Cornwall Property Hotspots for Investment in 2025 

With its stunning coastline, charming villages, and growing appeal among remote workers and second-home buyers, Cornwall continues to attract interest from investors in 2025. Whether you’re looking for capital growth, holiday let potential, or a peaceful place to relocate, the region offers a range of opportunities that make it one of the best places to live in Cornwall—and, crucially, to invest. 

Cornwall’s property market has remained resilient, bolstered by shifting lifestyle priorities and continued domestic tourism. As demand grows for homes near the coast or in quieter countryside locations, investors are taking notice of the areas offering not only a great quality of life but also strong returns. 

Let’s explore the key Cornwall property hotspots to watch in 2025, and what makes them ideal for different types of buyers and investors. 

1. Newquay: Riding the Wave of Regeneration 

Newquay has transformed in recent years from a party town into one of Cornwall’s most dynamic investment locations. With ongoing regeneration projects, improved infrastructure, and a new tech campus drawing talent from across the UK, the town is evolving into a modern, family-friendly destination. 

Why invest in Newquay? 

• Increasing demand from families and professionals 
• Year-round rental potential, not just seasonal lets 
• Airport access (Newquay Airport connects to London, Manchester, and beyond) 
• Close proximity to the popular Fistral Beach and Watergate Bay 

Buy-to-let investors can benefit from both long-term tenancies and short-stay holiday lettings. Prices are still competitive compared to hotspots further south, though they’re rising steadily—making now a potentially smart time to invest. 

2. St Ives: High-End Holiday Let Appeal 

St Ives remains one of Cornwall’s most desirable coastal towns. Known for its picturesque harbour, art galleries, and white-sand beaches, it continues to draw affluent tourists and second-home buyers. 

What makes St Ives stand out? 

• Extremely high demand for holiday lets 
• Premium nightly rates during peak seasons 
• Consistent capital appreciation 
• Prestigious postcode appeal 

That said, St Ives has a primary residence restriction in place for new builds, meaning only full-time residents can purchase certain properties. This limits the supply of buy-to-let options, but also drives up the value of existing homes. Investors looking for high-end holiday accommodation will find excellent returns here, particularly with sea views or central locations. 

3. Falmouth: A University Town with Year-Round Demand 

Falmouth combines the best of student life, maritime history, and creative energy. Home to Falmouth University, this town has a built-in population of renters and a vibrant cultural scene that keeps it thriving year-round. 

Key investment highlights: 

• Consistent rental demand from students and young professionals 
• Strong short-term let performance during the summer 
• Regeneration along the harbour and marina area 
• Excellent transport links and amenities 

Falmouth’s property market is more affordable than the likes of Padstow or St Ives, making it appealing for first-time investors. Plus, the mix of long- and short-term let potential offers flexibility in your investment strategy. 

4. Truro: Cornwall’s Commercial and Administrative Hub 

As Cornwall’s only city, Truro offers a different kind of investment appeal. It may not have the seaside charm of its coastal cousins, but it compensates with year-round rental demand, strong infrastructure, and proximity to both coasts. 

Why consider Truro? 

• Solid long-term rental yields 
• Employment base includes healthcare, retail, and public sector jobs 
• Well-served by train and road links 
• Less seasonal price fluctuation than tourist-centric towns 

Truro is particularly suitable for landlords seeking reliable tenants and minimal void periods. As a base for professionals, families, and even retirees, it’s a steady performer with good capital growth potential. 

5. Padstow: For Luxury and Lifestyle Investors 

Padstow is synonymous with Cornish fine dining, boutique shops, and celebrity chef Rick Stein. Its scenic harbour and exclusive atmosphere have made it a favourite for affluent second-home buyers. 

What makes Padstow a standout? 

• Extremely limited housing stock 
• High demand for high-end holiday lets 
• One of the most prestigious postcodes in Cornwall 
• Excellent capital growth over the past decade 

Padstow is not the cheapest place to invest, but its exclusivity and limited supply continue to push prices upwards. Investors with a larger budget and a focus on luxury short-term lets will find a compelling opportunity here. 

6. Penzance and Mount’s Bay: Rising Stars on the South Coast 

Penzance and the surrounding Mount’s Bay area—including Newlyn, Mousehole, and Marazion—have become increasingly attractive to investors seeking growth potential and affordability. 

Why Penzance is gaining attention: 

• Major transport hub with rail connections to London 
• Property prices still relatively low for coastal locations 
• Investment in the Penzance Harbour and promenade 
• Proximity to iconic landmarks like St Michael’s Mount 

Newlyn, once overlooked, is now becoming a sought-after area for buyers priced out of St Ives. The artistic and fishing heritage of these towns adds cultural value, while improvements in local infrastructure hint at strong future gains. 

7. Bude: Coastal Cool with Room to Grow 

Bude, on Cornwall’s north coast, is gaining a reputation as a cool, family-friendly town with an active local community and excellent beaches. 

What sets Bude apart: 

• Strong appeal for remote workers and families 
• Steady rise in property prices since 2020 
• Good surf, schools, and natural surroundings 
• Less seasonal tourism than other parts of Cornwall 

Because Bude is slightly more remote than other tourist hubs, it’s managed to retain a sense of community and authenticity. Investors looking for long-term tenants or holidaymakers seeking a quieter experience will find solid value here. 

What to Consider Before Investing in Cornwall 

Before you dive into the Cornish property market, keep the following in mind: 

1. Primary Residence Restrictions 

Some towns (like St Ives and Mevagissey) have Article 4 Directions preventing new builds from being used as second homes or holiday lets. Make sure you understand the local planning policies before committing. 

2. Holiday Let Regulations 

The government continues to review legislation surrounding short-term lets, including registration schemes and tax changes. Factor these into your investment strategy if you’re planning to let on Airbnb or similar platforms. 

3. Seasonal Demand 

While tourism is strong, some areas suffer from off-season slowdowns. If consistent income is your priority, towns with local employment bases (like Truro or Falmouth) may suit you better. 

Final Thoughts 

Whether you’re drawn by the rental yields, capital appreciation, or simply the allure of the coastline, Cornwall offers a rich variety of property investment opportunities in 2025. From the luxury of Padstow to the energy of Falmouth and the affordability of Penzance, investors can match their goals to the right location. 

For those looking not just to invest but to enjoy the Cornish lifestyle, these are truly some of the best places to live in Cornwall—and with demand still climbing, the time to act may be now.