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Wednesday, 3 October 2023

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Selling your park home

Selling your park home (also known as a static caravan or mobile home) can seem complicated, but being prepared can help make the process easier. Find out what you should have ready, the costs involved and what to do when you find a buyer.

A checklist for selling your park home

Use the steps below to prepare for selling your park home.

1. Decide on a selling price for your park home

To work out how much you should sell your home for, you can check magazines and online listings for the selling prices of similar homes. You can also hire a surveyor to do a ‘valuation’. This will tell you how much your home is worth.

If you took out a loan to buy your home, you should contact your lender to find out how much you still owe. Be aware that if you sell your home for less than you owe, you will still have to make payments on the loan.

2. Get information together for potential buyers

Having the right information ready for interested buyers early on can help avoid surprises later about costs or rules. You should provide:

your written statement – this is the rental agreement you signed with the park owner
land rent costs (also known as ‘pitch’ or ‘site’ fees)
park rules – eg whether or not you can have pets
the warranty and maintenance details of your home
council tax information
water, gas and electricity charges

Unlike traditional homes, you do not need an Energy Performance Certificate (EPC).

3. Work out the costs of selling your park home

The main costs involved with selling your home are:

any repairs you make – this may make your home easier to sell
legal advice, like hiring a solicitor to look over any contracts before you sign
hiring a surveyor – they will tell you how much your home is worth
using an estate agent or other services to find a buyer
the park owner’s commission – this can be up to 10 per cent of the final selling price

4. Find a buyer for your park home

There are three ways you may be able to find a buyer:

on your own – you can use website listings, classified adverts or word-of-mouth
using an estate agent
through the park owner – some park owners have lists of potential buyers

You do not have to give the park owner the chance to buy your home before selling it to anyone else. Some older agreements still may have this ‘right of first refusal’ rule but the law has since changed and it is not allowed.

5. Ask the park owner to approve your buyer

Once you find a buyer, you have to get them approved by the park owner. Up until this point, it is your choice whether or not to tell the park owner you are planning to sell your home.

The best way to contact the park owner for approval of your buyer is to write a letter and send it by ‘recorded delivery’. This will give you proof of when they get the letter.

The letter you write should state:

your intention to sell your home
the name and address of the buyer
your request for approval of the buyer

The park owner must send you an answer in writing within 28 days.

6. If the park owner approves your buyer

The park owner can only give a straightforward approval of your buyer. They can’t make you to do extra things – like making changes to your home – to get your buyer approved.

7. If the park owner refuses your buyer

Park owners can only block approval for fair reasons – eg if the buyer does not comply with site rules about the buyer’s age.

If the park owner refuses your buyer, they have to give you the reasons in writing. If you believe they have been unfair or they have not sent an answer about approval within 28 days, you can apply to a court. The court will then decide if it should order the park owner to approve your buyer.

8. Complete the sale of your park home

Once the buyer is approved, you both must sign a contract to make the sale final.

The terms (‘rules’) of your written statement will go unchanged to the new owner. This is called ‘assignment’.

The park owner will take a commission when you sell your home. They can’t take more than 10 per cent of the final selling price and the amount should already be listed in your written statement.

Giving away a park home

If you own a park home, you have the right to give it away and pass on your agreement to a family member.

If you die, the rules for inheritance are different and depend on your circumstances.

Giving away or inheriting a park home

Getting advice on selling your park home

You should get advice from a solicitor to help you through the process of selling your home. They may also be able to help you if you think the park owner is being unfair or if they are harassing you. If you have questions you can also contact a Citizens Advice Bureau or the housing charity Shelter.