10 things to consider when buying a holiday home
1 - HOW MUCH DO I NEED TO SPEND?
You can buy a pre-owned holiday home for around £20,000 or maybe even less. Or you can go for a super-luxury, architect-designed lodge for well over £500,000. In between, there’s a vast choice. So there are holiday homes for every budget.
Our tip: Set your budget depending on the amount of time you’re are likely to use the holiday home. If you are going to spend every holiday and every weekend there, it’s worth considering spending more than if you plan on using it only occasionally.
2 - WHAT ON-GOING COSTS DO I NEED TO BUDGET FOR?
Budget for pitch fees, gas, electricity and insurance.
3 - CAN I PART EXCHANGE?
Some parks take touring caravans and motorhomes in part-exchange for holiday homes. That can be a very attractive option, bearing in mind that it can be difficult to sell, privately, a touring caravan or motorhome of a high value – that’s because most buyers, understandably, prefer to go to a dealer.
Very few parks will allow you to move your existing holiday home onto a new park but a few parks allow you to trade in a holiday home on another park for a new one.
4 - DO I NEED TO INSURE MY HOLIDAY HOME?
Yes. All parks insist that you have an insurance policy in place and most will want to see it.
5 - HOW LONG CAN I KEEP MY HOLIDAY HOME?
Licence agreements are in place on all holiday home parks. These vary from 10 years to 15 years and considerably more.
6 - CAN I LIVE IN MY HOLIDAY HOME?
No. this is because holiday parks are not classed as residential parks, even if they are open all year; you must have a permanent residential address elsewhere.
7 - CAN I HIRE MY HOLIDAY HOME OUT?
Some parks permit this; others don’t.
8 - CAN I LOAN MY HOLIDAY HOME TO MY FRIENDS AND FAMILY?
Yes. But you can only hire a holiday home out for money on parks which permit this.
9 - CAN I USE FINANCE TO PURCHASE A HOLIDAY HOME?
Yes; many parks have links with finance companies which specialise in holiday home purchase.
10- DO I NEED A TELEVISION LICENCE FOR MY HOLIDAY HOME?
If you have a television licence registered at your main address, you don’t need another one for your holiday home.