Holiday homes worth billions in England and Wales

Holiday homes worth billions in England and Wales

0:01 AM, 12th July 2023, About A year ago

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New research reveals there are £21 billion worth of holiday homes in England and Wales.

Letting agents Barrow and Forrester discovered there are 71,140 holiday homes found across England & Wales.

Cornwall ranks as the nation’s holiday home hotspot with more than 6,000 properties worth an estimated value of £1.93 billion.

South-West England ranks as the region with the most holiday homes

The research classed a holiday home as a residential property in England & Wales that is owned by an existing resident of England & Wales who already owns a primary home.

The data does not account for overseas or non-resident investors and owners.

The South-West of England ranks as the region with the most holiday homes. The region has nearly 20,000-holiday homes which accounts for 27.7% of the national (Eng & Wales) total – more than any other region.

With the average home in the region worth £327,144 today, these holiday homes have a combined market value of £6.5 billion.

The South East’s 11,995 holiday homes account for 16.9% of the national (Eng & Wales) whole, and with a local average house price of £391,766, they have a collective market value of £4.7 billion.

Holiday homes are an incredibly contentious subject

Managing director of Barrows and Forrester, James Forrester, said: “If you travel to certain corners of England and Wales, holiday homes are an incredibly contentious subject.

“Wealthy buyers snapping up second homes in popular holiday locations result in these properties sitting empty for large parts of the year leading to a lack of housing stock for genuine locals who need a place to live.

He added: “The flip side is that second-home buyers are, in some ways, undoubtedly good for local economies.

“Some of these homes will be used as short-lets which bring lots of visitors in, all of whom spend money and support local businesses. This is essential for many communities that rely on tourism to support their local economy.”

West Midlands has the smallest holiday home market

North Yorkshire has 3,355 holiday homes worth an estimated £925 million in today’s market, along with Gwynedd (£520.5 million), Dorset (£917.6 million) and Westmorland and Furness (£569 million).

With just 1,990 holiday homes accounting for 2.8% of the national total, the West Midlands is the region home to the smallest holiday home market.

Wales has 10,070, 14.2% of the total with a combined value of £2.1 billion.

Mr Forrester says while holiday homes help local communities one big question remains.

“It’s a complex and often moral conundrum, but one thing is for sure – there’s an immense amount of money wrapped up in holiday homes. The question is, does this money work to benefit the right people?”

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