Beach hut house prices climb 41% as holidaymakers invest in staycation bricks and mortar
According to the latest research by Hoo, the hotel room offer platform, the price being paid for beach huts has surged by 41% in the last year, although continued lockdown restrictions have caused beach hut rental prices to fall by -4.1%.
Hoo analysed the beach hut property market looking at both the asking price of sale stock advertised, as well as the cost of renting a beach hut in five popular staycation locations.
The research shows that the average daily rate of renting a beach hut sits at £52, a -4.1% drop when compared to the cost of renting last year.
Bournemouth sits at the more affordable end of the beach hut rental market, with an average daily rate of £26 per day, with neighbouring Sandbanks (£28) and Southwold in Suffolk (£28) also coming in at the lower end where rental costs are concerned.
Whitstable in Kent is slightly less affordable at £50 per day, while Mudeford in Dorset tops the list as the most expensive beach hut rental hotspot at £130 per day.
To put this cost into perspective, the average daily rate of a hotel currently sits at £64 and even in London, this climbs to just £113.
If you were to rent a beach hut in Mudeford for a month, you would be looking at a rental cost of £3,639 which is even more expensive than the average rent in Kensington and Chelsea (£2,977).
Hoo also analysed the asking price of beach huts currently listed for sale on the market and how this compares to a year ago.
While lockdown restrictions have hampered the beach hut rental market, the prospect of another summer of staycations has seen beach hut sale prices soar.
At present, a beach hut purchase will cost you £36,034 on average, a 41% jump on last year. However, in some areas they can set you back considerably more, with three beach huts in Mudeford currently sold subject to contract at an asking price of £325,000.
Hoo Co-founder, Adrian Murdock, commented:
“With a great deal of uncertainty remaining around what we can and can’t do this summer, there has been an understandable wobble in the cost of renting a beach hut. That said, beach hut rental prices remain robust and with another summer of staycations on the cards, they’re likely to climb considerably over the coming months.
It also seems as though demand for beach huts is pushing up prices as holidaymakers invest in their own piece of beach hut bricks and mortar. A 41% uplift in the last year alone is pretty considerable although as with any property investment, location is key when it comes to both the price achieved and the property’s rental potential.â€
Beach Hut Location | County | Daily Rental Rate | Monthly Rental Rate | Annual Change (%) |
Sandbanks | Poole, Dorset | £28 | £791 | -16.5% |
Southwold | Suffolk | £28 | £770 | -7.5% |
Bournemouth | Bournemouth | £26 | £738 | -1.8% |
Mudeford | Dorset | £130 | £3,639 | -5.7% |
Whitstable | Kent | £50 | £1,394 | 13.2% |
Average | £52 | £1,467 | -4.1% | |
Property Type | Average Asking Price (Apr 2020) | Average Asking Price (Apr 2021) | Change (%) |
UK Beach Hut | £25,578 | £36,034 | 41% |
Room Type | Daily Rate | Difference (%) |
Mudeford Beach Hut | £130 | N/A |
Hotel – London | £113 | 15% |
Hotel – Regions | £64 | 102% |
Rental Location | Monthly Rental Cost | Difference (%) |
Mudeford Beach Hut | £3,639 | N/A |
Kensington and Chelsea | £2,977 |
Ends
Notes to Editors: –
– Beach hut rental prices sourced from BeachHuts.com
– Average asking prices for UK beach huts sourced from BeachHuts4Hire and Trovit
– Hotel room rates sourced from PWC forecast report
– Rental cost comparison sourced from Office for National Statistics
– Hoo is the hotel room offer platform, cutting out the expensive middle man so you can secure the best price for the room you want.
– Hoo allows users to book a hotel room at the advertised rate, or to make an offer on the room which the hotel can accept or decline in real time.
– Hoo was founded by Sebastian Lewis and Adrian Murdock, and is backed by hotel industry insiders.
– Sebastian Lewis is also the founder of UK crowdfunding’s first ever sale/exit with Mettrr, the global automated website builder.
– Adrian Murdock is also the co-founder of babysitting app, Bubble, and a former Betfair exec.
– They have successfully tackled the challenges of child-care, betting and automated website creation and are now set to solve what they describe as the ‘broken hotel booking process’.
– Hoo is a concept that started with a pub conversation borne out of frustration with the seeming imbalance of power that the global hotel room aggregators wield.