Reality behind the summer dream

It's time to take off the rose-tinted glasses and weigh up the costs and benefits of buying a holiday home

- TOM WATSON

Every year over the summer holidays, a great migration takes place. Australians, in their droves, pack their bags, load up their cars and head for the coast or the country for a well-earned vacation.

Many who enjoy magical summer getaways also have an annual dream of buying a holiday home of their own - a dream that has been made more financially feasible in recent years by the possibility of renting it out through one of the popular short-stay accommodation platforms such as Airbnb and Stayz.

But new regulations being rolled out by governments and councils are biting into this short-stay rental proposition.

So, for anyone seriously contemplating their future holiday plans, here are some of the pros and cons of buying a holiday home from a lifestyle and investment perspective, as well as a run-through of the recent regulatory changes that may affect your future plans. Let's start with how to holiday:

Alternatives to buying. Purchasing a property of any kind is likely to cost hundreds of thousands of dollars in upfront and ongoing costs. So, aside from owning a holiday home, what other accommodation options are there and how can you get the best bang for your buck when booking them?

Hotels and motels. While there won't be a hotel or motel in every small town, and they might not suit the needs of larger groups, they could be an option for smaller families. With any booking over the busy summer period, the general advice is to do it as early as possible, and make sure you check prices on different comparison websites as well as directly with the hotel.