Holiday let investors face shortage of cottages, with Cornwall topping supply list

Cottage-style properties, long favoured by holiday let investors and staycation seekers, are in short supply across England, accounting for just 4% of all homes currently listed for sale, according to new research by Regency Living.

Cottage-style properties, long favoured by holiday let investors and staycation seekers, are in short supply across England, accounting for just 4% of all homes currently listed for sale, according to new research by Regency Living.

Out of approximately 367,425 residential properties on the market, only 14,830 are cottages, underscoring the challenge for investors looking to tap into the booming domestic tourism market with traditional countryside homes.

The analysis also reveals a geographic divide, with cottage availability concentrated in rural and coastal counties, and far scarcer in urban areas.

Best counties for cottage hunters

Cornwall leads the rankings as England’s top hotspot for cottages, where they make up 12.6% of all homes for sale. It’s followed closely by Herefordshire (12.2%) and Rutland (11.8%). Other strongholds for cottage stock include:
• Somerset
• Gloucestershire
• Devon (9%)
• Isle of Wight (8.9%)
• Wiltshire (8.4%)
• Dorset (8.1%)
• Cumbria (8%)

These areas not only offer higher cottage supply, but are also traditionally popular with tourists — making them prime targets for holiday let investors seeking character properties in high-demand locations.

In contrast, Greater London has the lowest proportion of cottages for sale, with the property type making up just 0.7% of listings. Other regions with limited availability include:
• Merseyside (0.8%)
• West Midlands County (0.9%)
• City of Bristol (1.2%)
• Tyne & Wear and Greater Manchester (1.7%)
• Durham (1.8%)

The findings highlight a key challenge for would-be investors with a preference for traditional British charm, especially as rural cottages have become increasingly sought after for short-term holiday lets and second homes since the pandemic-driven shift to domestic travel.

With rising demand and limited supply, buyers targeting this niche are likely to face strong competition, particularly in the most picturesque parts of the country.