Why investing in hotel property is the best thing for the summer
The arrival of August stands for one thing for many of us- a summer holiday. As Brexit approaches and the pounds value is decreasing, many holiday goers are approaching their trips with caution. Combined with the rising costs of daily life, domestic holidays, affectionately referred to as staycations are on the rise.
What does this mean for Hotels?
The increase in domestic travel over international trips means the demand for UK hotel rooms is skyrocketing. The hotel industry reached a total turnover of £98 billion in 2017 proves the demand for quality hotels in the UK is in prime demand.
The tourism economy accounts for 9.6% of all UK jobs. This equated to 3.1 million jobs in 2013 and producing £126.9 million UK GPD in 2013. This was also a 173,000 net increase in jobs in 2010-2012.
Since 2010 tourism has been the fastest growing sector in the UK in employment terms. Britain is forecasted to have 38.8 million oversea visits equating to £24.9 billion in 2019. The tourism industry is predicted to be worth over £257 billion by 2025. The rise in tourism is a result in the millennial and Generation Z wishing to enjoy experiences over purchased items.
The Brexit Cloud
Brexit’s October deadline has seen the value of the pound plummet making international travel a financial stretch for many. As an alternative many are making the most of British soil choosing city breaks and seaside venues including Brighton, Plymouth and Cornwall. For a property investor, this is the chance of a lifetime to financially benefit from the domestic tourism demand. Investing in a hotel will see both oversea visitors take advantage of the low cost of the pound and British travellers wanting to enjoy a cost-effective vacation.
Interested in hotel properties? Email us at email@example.com