Buy park home, rent or get assistance to buy

justkeepgoing

I'll try to keep this brief but please stick with me!

My parents moved from Yorkshire to Spain 6 years ago but have now decided to move back. My dad had some serious health issues 4 years ago and they both have mobility issues. They've just agreed a sale on their Spanish property and I'm trying to help them sort out somewhere to live over here.

I live in a very pricy village in Hampshire and ideally they want to live nearby. I'm an only child and feel like being close by is important as they get older. With their budget they could only just afford a park home on a site with low fees about an hour away. I know nothing about park homes but the ones I've looked at in their budget don't look ideal for an aging couple.

So here are our choices:

1) Go for the park home. Site fees could be an issue. Some are as high as £650pcm! They would still be quite far away. What are the advantages and pitfalls of park homes?
2) Rent locally. I know a few local landlords and there are some reasonable properties for £800-900pcm. I'm aware of the risks of renting but can also see the advantage of someone else having responsibility for the building.
3) We have a fair amount of equity in our house but we are cash poor. We couldn't really stretch our mortgage payments by much but we could release a little equity. My other half also has some 'trust' money that he may be able to access and his parents 'may' wish to invest. We could probably scrape together a reasonable deposit and then my parents could pay the mortgage payments. The only problem is whether we could get the mortgage agreed. Affordability wise it would be tight. Long term I feel like this would be the better option but the financial commitment makes me nervous.

The other option is to rent for a few months and develop the third option but then the rent money would be 'lost'.

Really hoping for some outside points of view as it's hard to be objective!!

elljay

What about something like Abbeyfield Independent Living or supported housing apartments? (Not the homes) My mother lives in one of their flats, she sold her house and rents. As much independence (or companionship) as she wants but someone around just in case. And no worries about home maintenance, utility bills, council tax etc.

Very reasonable, they have bungalows for couples. I think it's a wonderful organisation, but there are other similar ones too I'm sure.

EJ

Owain_Moneysaver

justkeepgoing wrote: »

1) Go for the park home. Site fees could be an issue. Some are as high as £650pcm! They would still be quite far away. What are the advantages and pitfalls of park homes?

Very few advantages and lots of disadvantages.

You do not own the plot on which the home is situated. You have to rent it. You have limited security of tenure.

Park homes are not usually built to Building Regulations, they are likely to depreciate more than a standard building and have a limited lifespan. They may be harder to maintain, alter or extend than a standard building.

The site may require you to remove the home from site when it reaches a certain age (sometimes as little as 10 years) as they like to keep their site looking nice with new homes on it.

You might not be allowed to rent out the home (owner-occupiers permitted only) . If you sell your home the site operator may take a commission. If you buy a new home the site operator may take a commission, as well as siting fees.

You may be restricted who your energy and broadband suppliers are. You may not be allowed pets.

Not all sites are licenced for year-round 'main residence' operation. Sites for 'holiday' use may close for 2 months of the year.

PasturesNew

Never buy a park home..... they are insecure even on a full residential site. You can still be given notice to quit residential sites, it's just the notice is longer ... but you still have to get out.

Renting is better because they stand a chance of getting "old dear accommodations" that suit their needs. Don't go private when you're elderly/have issues. As said above, look to see if there are Abbeyfields in the area, I've been round one and they're nice. They're all different and the one I looked at (for mum) was a big house where you got a bedroom about 15' square that had in it a small table and a chair (bring your own furniture) - and a sink and room for a mini fridge. For £1000/month (7 years ago) you got the rent, all bills, supplies to make toast/cereal in your room for breakfast and two hot meals a day round a big "family table" with all the others.

Buy with assistance... tends to be problematic and you're stuck with it and struggle to resell....

ashe

Does your land have any scope for an extension, annex or external building? Or sufficient land for a mobile home to get around council tax?

teddysmum

There have been tv programmes highlighting problems with both home sites and sheltered accommodation.


In common with holiday caravan sites, many owners sell at inflated prices, but buy back (insisting on first option to buy)for a pittance. Sometimes they block realistic sales prices by refusing safeguards to the new purchaser ,so ensuring they buy for peanuts then sell on at inflated prices.


The biggest negative of the sheltered accommodation was that some providers tie the resident's estate to payments beyond the time the person moves on or dies. Relatives complained that these on going fees would be fair enough until the home is resold/let ,if they weren't the full price which included cleaning,laundry, meals etc.which the providers were not having to purchase.

kingfisherblue

What about a retirement village? I know that there may be some problems with resale after the death of a resident, but they are still a valid option for many.

My daughter works in a retirement village in our area. Most of the residents don't require care, but there are some who do - and it is provided by care workers employed by the village, so the residents know that they will have regular carers rather than someone different every time. There is also a shop, library, gym, restaurant, village hall, craft workshop, woodworking room, bar, hairdresser, all on site.

There are a mix of rented and owned flats and bungalows, and some are part owned/part rented.

It may be an option to consider.