One of the key factors in buying a holiday let or second home is the number of bedrooms it has. Obviously this is one of the key factors which affects the price or value of a property in the estate agent’s window. But what are the factors and influences around the sleeping capacity of a holiday home?

If the property is to be kept as a private second home, this is pretty straight forward – thinking about who will use the property, from yourselves and immediate family, friends or possibly work colleagues. But if you intend to let it out...

One Bedroom properties

Whether it is an apartment, cottage, lodge or lighthouse, one bedroomed properties deserve a special mention here. Sleeping just the two people, they cater to couples obviously, and there is plenty of demand, especially from retired couples who like to travel in the shoulder months (March to June and September to October). This can be useful boost to occupancy and extending the letting season.

The downside is demand in the peak weeks, typically Spring Bank Holiday and July and August. Typically prices rise at these times where demand is far stronger. However this is based around the school holidays when families are looking for accommodation. One bedroomed holiday properties do not appeal to this market as they cannot accommodate a family.

Secondly, charging a higher price in the summer can put the property in direct competition with hotels. While this is a admittedly a different product, in terms of facilities and space, for a couple looking to holiday in the height of summer, it is worth checking the local competition from hotels and B&B’s to compare prices.

As an example, this high quality one bedroomed cottage is £532 per week in August which equates to £76 per night. In the same immediate area a couple can stay at http://www.bre-penfarm.co.uk/ for £65 per night including breakfast every morning.

Both accommodations have their benefits, but it is worth understanding and emphasizing the appeal and selling points of a one bedroomed property in this context; thinking about the extra room, kitchen facilities and practicalities of self-catering.

Of course there are plenty of couples who are looking to book at this time, such as teachers or factory workers with limited flexibility over when they can have a holiday, and of course there will always be the demand for accommodation when the weather is, theoretically, at it’s best.

Larger properties

Two and three bedroomed properties tend to be the most common as holiday lets, as they will accommodate an average family of the parents and 2 or 3 children. Other markets to think about are couples who holiday as a group and extended families or ‘greycations’ where three generations of a family stay together.

Demand for properties with more than three bedrooms is high, especially in the peak weeks, when there is a limited amount of available properties. And this is where self-catering comes into its own; it gives friends and families the opportunity to spend time together under one roof.

Setting prices for larger properties can be tricky as there is less competition. One way to set prices is to define a per-person per week price and use multiples of that. So if the typical rental rate of a 1 bedroomed property is £400 in the peak weeks, this is £200 per person. Multiplying that be the sleeping capacity will give a guideline price for larger properties and a 2 bed property sleeping 4 can charge £800 and a 3 bed can charge £1200. Of course these figures vary widely around the country and are dependent on the quality and location of the property.

One final note

It is tempting to maximise the sleeping arrangements to accommodate as many guests as possible by using bunk beds, fold-outs beds and temporary beds. If the property is over populated this can lead to complaints and problems for guests during the stay. Here are a few questions to consider when setting the maximum number of guests.

• Is there enough seating for the guests in the living area?
• Is there enough seating around the dining table for guests?
• Does the kitchen have enough facilities to cater for the guests?