Residential or Holiday Let? Which Avenue Should I Explore For My Property?
When deciding whether to let your property on a long-term tenancy or on a shorter holiday let basis there are a number of things to consider. Take a look through our list below to help you make your decision:
Furnished or Unfurnished?
Generally, for residential tenancies the property comes as unfurnished as the vast majority of tenants have their own furniture. If you decide to holiday let your property then all furniture will need to be provided and it is your responsibility to ensure that they have the appropriate fire labels and that they comply with the Furniture and Furnishings Fire Safety Regulations 1988 (amended 1989 and 1993).
Proximity to the Property
With both options it is worth considering whether you would like to manage the tenancy or bookings yourself or if you would rather employ an agent to manage this on your behalf. With residential tenancies, once tenants are settled into the property then they can be less strenuous to manage than holiday lets where you may have guests checking in and out of the property on a more regular basis. With a holiday let, you may also consider whether you would rather be responsible for the changeovers between each booking or if you would rather employ an external housekeeper to look after this for you.
Although both options will offer some return they can differ a lot. A residential let is an almost guaranteed income during the tenancy but will be lower than the weekly price you could charge for a holiday let. However, it is also worth considering that with a holiday let your property may not always be booked and that there will be a lower demand for properties during the winter months. It is also worth taking into account that with a residential let your tenant will usually pay all running costs of the property such as council tax and gas and electric bills. If you decide to holiday let your property, then you will be responsible for these costs.
There are pros and cons to both options but whatever option you decide you are not alone and can ask an experienced agent to help with the let. If you have any questions or would like to speak to our friendly team please call 01747 416 516.