Caravan Finances

[Ric.ror]

Is it possibly to cover costs when buying a caravan? I'm not bothered about making a profit.

[bednobs]

i don't understand what you mean - you want to have a caravan and have someone else pay for it (ie covering your costs?)

[Zacs-Master]

Do you mean when renting it out? Mobile or static?

[ummmm]

My sister has a caravan in Wells-next-the-sea and rents it for approx £500 a week during summer.

[hc4361]

How much does she pay in site fees, insurance, electricity and all the rest of it?

[Ric.ror]

Oh bednobs I'm laughing at the thought of someone else paying - I wish
I meant to buy a static - say Filey - renting it out some of the time to help recoup the purchase and running costs

[ummmm]

My mum lives 11 months of the year in a park home close by and she pays £1,800 site fees and that includes internet. I don't know about the rest.

[Patsy33]

Yes it is Ric-ror. If you put a static caravan in a popular resort and good site, then if you can get enough bookings to hire out and cover ground rent, you should be able to cover costs. It all depends what you charge. You might have enough to cover electric, gas and water bills too. We have one in Dorset and have always covered costs. We don't make much as a profit though, we are just content letting it out and making sure we get a few weeks in!

[Ric.ror]

Thanks Patsy - have you covered your initial investment in the caravan too?

[Patsy33]

No ,this is only our 4th season

[Ric.ror]

But do you think you will at the end of your time with the caravan?

[Patsy33]

I don't think so. There's not a lot of profit in it.

[Ric.ror]

One more thing Patsy
How long do they allow them to stay on the site?

[ethandron]

It depends on each site.
One we know of, if you site a brand new van then the initial licence is for 16 years. It's then reviewed by the site and usually a further four years granted, then it's looked at on a yearly basis to a maximum of 25 years. If you buy a used van then it's whatever is left on the licence.
On the other hand, my cousin has a van on a small site in mid Wales where there is no age restriction at all, as long as the van is kept clean, tidy and well maintained. She tells me there are vans there which are over 30 years old.
There is no hard and fast rule though, it really does depend on each site.

[Ric.ror]

Thank you all - it's been most illuminating