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FAQs About Buying A Holiday Home.

It may be an exciting time but buying your very own holiday home can be confusing. Whether you’re investing in a brand new lodge or looking to find a second hand static caravan, there are a few questions that you may have.

At Perfect Parks our FAQs cover how to find a holiday home and site, the buying process, as well as other important information. If you still have any questions, do not hesitate to get in contact with our team today.

Finding A Site.

How do I find the right location?

Knowing that you want a holiday home is the first step but finding the right option and park can be a difficult decision. There are thousands of places across the UK and endless models of static caravan, lodges and log cabins.

The best place to start is to think about places you enjoy visiting or others that you want to explore. Once you’ve narrowed this down, you can start looking at parks. Things to consider are location, facilities, holiday homes available for sale, budgets and any specific offers.

Is there a difference between static caravans and lodges?

Yes, all of these options are different. A static caravan usually has 2 to 3 bedrooms and varies between 10 and 12 foot wide. Lodges are often larger and more expensive but offer a great luxury option for breaks away.

Holiday homes are normally built to specific standards which include the BS EN 1647 and the BS 3632. Those built to the latter will have improved insulation, making them comfortable to visit all year round.

Buying A Holiday Home.

What is it that I buy?

Your purchase will include the lodge or caravan. Several different things can also be included in the price, such as furnishings and appliances, so it’s worth checking with the sellers. Make sure that you get all details of what’s included in the purchase in writing.

The plot of land itself is leased which means you will have an annual ground rent as well as maintenance costs to consider.

Is there any security with my agreement?

Yes, there is. You will need to sign a Licensed Agreement as part of your purchase which will outline any of the terms and conditions. Things included will be the length of time you can lease the plot of land. There will also be requirements on the age that a caravan or lodge can reach before it needs to be moved off a site.

Even though you don’t have to use a solicitor, some people do decide to use one when it comes to agreements. This is something that our team can help with.

After I’ve bought my holiday home, will there be more costs?

Yes and this is something to remember. You will need to pay a yearly set of ground rent fees to the park owners, so it is important you cost for this. Other things to think about will be utilities such as electric, gas and water as well as insurance.

Does Stamp Duty still apply?

In the UK it is not currently necessary for stamp duty tax to be paid on static caravan or holiday lodge purchases. However, if you buy a log cabin and it reaches the usual threshold (£125,000) then stamp duty applies.

Is an extended warranty available?

Normally a two year manufacturer warranty will apply to new caravans and lodges. However, if a park is registered with the Ten Year Gold Shield Warranty Scheme, then a 10 year extended warranty will apply. The first two years are covered by the manufacturer, with the Gold Shield scheme responsible for the final 8.

Check to see if the park you are looking into has applied to the scheme. If you’d like more details, visit their website.

What finance options are available?

Some people buy with cash and others use finance to help. A large number of sites have a designated finance company on hand to help. Although finance can sometimes become expensive as interest rates add up. It is important to get advice from an independent before committing to any purchase. At Perfect Parks this is something that we are able to provide.

Holiday Home Use.

Am I able to live there?

More often than not, no. The majority of parks hold a holiday license which means you cannot live in your caravan or lodge. You must have a permanent residence elsewhere and use the caravan or lodge as a holiday home. A site will normally require proof from you of your registered address to make sure that you are not in breach of any regulations or contract agreements.

How often can I stay there?

As much as you like! Each park will have set times of year that they are open and there is no limit on the number of visits you can make. The only requirement is that the holiday home does not become your main residence.

Is subletting allowed?

It’s important that you check with the park about their own terms and conditions on subletting. However, most of the time this is fine.

Will I need to maintain it?

Yes, of course you will. Maintaining your caravan or lodge is just as important as taking care of a house or vehicle. You should regularly check things like central heating, windows, fittings, as well as guttering.

Can I resell my holiday home?

At some point there may come a time where you want to sell your holiday home. This could be to upgrade or because you no longer want to own one. It is important that you check the agreement that you have. This will outline financial details as well as the transfer fee payable when selling.

As an owner, can I let my family and friends stay?

Of course you can. As it is your caravan or lodge, you are free to allow family and friends to visit and enjoy a break away from everyday life.

If I pass away, what happens to ownership?

After a death, the lodge or caravan would normally pass to that individuals’ partner (married or not). This will be part of the initial agreement. It is also possible for other family members to inherit the holiday home and continue to use it. As long as no park rules are being broken and payments for ground rent are still being made, there should be no problems.

If you do decide to sell in these circumstances, then a park will not normally require a transfer fee.

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