Are Holiday Park Homes a Good Investment?

When thinking of getting into the world of holiday home letting, some people tend to forget holiday park homes.Though easily forgettable at the start of your letting journey, you will find that these smaller properties can be a great and affordable alternative to a fully built holiday home.

What is a holiday park home?

Originally stemming from the concept of a mobile caravan, holiday park homes are more of a bungalow-style detached property. Most of the time, these properties are sitting on a rented plot of land in a private park.Holiday park homes have become much more advanced and modern over the recent years. Park homes are becoming more and more popular for this reason, and some are even choosing this style of home for their main residence.In more recent years, holiday park homes have become incredibly modern, eco-friendly and efficient with space.

The value of a holiday park home

Unfortunately, the value of a holiday park home doesn’t hold up well in comparison to a conventional property.The average lifespan of a higher-end holiday park home will last around 8-15 years after construction. After this period, you can expect to see the value of the property to sink.Although this may seem offputting, the income you could make off the back of a holiday park home over its lifetime can produce a worthy profit. Not only that, it can save you money on costly international holidays as you can use the property for yourself.

Are holiday park homes a good investment?

Holiday park homes are often placed in the most beautiful and scenic parts of the country, hosting variety of opportunities for outdoor activities.On top of this, the property will be surrounded by other holidaymakers looking to experience what the country has to offer, in the same way you or your guests will be. This makes holiday park homes a better communal property in comparison to any other holiday home.Not only could a holiday park home be a good investment financially, but it can also be a good investment spiritually.

Lower running costs

It goes without saying that energy bills are something you will need to remember when letting out a property. But don’t forget that letting out a holiday park home is significantly cheaper than running a traditional holiday let.As we’ve already covered, holiday park homes are now more modern and eco-friendly than ever before. Going green is one of the key selling points of these recyclable properties. This means that they require less energy to run electronics, and can even help power themselves through solar paneling.On top of all this, the parks that the property resides on are not allowed to mark up their rates for any of the utilities they supply to park homeowners.

Making money on a park home

As with any other type of holiday let, you will increase your chances of making more money on your property if it is available throughout the year.Staycations in the UK have become increasingly popular over recent years, meaning your park home will be ideal for holiday makers if in the right location.

Costs of buying a holiday park home

Due to the lifespan of a park home, you should expect that the newer the property, the more expensive it is going to be.

As some holiday park homes have a lifespan of 8-15 years, you could expect to pay around £40,000 for the cheapest property. But bare in mind, the more lavish and durable the property, the higher the price.

If you're looking for something a little more fresh, you could be paying anywhere around the £150,000 mark. This will entitle you to some of the most luxurious and effecient park homes on the market.

Once you have your property and have it ready to let, you can start advertising your property with a holiday letting agency such as Sykes Holiday Cottages. This will help you attract guests all year round to drive low season bookings whilst pricing your property affectively.