Holiday property

Having a holiday property in another country is becoming more common, as people seek to escape the drizzle and daily grind at home for a more laidback lifestyle. But is it better to buy or to rent somewhere? There are perks to both – read on for a comparison.

Buying a holiday home

If you’ve found a plot of land or a well-priced property in a location you love, you might be considering buying a holiday home. It’s wise to do a lot of research before you commit to anything and if you don’t speak the local language, hiring a professional estate agent is really important. Check the firm’s history and find out their fees to ensure you’re not at risk of being conned or being faced with hidden charges.

You should also take an in-depth look at the area you like; consider crime rates and property prices, and ensure that any holiday home you’re interested in is habitable and safe. Next, give some thought to whether you can afford it. Buying accommodation is a long-term investment and you’ll need to bear in mind things like maintenance costs and taxes you’ll be liable for, both in the destination country and in the UK.

It’s worth comparing mortgage deals before settling on a specific home loan and you can either borrow money from a UK bank to fund the purchase or borrow abroad. Choices of banks at home are limited, although Halifax, Santander, Barclays and Lloyds TSB will lend you money for purchases in countries like Spain, France, Dubai and Italy. If you decide to borrow funds overseas, you’ll need to find a specialist broker, but be aware that their advice is not regulated by the Financial Services Authority.

Of course, once you’ve bought a property overseas, you’ll have the benefit of being able to head off on holiday at the drop of a hat. It can also be a good way to generate an extra income, as you can hire out the accommodation when you’re not using it. You can often pay a firm to organise this for you, but it’s worth remembering that the property will be open to wear and tear, and you’ll be liable for any repairs.

Renting a holiday home

The majority of holidaymakers heading off on a getaway will have chosen to rent some accommodation for a week or so. Although this is the general way to holiday, it can be expensive – especially if you want to travel during peak seasons – which is why the trend towards buying a holiday home is becoming increasingly popular.

However, choosing to rent your accommodation has its own perks. For a start, you can select how luxurious you’d like your chalet, flat or villa to be, as well as the exact area you want to stay in, and you can change your mind from one holiday to the next. With a bought property, you’re confined to the same place, year in, year out. Additionally, you don’t have extra monthly mortgage payments like you would had you bought a holiday home, with owners also being liable for regular maintenance costs.

When you decide to rent somewhere for your holiday, you can book your break well in advance or travel at the last minute, basing your decision on the cost of flights and/or accommodation. It’s true that having your own holiday home will mean it’s free to use, but you’d still have water, gas and electric to pay for, as well as any local taxes and the mortgage. If you travel at the last minute, you can browse all sorts of cheap package deals that often include flights, accommodation, meals and even activities in some cases for just a few hundred pounds.

Renting holiday accommodation means you can totally relax in clean surroundings you won’t be charged to maintain, so you can enjoy a commitment-free holiday, although you won’t have the personal touches you might in a place that you own. For many people, this is a benefit, as there’s no need to worry about private possessions being damaged.

If you want to book accommodation for a winter sports holiday, take a look at the Sno family chalets available during the skiing season and experience the perks of renting a holiday home.