Static caravan purchase ?

[Scaleyback]

Latest post on the HPAG ( Holiday Park Action Group )

" So just had our increase this year,we're now having to pay £840 a month. Absolutley pointless keeping it now. Over £10k site fees.what a joke. "

This is me.
10,080 per annum site fees. Then most people will have monthly loan paybacks of £100's a month + gas + electric + insurance.

Now the caravan owner(s) will probably take a massive 'hit' on the price they paid and will have to pay a minimum of 15% of the sale fee to the park owner.

The 'dream' truly becomes a nightmare. 🤬

 

[Beebo]

Latest post on the HPAG ( Holiday Park Action Group )

" So just had our increase this year,we're now having to pay £840 a month. Absolutley pointless keeping it now. Over £10k site fees.what a joke. "

This is me.
10,080 per annum site fees. Then most people will have monthly loan paybacks of £100's a month + gas + electric + insurance.

Now the caravan owner(s) will probably take a massive 'hit' on the price they paid and will have to pay a minimum of 15% of the sale fee to the park owner.

The 'dream' truly becomes a nightmare. 🤬

That just seems crazy.
Paying £10K pa on an asset which just devalues.
Surely it’s better to buy a second home. At least they don’t lose value over time.

 

[Emanresu]

Paying £10K pa on an asset which just devalues.

This is simply the ground rent for whatever amenities they provide. There will be a separate loan for the purchase, usually at premium rates. Then utilities/insurance bills if not included in the ground rent. Which park was this as it seems a bit toppy?

Most of the larger operator are owned by Private Equity/Banks who specialise in property. There are a few pension funds in there too.

Addition: I stayed in one for 4 months over the summer many years ago while waiting for people in the chain to complete. Great when it's warm but not so good when it's hot. Son did the same (over the winter) a few years ago while waiting for their house to be built. They can be useful when builders never meet their timescales and property chains get stuck. Saves having to take on a 6 month/12 month AST.

 

[fossyant]

We kept the one we had as MIL/FIL bought it and said - OK you can pay for it after a number of years (we only went a few weekends a year), and when we went we looked after them as they weren't able to look after it. We got a good 10 years out of it, but it probably cost us £50k in ground rent etc etc. over that period, and we didn't need to buy the van.

We did use it, but, you know, it feels great this year not having it, or going each weekend. We can do other stuff, go elsewhere, do the gardening at home etc. etc. We are regularly back in the area as my folks and sister have a van, but my wife has a good group of friends there through the 'wild swimming' group. Lovely bunch of folk and we've been camping with them twice. We're off to a cheap campsite in our 'posh' new tent at the end of August for a week.

We will have done about 21 nights camping this year, having gone from none... I prefer it. Apart from the faff of set up and put away, it's so stress free, no caravan maintenance, caravan garden maintenance either. Everyone at works notices how 'stress free' I seem coming back in from camping in a 'tent'.

 

[T4tomo]

Latest post on the HPAG ( Holiday Park Action Group )

" So just had our increase this year,we're now having to pay £840 a month. Absolutley pointless keeping it now. Over £10k site fees.what a joke. "

This is me.
10,080 per annum site fees. Then most people will have monthly loan paybacks of £100's a month + gas + electric + insurance.

Now the caravan owner(s) will probably take a massive 'hit' on the price they paid and will have to pay a minimum of 15% of the sale fee to the park owner.

The 'dream' truly becomes a nightmare. 🤬

I can see why people have touring caravans now, its a hassle to tow, but at least you only pay "site rent" when your using it.

I still think a B&B / hotel is a better option.

 

[fossyant]

I can see why people have touring caravans now, its a hassle to tow, but at least you only pay "site rent" when your using it.

I still think a B&B / hotel is a better option.

That's what we've done - hotel/B&B and camping now.

 

[HLaB]

I remember as a kid my Mum wanted one, and she had her heart set on a log chalet but my Dad always put his foot down and was particularly strong about the chalet his argument was always if you fall out with the land owner you'll have to pay to move it plus the annual fees for perhaps a few weeks of the year (if you are lucky with the weather). The first argument was particularly pertinent when it came to the chalet.

 

[Scaleyback]

I remember as a kid my Mum wanted one, and she had her heart set on a log chalet but my Dad always put his foot down and was particularly strong about the chalet his argument was always if you fall out with the land owner you'll have to pay to move it plus the annual fees for perhaps a few weeks of the year (if you are lucky with the weather). The first argument was particularly pertinent when it came to the chalet.

Perceptive guy your Dad.

 

[gbb]

Van lifeing has boomed tbh.

Yep, we have three maybe four just within a mile or so usually parked down a side street, in a supermarket xarpark there are a couple of them quite frequently.
Usually older vans but still functioning obviously

 

[Beebo]

A sad tale. But these people clearly do very little due diligence and are sucked in by the sales pitch.
https://www.bbc.co.uk/news/articles/cpw5jjzrr89o

There is no point buying one unless you are going to use it a lot, keep it for a long time and not worry about an investment.

 

[Fastpedaller]

A sad tale. But these people clearly do very little due diligence and are sucked in by the sales pitch.
https://www.bbc.co.uk/news/articles/cpw5jjzrr89o

There is no point buying one unless you are going to use it a lot, keep it for a long time and not worry about an investment.

My understanding is that most of the holiday parks don't allow owners to keep the caravans for a long time, typically they are downgraded after 5 years and have to be removed after 10. I agree with your comments about due diligence - I may be a 'cynical old git' but my mantra is 'anyone selling anything is out to rob you - be very cautious'

 

[T4tomo]

A sad tale. But these people clearly do very little due diligence and are sucked in by the sales pitch.
https://www.bbc.co.uk/news/articles/cpw5jjzrr89o

There is no point buying one unless you are going to use it a lot, keep it for a long time and not worry about an investment.

I read that earlier, lack of due diligence - yes, but also questionable saes practices - "ooh yes they hold their value" vs well you can only sell it to us and we'll offer you a shoot price, "loads letting potential" vs "we'll under cut you and charge your guests to use the facilities you've already paid for in your site rent".

 

[Fastpedaller]

I read that earlier, lack of due diligence - yes, but also questionable saes practices - "ooh yes they hold their value" vs well you can only sell it to us and we'll offer you a shoot price, "loads letting potential" vs "we'll under cut you and charge your guests to use the facilities you've already paid for in your site rent".

Indeed - I wonder how the law stands if covert recording is done by a potential buyer? Maybe fraud, but what are the penalties? One for the Matt Alright team to carry out for TV.

 

[Scaleyback]

I read that earlier, lack of due diligence - yes, but also questionable saes practices - "ooh yes they hold their value" vs well you can only sell it to us and we'll offer you a shoot price, "loads letting potential" vs "we'll under cut you and charge your guests to use the facilities you've already paid for in your site rent".

This is the very reason that some legal protection is required and this is what the HPAG ( Holiday Park Action Group ) are campaigning for. At this time Carol Keeble (admin on HPAG) says you have more protection in law when buying a toaster than buying a static caravan on a holiday park. Residential sites are better protected in law.

 

[Scaleyback]

My understanding is that most of the holiday parks don't allow owners to keep the caravans for a long time, typically they are downgraded after 5 years and have to be removed after 10. I agree with your comments about due diligence - I may be a 'cynical old git' but my mantra is 'anyone selling anything is out to rob you - be very cautious'

Sadly, I have to agree with you. When a salesman's income is directly related to their sales the temptation to obfusticate, embellish and downright lie brings out the worst in many humans. Sadly we now live in a world where the truth is a rare commodity. From 'social media' to your elected politicians and all advertising mediums anything goes. Believe what you hear and prepare to be disappointed. 😡