NCC guidance for consumers thinking of buying a residential park home or a holiday caravan or holiday lodge

NCC guidance for consumers thinking of buying a residential park home or a holiday caravan or holiday lodge 

The NCC as the trade association for the UK caravan, motorhome, holiday park and residential park industries reminds and urges anyone considering purchasing a residential park home (mobile home) or a holiday caravan or holiday lodge to carry out extensive research before committing to a purchase.  

The NCC has a series of Top Tips that all potential residential park home and holiday caravan/holiday lodge owners need to know.

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Permanent residential park homes

If you are thinking of moving to a park and buying a park home (mobile home) so you can live on the park and use the park home as your permanent residence: 

Do your research and make sure:

• • the park is licenced for permanent residential use – the local authority will be able to confirm this
  • the park home – mobile home - will suit your requirements
  • you understand the ongoing costs of owning a residential park home including the monthly pitch fee (similar to a ground rent), utility costs, council tax, insurances, transfer fees (commission) payable to the park owner and ongoing maintenance of the park home
  • you are given a Written Statement (a requirement under the Mobile Homes legislation) and a copy of the park rules and any warranty that remains for the park home  

    That you are eligible to live on the park as some parks are for retired people only

    Check the park website for any additional details 

    Arrange to meet the owner of the park home at the park and have a list of questions ready to ask – the park home may be privately owned by the existing owner, or it may be owned by the park owner

    Consult a professional adviser such as a solicitor so they can help you understand what ownership means

    Download a copy of the Government’s advice booklet Buying a Park Home

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Holiday caravans and holiday lodges

If you are thinking of moving to a park and buying a holiday caravan or holiday lodge so you can stay there for holidays and short breaks remember that you cannot live in a holiday caravan or holiday lodge on a park that is licensed for holiday use only:  

Do your research and make sure:

• the holiday caravan/holiday lodges will suit your requirements
• the park is licenced for holiday use – the local authority will be able to confirm
• you understand the ongoing costs of owning a holiday caravan including the monthly pitch fee, utility costs, insurances, and ongoing maintenance of the holiday caravan/lodge
• you are given a Purchase and Licence Agreement, and a copy of the park rules and any warranty that remains on the holiday caravan/lodge.  Read them carefully and if you don’t understand what ownership means seek professional advice before signing on the dotted line
• you understand that you can use the holiday caravan/lodge when the park is open and if the park is open for 12 months that doesn’t mean you can stay there permanently and live there.  It just means you can visit your holiday caravan for holidays and short breaks at any time of the year.  

·   Check the park website for any additional details 

Arrange to meet the owner of the holiday caravan/lodge at the park and have a list of questions ready to ask the owner or the sales team – the holiday caravan/lodge may be privately owned by the existing owner or it may be owned by the park owner

Think of your holiday caravan as a long-term lifestyle purchase and not as a property investment - a holiday caravan is a depreciating asset, like a car, and the resale value will be less than the original purchase price.

Check that the park operator is an NCC member and complies with the NCC’s Best Practice Guidance for Holiday Parks with Holiday Caravans /Lodges in Private Ownership which reflects the points raised in the government supported Business Companion advice issued in Spring 2023.  These documents provide guidance for park owners and operators on marketing and the sales process, and the importance of using clear and transparent documentation (the contract), helping new owners to understand the costs and obligations of becoming a holiday caravan owner.

Consult a professional adviser such as a solicitor so they can help you understand what ownership means for you and if it is the right choice for you and your family

     Download a copy of the NCC's Making the best-use-of-your-holiday-caravan which is a Q&A guide on holiday caravan ownership.  It explains what ownership means and crucially why a holiday caravan sited on a park licensed for holiday use only cannot be lived in as a permanent residence (either by an owner or someone the owner has allowed to rent it).

NCC’s Dispute Resolution Service

If things don’t go quite as expected, then the NCC offers holiday caravan owners who have purchased from, or have a holiday caravan sited on, an NCC member park the opportunity to engage with the Informal Dispute Resolution Service (NCCIDRS) free of charge.  This aims to help both parties come to a mutually satisfactory conclusion, but if things remain unresolved it may be eligible for referral to the Independent Case Examiner, as part of access to Alternative Dispute Resolution. The complaints guidance and form can be downloaded here.

In the recent Panorama episode, it highlights that consumers should be aware of exactly what they are buying, to do their research and to seek professional advice first.  The NCC remains committed to raising and promoting high standards of best practice across the parks sector and will continue to work with park operators and other relevant stakeholders to achieve this for the benefit of our members and their consumers.