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Mobile Homes & Caravan Parks a Factsheet For

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Mobile Homes & Caravan Parks a Factsheet For Mobile Homes & Caravan Parks A Factsheet for You Introduction: Homes Act 1983 and complying with any requirements prescribed by regulations made by the There are currently two levels of protection for the Secretary of State, If the owner fails to provide such a owners and occupiers of caravans (commonly called written statement the occupier may apply to the Court “park homes”) stationed on protected sites. An for an order requiring him to do so. occupier of a caravan (whether owned by the site owner or the occupier) under a residential contract Owners of caravans are not protected by the Mobile has limited protection of their occupation of the Homes Act 1983. caravan on the site. An owner of a mobile home however, who is entitled to occupy the home as their The Caravan Sites Act 1968 applies to caravans only or main residence, has substantially greater occupied under residential contracts on protected protection under the Mobile Homes Act 1983 which sites. A residential contract means any licence or requires the site owner to provide the occupier with a contract under which a person is entitled either to written statement of the particulars of their agreement station a caravan on a protected site and to occupy it to station their mobile home on a site, controls the as their residence. The Act provides an entitlement to terms of the agreement and provides for the a minimum period of notice and protection from devolution of the agreement of the home owners’ unlawful eviction and harassment. successors. Sites which are not protected sites (usually holiday or recreational sites) are subject to Bringing an agreement to an end (Caravans) more limited control and whilst they must satisfy the planning and site licensing requirements the In respect of caravans, where a residential contract relationship between the site owner and occupiers is between the parties is determinable by notice given a matter of contract. by either party to the other, to be effective the notice must be given not less than four weeks before the date on which it is to take effect. Agreements Business Structure for owning a Site Under the Mobile Homes Act 1983 in relation to a mobile home occupied as the home owner’s only or If you are starting a new venture consideration needs main residence, the owner of the site must give to the to be given to the business structure you will use to occupier 28 days before they move in a written operate it. This can be through a limited company or statement specifying the names and addresses of the as a sole trader or partnership. There are advantages parties, the date of commencement of the agreement, and disadvantages of each type of business structure particulars of the land on which the occupier is as well as differing tax consequences. entitled to station the mobile home, setting out both the express and implied terms under the Mobile Buying & Selling a Site site conditions which cannot be resolved between the site owner and the residents should be made to the Where the site being sold is owned by a company Local Authority. then one of the key decisions to be made by the seller and buyer is whether to structure the sale as one of Council Tax the company’s shares or as a sale of the separate assets comprising the business. Each method has A mobile home which is an individual sole or main advantages and disadvantages as well as differing residence is subject to council tax and the tax consequences. responsibility of the bill falls on the resident. A 25% discount applies if he or she lives alone. Unoccupied Buying and Selling a Park Home by a Resident mobile homes may be exempt from council tax for up to six months whether furnished or not. When buying a caravan or mobile home there is no requirement to instruct a Solicitor to act for you but it Permanently sited caravans which are no-one’s sole is recommended that legal advice is obtained or main residence are normally subject to non- because the purchase of a park home can be as domestic rates, for which the site owners are complicated as the purchase of a bricks and mortar responsible. The rates bill for the whole site is paid for home without professional assistance. Nor is there by the site owner who can agree with the occupants any requirement to have the home surveyed but how they can recover the appropriate amount due unless the home is relatively new then the buyer from the owners of individual of the caravan. would be wise to seek one and to select a surveyor with specific expertise in surveying and valuing park Express Terms (Mobile Homes) homes. In the written agreement provided by the site owner to Park home owners have the right to sell their home the occupier there will be express terms included by on the site and to transfer the benefit of their the site owner dealing with matters relating to the site agreement with the site owner to the purchaser by but these cannot override any of the implied terms way of an Assignment. The approval of the site owner under the Mobile Homes Act 1983. Furthermore, the to the sale to the purchaser is not required even if the express terms must not contravene the Unfair Terms agreement or site rules say it is. However, if the park and Consumer Contracts Regulations so that in home owner bought before 26 may 2015 they will particular they cannot operate so as to reduce or need to notify the site owner of the proposed sale. restrict in any way a resident’s statutory or common law rights nor impose any unfair burden on the The resident is free to use an Estate Agent of their resident that is not otherwise permitted by law. choice, if they wish to do so, and they are not required to sell it through any sales service that the Within six months of the giving of the written site owner may offer on the site. statement either party may apply to the First Tier Tribunal (Property Chamber) for an order varying or Commission payable to site owner on sale of a deleting any express term of the agreement on such Mobile Home an application the Tribunal must make such provision as it considers just and equitable in the circumstances. Site owners have a statutory entitlement to claim commission of up to 10% of the sale price of mobile First Tier Tribunal (Property Chamber) homes on their site. Site owners can charge a lower percentage than the legal maximum if they wish but This is the tribunal which decides most park law they cannot charge a higher one. The commission is disputes including enforcement of site rules, pitch fee payable by the new occupier to the site owner and not reviews and administration charges. by the former occupier so the new occupier should be careful to pay only 90% of the sale price to the seller. Holiday Homes Conditions on owner’s Site Licence The Mobile Homes Act 1983 does not apply to people who use their mobile home or caravan for holidays. It Privately owned sites must have a licence from the only applies to people who have agreements to Local Authority, which will normally carry conditions station their home on land forming part of a protected affecting such matters as how many mobile homes or site and to occupy the home as their only or main caravans that may be on site, landscape and matters residence. A site which has planning permission or a affecting health and safety. The site owner has to site with a licence granted for holiday use only, or adhere to the conditions and any complaint about the which is subject to the condition that it must be closed for part of the year is not a protected site so the Implied Terms (Mobile Homes) people living on such sites, even if occupying a mobile home as a main residence, do not come under Certain terms are automatically implied into any the Protection of Mobile Homes Act 1983. agreement to which the Mobile Homes Act 1983 applies, notwithstanding any express terms contained How long can a resident keep a mobile home on in the agreement. These implied terms include terms site? relating to the duration of the agreement, the termination by either the owner of the site or the In most cases residents have the right to keep their occupier of the mobile home, recovery of mobile homes on site indefinitely unless either they or overpayments by the occupier, sale or gift of the the site owner bring the agreement between them to mobile home, and re-siting of the mobile home where an end. However, if the site owner’s planning the owner is entitled to require that the mobile home permission for the site or his interest in the land are be re-sited on the protected site for any period. The subject to a time limit (e.g. if the site owner has a implied terms must be set out in the written statement leasehold interest in the land) then the resident’s right given by the owner to the occupier. to be on the site is similarly limited. The site owner must tell residents if there is a time limit and insert it Inheritance (Mobile Homes) in the written agreement between them. If after the agreement is entered into the time limit of the site If an occupier of a mobile home dies then any other owner’s planning permission or interest in the land is person living in the home who also entered into the extended then the residents want to stay on the site agreement with the site owner is entitled to continue will also be extended.
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