Barrister-at-law Ibraheem Dulmeer of Park Homes Law – www.parkhomeslaw.com – answers some of your common park home buying questions
In this article, we will examine some common questions posed by prospective park home purchasers. Ibraheem hopes the reader finds this article useful.
Q1: Do I need legal advice when buying a park home?
Ibraheem says: The park site owner or estate agent may advise that you do not need legal advice when buying a park
home. In Ibraheem’s view, specific legal advice is essential. Ensuring that you obtain specialist legal advice should highlight any pitfalls that may significantly impact your purchase long term. Such matters may affect the ability to sell the park home and Agreement in the future.
There are three reasons why legal advice is important:
1. Safguarding your financial interests, giving you the peace of mind we would all want.
2. Avoiding lengthy and costly disputes in the future, “forewarned is forearmed”.
3. Giving you the confidence and reassurance when making your purchase, which often involves ones life savings or
large cash sums.
Q2: What is the written statement?
Ibraheem says: This is the most important document for owning a park home; in general, it provides the legal right to home on a particular pitch.
If buying a new park home, site owners must issue a written statement 28 days before any agreement for the sale of the mobile home is made, or if there is no such agreement, no later than 28 days before the occupation agreement is entered into.
By obtaining legal advice from Ibraheem, your interests are safeguarded and explained, providing you peace of mind. Your key responsibilities will be explained, highlighting any onerous terms you need to know about.
Q3: What are the implied terms?
Ibraheem says: The implied terms are the legal minimum rights and obligations for all park home residents in England and Wales. The implied terms may include: the park home owner’s indefinite right (not always the case) to live on the site, the circumstances in which a termination may occur and the park home owner’s right to sell.
Q4: I am buying a park home that is pre-owned. Is the site owner involved in the transaction?
Ibraheem says: Site owners are not directly involved in the selling a privately pre-owned park home. The only involvement is a contractual duty on the site owner to give approval to a prospective purchaser within a time limit of 28 days, if appllicable.
It is an offence to ‘sales block’ whereby, for example, the park home owner is persuaded to sell their park home to the site owner at a reduced price rather than selling to an open market, which can often be sold for a much higher price.
Q5: Is it correct that the site owner is entitled to 10 per cent of the sale of my park home?
Ibraheem says: Yes. When selling a residential park home in England or Wales, there is a requirement to pay a commission
on the sale to the site owner. The maximum commission rate is prescribed in regulations made by the Secretary of State and is currently set at 10 per cent of the sale price. This has been the position since 1983.