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Holiday Homes - Lodges/Static Caravans

Covering Market, Trends, and Practical (but see LEMON-AID for Building & DIY)
EssDeeAitch
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Holiday Homes - Lodges/Static Caravans

#242458

Postby EssDeeAitch » August 7th, 2019, 3:28 pm

I am thinking of buying a holiday lodge or static caravan that can be used as required for being closer to our daughter (if she thinks that's a good idea of course :? ) There are those parks that permit holiday lodges to be rented out and those that don't and both have their pros and cons and I will need to weigh up the differences very carefully.

Does anyone have any experience of owning this type of property? I am interested in hearing about on-costs such as site fees, maintenance, insurance etc as well as resale values. I would assume that lodges have a better value retention than static caravans - is this a valid assumption?

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Re: Holiday Homes - Lodges/Static Caravans

#242487

Postby kiloran » August 7th, 2019, 4:34 pm

I've no direct experience, but my sister and hubby had a static caravan and one of the conditions was that they could not sell later to anyone else..... they had to sell back to the site owner. The owner seemed to be scrupulously fair, but I can imagine some site owners might feel they have you over a barrel when it comes to selling up.

--kiloran

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Re: Holiday Homes - Lodges/Static Caravans

#242490

Postby Mike88 » August 7th, 2019, 4:46 pm

I looked into buying a static caravan for the same reason as the OP. I found that the conditions of locating caravans varies considerably from site to site. Some charge high annual rentals but let you keep your caravan on site for an unspecified number of years and some specify you can only retain the pitch for 9 years before replacing the caravan. Strict conditions on selling and renting out caravans also vary with most requiring the owners to put any sales or rentals entirely in the hands of the site owner. Those sites who require you to replace the caravan after a specified number of years sell them to builders for site offices for a fraction of their purchase price even if they are in excellent condition. Also when you come to buy a caravan you have to pay a price that is often greater than that charged by the manufacturer. Annual rentals on the sites I investigated in Devon varied between £4600 and £7600 per annum with the higher rentals being charged for pitches closest to the sea.

I decided not to buy but to move house so that we could develop a closer relationship with our young grandchildren. Now they are much older I'm not so sure whether that was the right decision but we are thinking of moving back to the place we regard as home and have looked again at static caravan ownership but have decided against it for the reasons described above. We are now investigating the possibility of buying a flat down here instead and accept the higher SDLT which has so far deterred us from making final decisions.

Basically buying a static is a minefield and I would urge any prospective owners to study the fine print of ownership very carefully. Sorry I can't comment on lodges but those around here cost much more than buying a traditional property.

EssDeeAitch
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Re: Holiday Homes - Lodges/Static Caravans

#242589

Postby EssDeeAitch » August 8th, 2019, 6:31 am

kiloran wrote:I've no direct experience, but my sister and hubby had a static caravan and one of the conditions was that they could not sell later to anyone else..... they had to sell back to the site owner. The owner seemed to be scrupulously fair, but I can imagine some site owners might feel they have you over a barrel when it comes to selling up.

--kiloran


Good point and thanks for making it - I will look into this aspect for sure.

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Re: Holiday Homes - Lodges/Static Caravans

#242591

Postby EssDeeAitch » August 8th, 2019, 6:34 am

Mike88 wrote:I looked into buying a static caravan for the same reason as the OP. I found that the conditions of locating caravans varies considerably from site to site. Some charge high annual rentals but let you keep your caravan on site for an unspecified number of years and some specify you can only retain the pitch for 9 years before replacing the caravan. Strict conditions on selling and renting out caravans also vary with most requiring the owners to put any sales or rentals entirely in the hands of the site owner. Those sites who require you to replace the caravan after a specified number of years sell them to builders for site offices for a fraction of their purchase price even if they are in excellent condition. Also when you come to buy a caravan you have to pay a price that is often greater than that charged by the manufacturer. Annual rentals on the sites I investigated in Devon varied between £4600 and £7600 per annum with the higher rentals being charged for pitches closest to the sea.

I decided not to buy but to move house so that we could develop a closer relationship with our young grandchildren. Now they are much older I'm not so sure whether that was the right decision but we are thinking of moving back to the place we regard as home and have looked again at static caravan ownership but have decided against it for the reasons described above. We are now investigating the possibility of buying a flat down here instead and accept the higher SDLT which has so far deterred us from making final decisions.

Basically buying a static is a minefield and I would urge any prospective owners to study the fine print of ownership very carefully. Sorry I can't comment on lodges but those around here cost much more than buying a traditional property.


This is a very helpful reply and I am going to request terms and conditions of ownership and sale before taking any further action.

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Re: Holiday Homes - Lodges/Static Caravans

#242636

Postby tikunetih » August 8th, 2019, 9:30 am

My general impression formed from reading comments and hearing anecdotes over the years is that this smells like a very "scammy" area, characterised often by a large information imbalance between the park owners doing the selling and the public doing the buying...

As such my strong suspicion is that someone looking at these with eyes wide open, taking all the emotion out of the decision, and coolly analysing the numbers, would never ever purchase on the terms and prices generally being asked. Folks thinking they're buying assets but in reality buying liabilities.

Less politely: legal fleecing of often very naive punters.

Rent someone else's would be my recommendation!

Howard
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Re: Holiday Homes - Lodges/Static Caravans

#242646

Postby Howard » August 8th, 2019, 10:07 am

I hope you don't think this comment strays too far from your OP but it is probably worth considering what you are hoping to achieve by moving.

Mike88's comment is worth reflecting on. Moving to be close to grandchildren might be a good strategy but there may be other ways to achieve your objectives.

If you are considering paying what may turn out to be 10k a year for a depreciating asset an alternative might be to deploy that finance to develop strong links with your grandchildren.

One of our grandchildren lives abroad but we have perhaps been lucky in developing a strong bond with her. She comes to visit us regularly and the reasons seem to be that she values the chance to share in our life in the UK. We live in a village and she likes the friendliness of our community. We do spend money making the visit worthwhile, for example arranging horse-riding lessons and other activities which she enjoys. We also arrange plenty of contact with our other grandchildren. For a week or two's stay we might spend up to a thousand pounds on activities but those which the children enjoy most tend to be low-cost and come with having a settled and relaxed home in our local community. Arranging for grandchildren to visit the local farmer and ride on the combine harvester and tractors at harvest time can make a lasting impression. Or a comparable city event, like hiring a boat on the Thames for the day. Even in the winter when it's pouring with rain and a mobile home would be a miserable place, there is plenty to do.

This is just a personal comment, but our friends who have second homes miss out on a lot of community activities which we value. And we've known people who have uprooted their lives and regretted moving.

Personally I'd invest 10k a year for a few years and spend the income on staying in a cottage near your family for a week or two and, assuming you are happy in your current home, making it a place where grandchildren want to come and stay.

Just a thought. Hope this is helpful.

regards

Howard

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Re: Holiday Homes - Lodges/Static Caravans

#242648

Postby jackdaww » August 8th, 2019, 10:17 am

i would not touch these things with a bargepole.

some of these sites may have decent owners , but a lot are in it to make a lot of money by exploiting their position , you are over a barrel.

much better to buy suitable touring van - no need to buy new or spend a fortune - and put it on a seasonal pitch in the area.

you are then only tied for the season , and you wont lose much if you come to sell the van.

another option is to rent a cottage or flat several times a year .

i have seen and been involved in both these scenario's .

:)

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Re: Holiday Homes - Lodges/Static Caravans

#242668

Postby Mike88 » August 8th, 2019, 11:00 am

tikunetih wrote:My general impression formed from reading comments and hearing anecdotes over the years is that this smells like a very "scammy" area, characterised often by a large information imbalance between the park owners doing the selling and the public doing the buying...

As such my strong suspicion is that someone looking at these with eyes wide open, taking all the emotion out of the decision, and coolly analysing the numbers, would never ever purchase on the terms and prices generally being asked. Folks thinking they're buying assets but in reality buying liabilities.

Less politely: legal fleecing of often very naive punters.

Rent someone else's would be my recommendation!


In fairness to the site owners I contacted all provided very clear answers to my questions and stressed owning a mobile home was a lifestyle choice and not an investment. However, from the purchaser's point of view, you just have to know which questions to ask and be able to interpret the terms and conditions of ownership.

EssDeeAitch
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Re: Holiday Homes - Lodges/Static Caravans

#242673

Postby EssDeeAitch » August 8th, 2019, 11:06 am

Howard wrote:I hope you don't think this comment strays too far from your OP but it is probably worth considering what you are hoping to achieve by moving.

Mike88's comment is worth reflecting on. Moving to be close to grandchildren might be a good strategy but there may be other ways to achieve your objectives.

If you are considering paying what may turn out to be 10k a year for a depreciating asset an alternative might be to deploy that finance to develop strong links with your grandchildren.

One of our grandchildren lives abroad but we have perhaps been lucky in developing a strong bond with her. She comes to visit us regularly and the reasons seem to be that she values the chance to share in our life in the UK. We live in a village and she likes the friendliness of our community. We do spend money making the visit worthwhile, for example arranging horse-riding lessons and other activities which she enjoys. We also arrange plenty of contact with our other grandchildren. For a week or two's stay we might spend up to a thousand pounds on activities but those which the children enjoy most tend to be low-cost and come with having a settled and relaxed home in our local community. Arranging for grandchildren to visit the local farmer and ride on the combine harvester and tractors at harvest time can make a lasting impression. Or a comparable city event, like hiring a boat on the Thames for the day. Even in the winter when it's pouring with rain and a mobile home would be a miserable place, there is plenty to do.

This is just a personal comment, but our friends who have second homes miss out on a lot of community activities which we value. And we've known people who have uprooted their lives and regretted moving.

Personally I'd invest 10k a year for a few years and spend the income on staying in a cottage near your family for a week or two and, assuming you are happy in your current home, making it a place where grandchildren want to come and stay.

Just a thought. Hope this is helpful.

regards

Howard


Thanks Howard, just to clarify, my grandchildren live close to our permanent home but our youngest daughter lives four hours away. Our consideration was to have somewhere we could retreat to for (say) one week a month to be closer to her; I miss her quite a bit (quite a lot actually).

The feedback from my post has been tremendously helpful and has made my original hesitant view change to a very skeptical one. There must be a better way of achieving my ends and I will pursue those options

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Re: Holiday Homes - Lodges/Static Caravans

#242699

Postby dspp » August 8th, 2019, 12:54 pm

EssDeeAitch wrote:
Howard wrote:I hope you don't think this comment strays too far from your OP but it is probably worth considering what you are hoping to achieve by moving.

Mike88's comment is worth reflecting on. Moving to be close to grandchildren might be a good strategy but there may be other ways to achieve your objectives.

If you are considering paying what may turn out to be 10k a year for a depreciating asset an alternative might be to deploy that finance to develop strong links with your grandchildren.

One of our grandchildren lives abroad but we have perhaps been lucky in developing a strong bond with her. She comes to visit us regularly and the reasons seem to be that she values the chance to share in our life in the UK. We live in a village and she likes the friendliness of our community. We do spend money making the visit worthwhile, for example arranging horse-riding lessons and other activities which she enjoys. We also arrange plenty of contact with our other grandchildren. For a week or two's stay we might spend up to a thousand pounds on activities but those which the children enjoy most tend to be low-cost and come with having a settled and relaxed home in our local community. Arranging for grandchildren to visit the local farmer and ride on the combine harvester and tractors at harvest time can make a lasting impression. Or a comparable city event, like hiring a boat on the Thames for the day. Even in the winter when it's pouring with rain and a mobile home would be a miserable place, there is plenty to do.

This is just a personal comment, but our friends who have second homes miss out on a lot of community activities which we value. And we've known people who have uprooted their lives and regretted moving.

Personally I'd invest 10k a year for a few years and spend the income on staying in a cottage near your family for a week or two and, assuming you are happy in your current home, making it a place where grandchildren want to come and stay.

Just a thought. Hope this is helpful.

regards

Howard


Thanks Howard, just to clarify, my grandchildren live close to our permanent home but our youngest daughter lives four hours away. Our consideration was to have somewhere we could retreat to for (say) one week a month to be closer to her; I miss her quite a bit (quite a lot actually).

The feedback from my post has been tremendously helpful and has made my original hesitant view change to a very skeptical one. There must be a better way of achieving my ends and I will pursue those options


Take a look at people like these, www.sykescottages.co.uk . There are many such outfits. Surely you can identify half a dozen suitable properties near your remote daughter that you could take periodically, and which would deliver an equal or better result for less or equal cash, and zero capital outlay ?

(Also, in my experience, once you've tried a few holiday cottages via the agents, then you can quietly rebook directly with owners for 10% or 20% discount. )

regards, dspp

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Re: Holiday Homes - Lodges/Static Caravans

#243164

Postby Hariseldon58 » August 9th, 2019, 10:46 pm

Living in Dorset close to the coast, I have visited several of the sites photographing lodges for owners renting.

Some locally can fetch up to £500,000 ....for a 30 year licence with a fabulous location, annual site fees are around £6,000 , there is an active rental market.

If you sell, you can generally sell to anyone, subject to a commission to the site owner, which may be up to 15%.+vat

Given a beach hut with no electric goes for £250,000 + it might be seem as good value! Decent lodges are available from £100k to £200k.
One couple had two lodges and split their time between Dorset and Yorkshire, renting out the unoccupied lodge, normally a limit to how long you can use it, typically 11 months but they are not your home officially , this couple had an overlap and a void period of two weeks and went on holiday ! (They had sold the family home, loving the lifestyle)

Park hones that are residential are different, more akin to leasehold rights, pitch fees are typically £2k a year, you can live there for as long as you like and have “protected” status , although sales require a commission to the site owner of up to 10% but can be sold to anyone. Residential park hones had a poor reputation but recent legal changes criminalise poor behaviour by a site owner and have cleaned up their act with hones now built to a standard akin to a regular timber frame home.

Far more economical is having a good touring caravan (new they are around £20k to £25k) and placing it on a smaller site and having a seasonal pitch , my sister does this, you ring up and they bring it out, you pay the regular charge per night, when it’s on the pitch of something like £25 a night and a seasonal storage / pitch fee of a few hundred quid. This is hugely cheaper and is a great way to have a little bolt hole, you may have to go a waiting list or search diligently!

Given this area is probably as expensive as they come, you will find others that are far cheaper, I have seen a brochure that showed new homes from £40k to £200k in other seaside areas. I’d suggest you do your research , then go rent a lodge on your targeted site for a week and see how you like it.

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Re: Holiday Homes - Lodges/Static Caravans

#243184

Postby EssDeeAitch » August 10th, 2019, 7:08 am

dspp wrote:
Take a look at people like these, http://www.sykescottages.co.uk . There are many such outfits. Surely you can identify half a dozen suitable properties near your remote daughter that you could take periodically, and which would deliver an equal or better result for less or equal cash, and zero capital outlay ?

(Also, in my experience, once you've tried a few holiday cottages via the agents, then you can quietly rebook directly with owners for 10% or 20% discount. )

regards, dspp


Thanks for the link, I think this is the preferred short term plan of action.

EssDeeAitch
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Re: Holiday Homes - Lodges/Static Caravans

#243185

Postby EssDeeAitch » August 10th, 2019, 7:18 am

Hariseldon58 wrote:Living in Dorset close to the coast, I have visited several of the sites photographing lodges for owners renting.

Some locally can fetch up to £500,000 ....for a 30 year licence with a fabulous location, annual site fees are around £6,000 , there is an active rental market.

If you sell, you can generally sell to anyone, subject to a commission to the site owner, which may be up to 15%.+vat

Given a beach hut with no electric goes for £250,000 + it might be seem as good value! Decent lodges are available from £100k to £200k.
One couple had two lodges and split their time between Dorset and Yorkshire, renting out the unoccupied lodge, normally a limit to how long you can use it, typically 11 months but they are not your home officially , this couple had an overlap and a void period of two weeks and went on holiday ! (They had sold the family home, loving the lifestyle)

Park hones that are residential are different, more akin to leasehold rights, pitch fees are typically £2k a year, you can live there for as long as you like and have “protected” status , although sales require a commission to the site owner of up to 10% but can be sold to anyone. Residential park hones had a poor reputation but recent legal changes criminalise poor behaviour by a site owner and have cleaned up their act with hones now built to a standard akin to a regular timber frame home.

Far more economical is having a good touring caravan (new they are around £20k to £25k) and placing it on a smaller site and having a seasonal pitch , my sister does this, you ring up and they bring it out, you pay the regular charge per night, when it’s on the pitch of something like £25 a night and a seasonal storage / pitch fee of a few hundred quid. This is hugely cheaper and is a great way to have a little bolt hole, you may have to go a waiting list or search diligently!

Given this area is probably as expensive as they come, you will find others that are far cheaper, I have seen a brochure that showed new homes from £40k to £200k in other seaside areas. I’d suggest you do your research , then go rent a lodge on your targeted site for a week and see how you like it.


Subsequent to completing an online form for one site, I was phoned, then emailed and then called again by their salesperson who naturally was very helpful and forthcoming. I then requested (via email) terms of lodge/caravan ownership and sale and.....nothing! She was very quick on the uptake to make contact to initiate a sales process but far less so with a response for information. What should I glean from this? Something to hide or at least not state openly until the sales process is advanced?

What we have decided on is to rent various types of accommodation each month for the rest of the year and then see what we would like to do. The replies I have had to the OP have been much appreciated.


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