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Selling your holiday home |
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In consultation with the Office of Fair Trading, the two caravan trade bodies which represent park owners have drawn up this Code in order to assure caravan owners and prospective owners who take their leisure and holidays in caravans that their interests are being looked after.
The Code sets out principles of good practice in the operation of parks where there are privately-owned caravans, and there is a complementary Code for Letting Caravans.
The Code of Practice for Selling and Siting Holiday Caravans is a lengthy document but we will attempt to summarise it as follows:
• General
This section ensures that caravans comply with relevant British and European standards, that all documentation is fair and that the park owner is able to arrange for service and repair of caravans.
• Right to an Agreement
Caravan owners are entitled to a licence agreement for the period of their tenure.
• Selling techniques
This deals with the avoidance of pressure selling.
• Tenure
Buyers of new caravans are granted a licence agreement for a period of not less than ten years from date of first purchase (less if the caravan is sub-let). In the case of a used caravan, the licence period will be the balance of the ten years given when new.
• Removal of the caravan from the park or pitch
This can only be done if there is a severe breach of a licence condition. If the park owner ends the agreement he shall reimburse the caravan owner for any fees paid in advance.The caravan owner who intends to give up his pitch shall give at least two months' notice in writing. However the agreement is brought to an end, the caravan owner must allow the park owner exclusive right to move the caravan from the pitch.
• Pitch fees
At least three months' notice of an increase shall be given, with a written explanation of the reasons. If 51% or more of the caravan owners object in writing, the matter will be referred to arbitration. The park owner shall not resell electricity at a higher price than that set by Office of Gas and Electricity Markets (Ofgem). Caravans must be insured.
• Resale of caravans
A caravan owner may sell his caravan off the park as long as he has settled all outstandig accounts. If selling, the owner must notify the park owner in writing of his intention to place the caravan on the market for sale. On receipt of that notice the park owner may make an offer to buy. Sales on site must be conducted through the park owners office and he will expect to receive a commission on that sale.
• Changes on a park
This section includes entering into a lease in place of a licence agreement, letting procedures and discrimination between caravan owners.
• Terms of licence agreements
The minimum facts which should be included in the document which is legally binding.This should be signed only if the prospective purchaser is satisfied with the terms and conditions.
• Complaints procedure
Step-by-step guide to the way complaints should be handled.
• Monitoring
This will be carried out by the trade associations and the Office of FairTrading.
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The above is a brief summary of the Code of Practice for Selling and Siting Holiday Caravans. Copies of the full Code of Practice may be available in park offices. If not, you can obtain one by sending an A4-size s.a.e. to either of the following:
The British Holiday & Home Parks Association,
Chichester House,
Pullman Court,
Great Westem Road,
Gloucester GL1 3HD,
The National Caravan Council,
Catherine House,
Victoria Road,
Aldershot,
Hants GU11 1SS. |
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