Why the Cotswolds Remains a Top Choice for Second-Home Buyers
The UK’s property market has seen its fair share of ups and downs, and the second-home sector is no exception. While some speculate that tax changes and economic uncertainty might deter buyers, the reality in the Cotswolds tells a different story. Demand remains steady, but buying habits are shifting, and overseas interest is at an all-time high.
A shift in UK buyer budgets
Traditionally, the Cotswolds has been a prime location for second-home buyers, with its picturesque villages, rolling countryside, and close proximity to London. While demand is still strong, UK buyers are exercising more caution with their budgets. In previous years, many were willing to invest around £1.5 million in a holiday or second home, but today, the typical purchase range has adjusted to between £800,000 and £1.1 million.
This trend suggests that while people still aspire to own a second home in the region, they are more conscious of their financial outlay, most likely in response to economic pressures, higher mortgage rates, or evolving priorities in their investment strategies.
Interest from overseas buyers remains strong
Despite increased stamp duty and other tax burdens, overseas buyers are showing no signs of stepping away from the UK property market, particularly in sought-after locations like the Cotswolds.
In fact, we’ve seen the number of international buyers growing significantly, with strong interest from the US, as well as an increasing number of buyers from Dubai and Singapore. Many of these buyers are purchasing second homes with a strategic, long-term outlook, often renting them out initially before eventually relocating.
Currently, around 30% of my clients are international buyers, demonstrating the resilience of the overseas market. Meanwhile, another 20% are returning UK expats, some of whom are choosing to rent out their properties before making a permanent move back home. This steady flow of interest from abroad ensures that the Cotswolds remains an attractive destination for investment.
The Cotswolds attraction
For UK-based buyers, second-home ownership in the Cotswolds is still desirable, even if spending habits have shifted. Approximately 15% of my client list consists of UK-based second-home buyers. Meanwhile, the remaining share of buyers is made up of families relocating permanently, driven by a desire for more space, better schools, and an improved quality of life.
While the broader tax environment and economic conditions are factors that all buyers must consider, the demand for property in the Cotswolds remains robust. Whether it’s a shift in budgets or an increasing international presence, one thing is clear: the Cotswolds continues to be a prime location for those seeking a second home, a rental investment, or a future place to settle.
For those looking to purchase in the Cotswolds, working with an experienced property consultant can make all the difference in securing the right property at the right price. If you are looking to purchase in the Cotswolds, please do get in touch for a no obligation chat.