A-HA! So Alan Partridge did have the right idea – living in a Travelodge all your life is cheaper than buying your own home.
Experts have discovered that selling up and booking in full time at the bargain hotel chain could be a boon for your bank balance. And you can still dine like a king every night – at the Little Chef around the corner.
It seems it makes financial sense to follow the lead of David and Jean Davidson, now both in their 70s, who have called their local Travelodge home for over 20 years – and all for less than the cost of buying an average house.
The bill for living in a Travelodge works out at around £1,370 a month – and there’s no water bills, laundry, gas and electric, mortgage and you don’t have to clean and dust or even make your bed.
That’s 290 nights a year at a standard £50 and a further 75 nights at the reduced £26 saver fare. Which works out at £16,450 a year, or £1,370 a month.
Plus you’ll save a fortune on furniture, council tax and home insurance.
If you really can’t stand the idea of a Travelodge for the rest of your life click here for MoneyExpert.com’s mortgage comparison service.
However the Davidsons – and Alan Partridge – have made the Travelodge option add up. Compare the £1,370 a month of living in a Travelodge with the cost of a £200,000 mortgage at a rate of 6 per cent, then add household bills, and suddenly the Radio Norwich host’s decision to stay at the Linton Travel Tavern doesn’t seem such a bad one.
A £200,000 mortgage would cost you £1,303 per month. Then there’s the average monthly council tax bill of £88, gas will typically cost £43.50 a month, electricity £28, water £24 and property maintenance around £32.75 a month.
All in, that’s a total cost of £1,519.25 per month – nearly £150 more than living it up in a Travelodge.
|Monthly Cost||Travelodge||£200,000 property|
|Fee per night||£1,370||n/a|
|Council Tax||Included in the price||£88.00|
|Gas Bill||Included in the price||£43.50|
|Electricity Bill||Included in the price||£28.00|
|Water Bill||Included in the price||£24.00|
|Property Maintenance||Included in the price||£32.75|
|Total Cost per month||£1,370||£1,519.25|
And if you book up to a year in advance, you could make savings of up to 75 per cent on the cost of your Travelodge – meaning your monthly savings could be as high as £1,000 per month.
The Davidsons reckon they’ve spent £100,000 in 20 years in Travelodges and even stay in them when they go on holiday – a real home from home. They’re now getting a room in the Gonerby Lodge Travelodge on the A1 in Lincolnshire named after them. And they still own a flat in Sheffield.
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