Southwold has entered the UK’s top 10 most profitable holiday let locations for the first time, according to a report from Sykes Holiday Cottages.
Owners in the seaside town earned an average of £35,400 in 2024, up from £34,900 in 2023.
Southwold ranked sixth for earning potential in the UK, with local owners making around 40% more than the national average holiday let income of £24,700 last year.
East Anglia was the most popular region for new holiday homeowner enquiries, according to Sykes’ data.
Lonely Planet named the region as a must-visit destination for 2025, highlighting the coast, countryside, and local towns and villages.
The report also analysed bookings and revenue for 22,500 UK holiday rentals listed with Sykes.
All top 10 earning locations were in England, with the South West, Cumbria and the Cotswolds featuring strongly.
James Shaw, managing director at Sykes Holiday Cottages, said: “East Anglia is fast becoming a staycation powerhouse, and Southwold’s arrival in the UK’s top ten most profitable holiday let destinations is testament to that.
“Known for its charming coastal scenery, rich history and excellent food scene, Southwold has something for everyone.
“With the holiday let market experiencing changing regulations and tax rules, those entering the holiday letting market might want to look to Southwold and its surrounding areas as a strong investment opportunity.”
Shaw added: “It’s a region to watch in the coming years as rising income could help to balance out any of the additional costs owners may face.”
Theresa Macdonald, owner of Seas the Day, said: “We’d visited Southwold for years, staying in a family-owned caravan near the harbour, and completely fell in love with the town – so much so that we eventually bought and renovated a vacant property close to the sea.
“Letting out Seas the Day has been such a rewarding experience, and it’s lovely to see guests returning year after year.
“Southwold is full of character – whether it’s the iconic beach huts, independent shops or the peaceful coastal walks. There’s a charm here that keeps people coming back.”
Macdonald added: “Despite the changing regulations, it’s still a fantastic place to own a holiday let – not just for the earning potential, but for the joy it brings to those who stay.”
