a UNESCO World Heritage site, combines mediaeval architecture, breathtaking coastal views, and a vibrant cultural scene. The city’s popularity has soared in recent years, making it an attractive destination for holiday home buyers.
In 2022, Croatia experienced a significant surge in holiday visitors, with a remarkable 44% increase compared to the previous year. A total of 15.3 million individuals chose Croatia as their holiday destination, reflecting the growing popularity and appeal of the country’s offerings.
9. Phuket, Thailand: Tropical Oasis
Phuket, Thailand’s largest island, boasts pristine beaches, turquoise waters, and a vibrant nightlife. With its tropical climate, friendly locals, and excellent infrastructure, it offers a relaxed and exotic setting for a holiday home.
10. Maui, Hawaii: Pacific Paradise
Maui, one of Hawaii’s most sought-after islands, showcases stunning beaches, lush rainforests, and dramatic landscapes. There are 154,732 residents in Maui County, with a median age of 42.4 and with its laid-back lifestyle, outdoor activities, and world-class resorts, Maui is an enticing destination for holiday home buyers.
11. Cape Town, South Africa: Scenic Wonder
Cape Town, nestled between mountains and the sea, offers a unique blend of natural beauty, cultural diversity, and exciting adventures. With its stunning coastline, vibrant culinary scene, and iconic landmarks, it’s a dream destination for many.
12. Lake Bled, Slovenia: Fairytale Setting
Lake Bled, with its emerald-green lake and a mediaeval castle perched on a hilltop, resembles a scene from a fairytale. The surrounding Julian Alps, charming villages, and outdoor activities make it a hidden gem for a holiday home.
13. Amalfi Coast, Italy: Coastal Splendor
The Amalfi Coast is renowned for its dramatic cliffs, colourful villages, and breathtaking views of the Mediterranean Sea. It was designated a World Heritage site in 1997, and with its renowned cuisine, charming towns like Positano and Amalfi, and proximity to Naples, it offers a slice of Italian paradise.
14. Marrakech, Morocco: Exotic Oasis
Marrakech entices visitors with its bustling markets, stunning palaces, and vibrant blend of African, Arab, and European cultures. The city’s unique atmosphere, warm climate, and rich history make it an alluring destination for a holiday home.
15. Whistler, Canada: Winter Wonderland
Whistler, a renowned ski resort in British Columbia, offers a winter wonderland of snow-capped mountains, world-class skiing, and a vibrant après-ski scene. With its year-round outdoor activities and stunning natural beauty, it’s an ideal destination for nature lovers.
16. Cape Verde: Beach Paradise
Cape Verde, an archipelago off the coast of West Africa, boasts pristine beaches, crystal-clear waters, and a relaxed island lifestyle. The diverse landscapes, vibrant culture, and warm hospitality make it an emerging destination for holiday home buyers.
It is also the third largest nesting site for loggerhead turtles, which makes it a special place on the list.
17. Provence, France: Provencal Charms
Provence, in the south of France, captivates with its picturesque countryside, lavender fields, and charming villages. Its rich history, world-class wines, and proximity to the French Riviera make it a captivating region for a holiday home.
18. Big Island, Hawaii: Volcanic Majesty
The Big Island of Hawaii showcases breathtaking landscapes, including active volcanoes, black sand beaches, and lush rainforests. With its unique natural wonders, rich Hawaiian culture, and outdoor adventures, it offers an unforgettable getaway.
19. Santorini, Greece: Aegean Splendor
Santorini is the largest and southernmost of the Cyclades, an archipelago of 56 islands southeast of Athens and mainland Greece.
It mesmerises visitors with its iconic whitewashed buildings, blue-domed churches, and stunning sunsets. Its romantic ambience, volcanic landscapes, and world-class hospitality attract holiday home buyers from around the world.
20. Stockholm Archipelago, Sweden: Tranquil Retreat
The Stockholm Archipelago, consisting of thousands of islands, offers a tranquil escape into nature’s beauty. Stockholm’s oldest building dates back to 1270, so there is a lot of history there. With its picturesque landscapes, charming coastal villages, and a strong emphasis on sustainable living, it’s an idyllic destination for a holiday home.
21. Miami, Florida: Beachside Glamour
Miami, known for its glamorous beaches, vibrant nightlife, and diverse cultural scene, offers a dynamic lifestyle. With its thriving real estate market, year-round sunshine, and proximity to Latin American culture, it attracts investors seeking a vibrant holiday home.
22. Baliem Valley, Indonesia: Cultural Immersion
Baliem Valley, located in the highlands of Papua, Indonesia, offers an opportunity to immerse oneself in traditional tribal cultures and stunning natural surroundings. With its unique indigenous experiences and breathtaking landscapes, it provides a truly off-the-beaten-path holiday home option.
23. Queenstown, New Zealand: Adventure Playground
Queenstown, nestled in New Zealand’s South Island, is renowned for its adventure activities, breathtaking scenery, and outdoor pursuits. Whether it’s skiing, bungee jumping, or exploring the fjords, Queenstown offers an adrenaline-filled getaway. Attention, wine lovers: You can taste over 80 different varieties of wines here, so make sure you secure that holiday home!
24. Puglia, Italy: Rustic Elegance
Puglia, located in southern Italy, enchants its charming countryside, whitewashed trulli houses, and delicious cuisine. Its stunning coastlines, olive groves, and historic towns like Alberobello make it a captivating region for a holiday home. Did you know that the region provides around 40% of the country’s olive oil, which amounts to around 300,000 tonnes every single year?
25. Sedona, Arizona: Desert Oasis
Sedona, with a population of 10.000, is known for its striking red rock formations and spiritual energy and offers a unique desert oasis experience. With its vibrant arts scene, outdoor adventures, and serene natural beauty, it’s an ideal destination for relaxation and rejuvenation.
Conclusion
When it comes to buying a holiday home, the choices are abundant, offering diverse landscapes, cultural experiences, and investment potential. Whether you prefer coastal paradises, exotic escapes, or hidden gems, the 25 destinations mentioned above are among the best places to consider for your holiday home investment.
By carefully considering market trends, affordability, natural beauty, and amenities, you can find the perfect retreat that will provide unforgettable experiences and potential rental income for years to come.