Holiday Park Investment Or Not. What To Do With £70,000

crv1963

Do not risk the money with a Holiday Park! Lots of places even if it is not a scam demand that you replace the unit/ static caravan with a new one after 10 years.


Even if you don't lose your 70k straight away are you tied to replace it in ten years? Or scrap it a your own cost if you don't want to/ can't afford to replace it?


Read, research and if still not confident what to invest in see an IFA!

jamei305

Holiday park investments are to be avoided, unless you can buy a whole holiday park and convince other people to rent small bits of land from you at exorbitant prices.

BananaRepublic

Your post shows extreme ignorance of investments, especially equities. I don’t say this to be unpleasant, or to put you down, but to make you aware of that fact. I think most people are in the same boat. What you really need to do is get a good book on investing, and understand the basics, so you understand a bit about risk, inflation, compound interest, time in the market and so on. After all, we (almost) all have pensions to look after.

And if an investment suggests a sure fire 10% a year return and your original investment back after ten years, run a mile.

TBC15

ChesterDog wrote: »

This sort of thing looks much safer to me, given a decent timescale.

Love graphs. So, is it telling me if I invested £0 in the FTSE All Share with dividend reinvested back in 1987 it could now be worth over £140000?

Come to think about it I did invest £0 back then, where do I pick my money up?

ChesterDog

TBC15 wrote: »

Love graphs. So, is it telling me if I invested £0 in the FTSE All Share with dividend reinvested back in 1987 it could now be worth over £140000?

Come to think about it I did invest £0 back then, where do I pick my money up?

Yes - rather amusing that starting point, isn't it?

I think someone at Fidelity extrapolated back a tiny bit too far.

Apodemus

TBC15 wrote: »

Love graphs. So, is it telling me if I invested £0 in the FTSE All Share with dividend reinvested back in 1987 it could now be worth over £140000?

Come to think about it I did invest £0 back then, where do I pick my money up?

To be fair, £0 invested in the FTSE All Share in 1987, is probably still worth more after 30 years than £70,000 invested today in a holiday Park will be worth in 2048!

KeepOnKnitting

A caravan is not an investment. It is a liability. Liable to need repairs, to get trashed by holiday makers, to get damaged in storms, to need replacing because it is dated. Just get a Sun £9.50 holiday if you fancy a caravan.

jamei305

ChesterDog wrote: »

Yes - rather amusing that starting point, isn't it?

I think someone at Fidelity extrapolated back a tiny bit too far.

The graph is based on starting with £0 and investing a certain amount per month, rather than starting with £x and leaving it alone.

firestone

I notice you say there is no guarantee that you will be able to sell in 10 years but you seem sure you can sell in 5 years - why? You say if you get a buyer they can make 10% for the 2nd 5 years,as you quote 12% for the second 5 years at the start does that mean they buy 5 or 10 years?It is early on a Sunday and my brains not in gear but you say a payment result of 10% for 5 years are you saying that's per year or a total gain?
Have no idea about this type of plan but you only mention bi-annual payments so is it up to you to rent out? Also your thread title says investment not holiday home so is there ground rent/maintenance/site fees/utilities/insurance/council tax and other bills before you make money but that would be different if it was for holidays and lots of weekends for you

Glen_Clark

Sounds like the car park / storage spaces schemes.
Its just a con to make you feel more secure in owning something - plot of land, car park space etc. Even if this was a decent investment you are totaly dependent on someone else for acess roads, utilities, security, etc. You would be better off with shares in the company operating the park - not that I am suggesting that. But they get someone else to put up all the capital buying the plots, then have total control over them because their plots are useless without the goodwill of the holiday park operator.