The dream of owning a holiday home in the UK is a tempting one. Imagine escaping to the coast or countryside whenever you fancy, with no need to book flights or hotels. But is buying a holiday home a good investment in 2025? The answer is yes, but there are some important factors to consider. 

This guide will look at the pros as well as some considerations of buying a holiday home in the UK; exploring factors such as location, costs and the potential rental income to help you make an informed decision. 

Potential Benefits of Owning a Holiday Home

First, let’s explore some of the reasons and benefits with owning a holiday home. 

- Personal Enjoyment: This is the most obvious benefit. Having a dedicated space for relaxation and leisure whenever you choose is invaluable.

- Potential Rental Income: Offsetting the costs of ownership by renting out your holiday home when you're not using it can be a significant advantage. 

- Staycation Trend: The rise of 'staycations' in the UK shows no sign of slowing down. Having your own holiday spot to enjoy the staycation boom means you can experience what the UK has to offer across its various destinations. 
 

How Much Do Victory Holiday Homes Cost?

Pricing across our holiday homes can vary. Whilst we provide a RRP for all our homes, you can only buy a Victory home through a park or certified distributor. You will also need to consider factors such as the home’s location, transportation, site fees – which are often charged annually – utilities, maintenance and any optional extras. To get the most accurate price, please speak to a park or distributor. 

We do however offer a range of holiday homes for varying needs and budgets. Our 2 to 3-bedroom Baywood is an entry-level holiday home that is perfect for young families and first-time buyers, whereas our 2-bedroom Kahlo is our new flagship model for 2024. We have a range of luxury holiday homes for affordable prices designed with you in mind, offering the ultimate escape for every getaway. 

All our holiday homes are designed using Novus, setting our holiday homes apart. Novus is a construction process created by Victory, where we use improved technology to bring holiday home construction into the 21^st century. With greater energy efficiency, a more spacious approach and contemporary interiors, our holiday homes are perfect for every occasion. Download a brochure to learn more. 

Potential Rental Opportunity 

Holiday homes, as with many physical assets, do generally depreciate over time. While some sources estimate an annual depreciation rate of around 15%—comparable to the rate often cited for cars—this figure can vary based on several factors, including the property’s location, the level of maintenance, and broader economic conditions. As such, it is wise to treat 15% as a broad guideline rather than a fixed rule; in popular tourist regions or areas experiencing strong property market growth, depreciation may be lower (or in some cases offset by appreciation of the land itself), whereas properties in remote or less sought-after areas might see steeper declines in value. 

Despite the reality of depreciation, owning a holiday home can still be a worthwhile investment if you leverage the potential for rental income. By letting the property when you’re not using it personally—whether through short-term holiday rental platforms or a dedicated property management agency—you can offset ongoing ownership costs such as mortgage payments, maintenance, insurance, and site fees (if applicable). This rental income often helps to recoup part of the initial purchase expense over the long term. 

Furthermore, the UK holiday market remains robust, with many holidaymakers continuing to opt for “staycations.” According to various travel surveys, a significant proportion of Britons choose domestic holidays each year—some studies suggest over half of British holidaymakers prefer UK destinations. This growing demand for high-quality, comfortable holiday rental accommodation can work to your advantage as an owner, enabling you to maintain steady bookings and rental yields. 

However, it’s important to note that local regulations, tax implications and property management responsibilities can vary across different regions. Before purchasing a holiday home, prospective buyers should research local planning rules and holiday-let regulations, explore the seasonal patterns of tourism in the area, and consider seeking professional financial advice to ensure they understand the full scope of costs and benefits. 

Factors to Consider Before Buying a Holiday Home 

As with the costs and potential benefits, there are other factors you may want to consider before buying a holiday home. 

- Location, Location, Location: The location of your holiday home is an important aspect. It’s always worth considering your proximity to popular attractions, beaches, transport links and local amenities. Research areas with high tourist demand and strong rental potential. Popular UK destinations include Cornwall, Yorkshire, the Lake District and Scotland, and at Victory Leisure Homes, we sell to a range of holiday parks across these locations and more. 

- Property Type & Size: Choose a property that suits your needs and budget. Consider how many guests you’ll want to have round, the number of bedrooms and bathrooms, and which interior features are important to you. 

- How Often Will You Use a Holiday Home? This is also a key consideration, but when you are not using your holiday home, you can let it out to create an extra source of income. We have a handy guide on the rules and regulations for letting a holiday home. 

- Do You Need to Pay Tax on a Holiday Home? You will not need to pay council tax or Stamp Duty when buying holiday home, but if you are letting out on a holiday park, you will need to be aware of any site fees which cover waste disposal or maintenance services. 

- Ongoing Costs: Owning a holiday home comes with ongoing expenses, such as: utilities like gas, water and internet, whether you choose to buy specialist holiday home insurance, and any ongoing maintenance of your home. 

Is 2025 the Right Time to Buy a Holiday Home?

We think 2025 is a great time to consider buying a holiday home, and whilst the staycation trend remains strong, you have the flexibility to either stay in your dream UK location or rent out your home when not in use. 

By carefully considering your needs, budget, and the factors outlined in this guide, you can make an informed decision about whether buying a holiday home is the right choice for you. If you would like to know more about the holiday homes and holiday lodges we have in 2025, contact us today to book a showground appointment.