Holiday homes vs hotels: Which is the better option?

Settling on accommodation for a trip away isn’t always straightforward, as hotels and holiday homes can both offer distinct advantages.

The classic hotel experience is still highly sought after, as evidenced by the UK’s hotel industry having grown to £16.42 billion in 2022, up from £11.28bn the previous year.

But what happens when guests have a choice between hotels and holiday homes? While a balance needs to be struck when it comes to holiday homes and their long-term impacts on local communities, there are benefits and drawbacks to each type of accommodation to consider.

From cost to amenities via the peace of privacy, here are a few factors that could come into your decision.

Privacy and space

While hotels provide privacy in the rooms themselves, there’s no doubt about the fact that a holiday home offers a more secluded experience, often with private gardens to enjoy. For this reason, holiday homes can be a great choice for families or larger groups. Outside the rooms themselves, hotels tend to have communal areas, such as living or dining areas. Outdoor space is likely to be shared with other guests too.

Those looking to book accommodation often have a trade-off between personal space and social interaction. This is a personal decision to be made by guests and their circumstances. Large groups may feel more comfortable in a holiday home whereas a couple might prefer a hotel. Each case will be different.


When it comes to budgeting, holiday homes tend to be more cost-effective if guests are seeking out a longer stay in a larger group. The prices of hotels are often pinned on the location, nearby amenities and the time of year. This means a large proportion of the budget will go on accommodation if there’s less flexibility and little compromise on these factors when booking.

On top of this, holiday homes are a good option for larger groups. They enable guests to stay together and split the costs. Prices for holiday homes can vary and you’ll want to consider if what’s offered represents value for money, which might also involve checking whether the proprietor has suitable holiday home insurance to confirm that they take seriously the responsibilities of providing accommodation.

Amenities and services

The kinds of amenities available in holiday homes and hotels will vary. In holiday homes, visitors can enjoy private gardens and outdoor areas, sometimes with pools. Inside the home, there will be a kitchen and laundry facilities, giving guests flexibility when it comes to eating and washing. Many holiday homes also have board games, books and DVDs to enjoy, which can be especially handy when children are staying.

Meanwhile, in hotels, guests can benefit from concierge assistance to help out with any issues or faults with the room. Housekeeping also means there’s a regular cleaning service, while room service gives visitors the option to order food and drink directly to their rooms.

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