Park Homes Charter
The Park Homes Charter has been drawn up jointly by the residents' associations,
British Park Home Residents Association, Independent Park Home Advisory Service, National
Association for Park Home Residents and the industry trade associations British Holiday
& Home Parks Association and the National Park Homes Council and in consultation with
the Department of the Environment, Transport and the Regions. (For addresses, see contact
list at the end of the Charter.)
The Charter has been drawn up to help the home owner and the park owner to understand
and use the law in a fair and even way. The Charter does not affect the statutory rights
of any party; it explains those rights and the obligations of each party. Only the Courts
can give a definitive ruling on questions of law.
The Charter recognises that the park owner and the home owner share the same interest:
a well-run Park Home Estate where the benefits of park home living can be enjoyed and the
purchase of a park home is secure for the future.
Throughout the Charter you will see the symbol HB in the margin. This symbol is
used to explain that further information is available within the DETR Mobile Homes Housing
Booklet. Certain rights are laid down by the Mobile Homes Act 1983 - these are printed in bold.
We strongly suggest that DETR Mobile Homes Housing Booklet is read in conjunction with
this Charter.
Members of the British Holiday & Home Parks Association (BH&HPA) and the
National Park Homes Council (NPHC) shall comply with the Mobile Homes Act 1983 and with
this Charter and the Associations will apply their disciplinary procedures against any
members who are shown to have breached the Charter.
As the owner or prospective owner of a park home, you may be aware the law already
protects your security and peace of mind. The law gives you; subject to certain
conditions:
- the right to a Written Agreement under the Mobile Homes Act 1983
- security of tenure
- rights concerning the inheritance of your home
- the right to give your home to a member of your family
- the right to sell your home on the park
The Charter explains how the law may affect the buyer of a park home during the process
of buying and afterwards as a resident on a Park Home Estate. How something is done in
practice is often as important as the technicalities of the law and the Charter sets out
how members of the two trade associations deal with a number of common issues.
The purchase of a park home differs in many ways from 'bricks and mortar' housing. Park
Home living is a unique partnership between the park owner and the home owner. Although
park home owners do not own the land on which they have their home sited, they do have the
right to live in their home in perpetuity. Having bought your home, you must also pay
pitch fees. Legal conveyancing is not required: there is no land title to transfer thus no
land registry fees and no stamp duty. Therefore, there are no obligatory legal charges.
However you might well feel you need help or legal advice, in which case you should
seek it from a solicitor or other qualified body.
Terms and conditions for buying a park home consistent with the Charter and the 1983
Act shall be made available to you in advance of your purchase.
If you have any queries concerning your park home, please ask the park owner or his
authorised representative.
IF YOU ARE IN ANY DOUBT AS TO YOUR LEGAL POSITION, YOU SHOULD SEEK INDEPENDENT LEGAL
ADVICE.
The Charter is intended to set out the ground rules and guides the prospective home
owner and the park owner through the purchase decision making process, the purchase
formalities and thereafter. Everyone is encouraged to keep all documents and
correspondence relating to the purchase.
WHEN CONSIDERING BUYING A PARK HOME
- On all BH&HPA and/or NPHC member parks, you have the right to employ an independent
surveyor to have the park home surveyed. You should make sure the surveyor you use has
experience of park homes.
- On all BH&HPA and/or NPHC member parks, you have the right and are encouraged to
tour the park unaccompanied and to meet and talk to existing home owners.
- You should enquire from the trade associations, whether or not the park is in BH&HPA
and/or NPHC membership and whether, therefore, this Charter automatically applies should
you proceed with your purchase. Failing that you should ask if the Charter applies.
WHEN YOU DECIDE TO BUY A PARK HOME FROM THE PARK OWNER
- You have the right to take independent advice on your purchase and the documents offered
should you wish to do so.
- Before any final commitment is made, park owners in BH&HPA and/or NPHC
membership will give the purchaser an information package to take away to help with the
decision making process. This will include:
- a copy of the written statement complying with the Mobile Homes Act 1983 between the
home owner and the park owner, to study before you make a commitment. You will find that
the agreement normally consists of four separate parts numbered (i) to (iv). [HB6]
- You should make sure that you fully understand and are satisfied with the Agreement and
especially the provisions of part IV (known as the Express Terms) which are individual to
the park concerned. See the section below "Your Agreement".
- a copy of the park rules which help with the good management of the park and safeguard
home owners' interests.
- a copy of Housing Booklet, 'Mobile Homes - A Guide for Residents and Site Owners',
produced by the Department of the Environment Transport & the Regions and a copy of
the Charter. [HB]
- The park owner in BH&HPA and/or NPHC membership will be pleased to answer your
questions and will endeavour to provide any information you require. In any event, the
park owner should explain:
- the total cost of buying the home fully sited on the park, in writing. A breakdown for
insurance purposes shall be given on request.
- the amount of pitch fee to be charged, how and when it is reviewed. [HB15]
- all other services provided by the park owner such as water, sewerage, gas, electricity
standing charges.
- any Park Rules or special provisions (e.g. that it is a retirement park or requirements
regarding pets and animals).
- the Local Authority issues a Site Licence to the park owner. All BH&HPA and NPHC
member park owners must display a copy of their site licence and attached conditions,
which shall also be made available on request.
This licence requires the park owner to observe a number of standards which apply to
the park, relating for example to health and safety including fire safety, electrical
installations, water supply, sanitation, refuse disposal, the spacing between homes,
sheds, porches and parking arrangements. If you have any concerns regarding the site
licence, you should discuss these with the park owner.
- Park owners in BH&HPA and/or NPHC membership will draw your attention to the park
owner's entitlement to a transfer fee (commission) if you sell your home and assign the
agreement on the park. The rate for this transfer fee will not exceed such rate as may be
specified by an order made by the Secretary of State, currently 10%.[HB12]
- You should check that the home complies with the park's site licence conditions. If it
does not, the park owner may be able to offer advice on this subject.
- Park owner members of the BH&HPA and/or NPHC shall ensure that two originals of the
agreement (known as the Written Statement under the Mobile Homes Act 1983), are prepared,
one for the home owner to keep and the other for the park owner. The park owner and the
resident should sign each copy, and their signatures should be countersigned by a witness.
WHEN YOU DECIDE TO BUY FROM AN EXISTING HOME OWNER ON THE PARK
- When you buy from an existing home owner on the park, the agreement with the park owner
must be transferred to you without alteration to its terms and conditions. You will not be
entitled to a new or different agreement. Therefore, you should make sure you understand
the terms of the agreement which set out the rights and responsibilities you are taking on
as a home owner including the current pitch fee that applies to that agreement.
- The park owner's consent shall be required for you to purchase from the existing home
owner. The park owner can only refuse if he has reasonable grounds to do so and puts
them in writing. You should try to meet with the park owner or his representative to
make sure you understand all the issues concerned with the park home purchase. Read
through the section above "When you decide to buy a park home from the park
owner" so that you know the questions to ask. [HB12]
- If you are considering the purchase of an old park home, the park owner in BH&HPA
and/or NPHC membership will advise you in writing of any possible issues that might limit
your security of tenure. Your agreement could be brought to an end if a Court is satisfied
that the home is having a detrimental effect on the park. The section of the Charter
headed "Bringing the Agreement to an End" contains further advice.
IF YOU ARE IN ANY DOUBT AT ALL ABOUT THE PURCHASE, TAKE INDEPENDENT LEGAL ADVICE AND DO
NOT PROCEED UNTIL YOU ARE SATISFIED.
WHEN LIVING ON A HOME PARK
- You have the right to the quiet enjoyment of your home and the amenities of the park.
- You have the right to the protection and benefits of the park rules.
- On a BH&HPA and/or NPHC member park, you have the right to receive normal household
deliveries directly to your home from suppliers of your own choice. However, a degree of
common sense is required. If for example, the lorries used by gas suppliers are too heavy
for the park roads, then deliveries should be made by hand or using a trolley to avoid
costly damage to the park infrastructure. In such circumstances, the park owner shall
provide reasons in writing.
- All BH&HPA and NPHC member park owners shall maintain the common areas of the park
for which they are responsible.
- All BH&HPA and NPHC member park owners shall respect the peace, privacy and rights
of park home owners.
- All BH&HPA and NPHC member park owners shall adhere to the provisions of the 1983
Mobile Homes Act, this Charter and meet their responsibilities under their agreements with
home owners.
- Park Homes are normally connected to all services. On a BH&HPA and/or NPHC member
park, you may connect your home to any further mains services which become available,
provided this is practicable and on payment of all associated costs.
- You have the right to establish or apply for membership of any residents' association or
social club on the park. A democratic and fully representative residents' association can
provide a valuable social forum for home owners and make for easier communications between
the park owner and the home owner.
- A change of ownership of the park will not affect your statutory rights or those
contained within your agreement. [HB14]
- Good communication between residents and the park owner is essential to ensure your park
is well managed and a happy place to live. It is in your interest to inform the park owner
should you have any concerns relating to the park.
- In order to ensure your park is a pleasant environment in which to live, you should
respect the peace, privacy and rights of your neighbours.
- You should make sure that you understand and meet your responsibilities as a home owner.
- Your park home is a valuable asset and one which should be looked after. You should make
sure you are fully acquainted with the manufacturer's maintenance recommendations.
- As a home owner, you are responsible for maintenance and upkeep of the home and the
designated garden area, in accordance with the rules of the park.
- If permitted by your agreement with the park owner, should you wish to make improvements
or changes which alter the appearance of your home or garden area (e.g. the erection of a
porch, extension, shed, garage or fence etc.), you are responsible for obtaining the park
owner's written consent in advance. 'Guidance Notes for Park Home Refurbishment' are
available from the park owner or from the BH&HPA and NPHC.
- In the interest of security and to avoid any misunderstanding, it is advisable to inform
the park owner in writing if you are going to be away from the home for a long period. If
your park home ceases to be your only or main residence, the park owner may apply to the
Court for permission to terminate your agreement. [HB9]
PITCH FEE REVIEWS
- You can expect the pitch fee to be reviewed on an annual basis, normally in line with
inflation. Details of the factors taken in to consideration in a pitch fee review should
be in the express terms of your agreement.
- The pitch fee normally covers routine repairs and maintenance to the park.
- Where the pitch fee increase will be above the rate of inflation, a BH&HPA and/or
NPHC member park owner will consult with home owners and explain the circumstances, giving
reasonable advance notice
- A BH&HPA and/or NPHC member park owner will clearly explain all other factors
including changes in legislation which are taken into account in the review of the pitch
fee.
- When reviewing the pitch fees of existing park home owners, the park owner will not take
into account his expenditure in development works for new homes, except where that
expenditure also benefits existing residents. You may then expect the increase to be borne
partly by the park owner and partly by existing residents.
- The park owner will, on request, separately identify charges for mains services (gas,
electricity, water or sewage as appropriate) where these are included in the pitch
fee. Either these charges will not exceed the controlled tariff applicable, or the park
owner will justify the charges made with supporting evidence.
- A Pitch Fee Arbitration Scheme, approved by the Department of the Environment, Transport
and the Regions and operated by the Institute of Arbitrators, is available as a low cost
alternative to resolving disputes in Court, if your park is a member of BH&HPA and/or
NPHC.
IF YOU DECIDE TO SELL YOUR HOME
- You have the right to sell your home, either privately or through an estate agent or to
the park owner.
- Park owners in membership of BH&HPA and/or NPHC will permit one "For Sale"
notice to be displayed in the window of a home for sale, provided that it does not exceed
A4 size (210mm x 297mm).
- All new agreements issued under this Charter shall not place an obligation on the park
home owner to sell the park home to the park owner.
- Before a sale can proceed you must notify the park owner of your intention to sell your
home and the price required, in accordance with the agreement. The park owner may be able
to assist you with the sale, or offer advice. Where appropriate, he may agree special
arrangements where , for example, the home owner is moving into sheltered accommodation.
Park home owners may agree a fair price for their home with a prospective customer and
while they are free to conduct this negotiation themselves if they wish to, they must keep
the park owner fully informed of the negotiations as he is entitled to a transfer fee
based on the sale price. [HB12]
- You must consult the park owner as s/he is required to give her/his consent to your
prospective buyer, but s/he is not allowed to withhold her/his approval except on
reasonable grounds given in writing. Neither shall the park owner obstruct the sales
process. If you believe the park owner has unreasonably withheld his approval, you have
the right to seek redress through a Court if necessary. [HB12]
- Because of the unique partnership which exists between the park owner and the home
owner, the law states that where the occupier sells the home, and assigns the
agreement, the park owner shall be entitled to receive a transfer fee (commission) on the
sale. The rate shall not exceed such rate as may be specified by an order made by the
Secretary of State: currently 10%.
- This transfer fee is not comparable with commission payments made to Estate Agents etc.
Rather, it reflects the fact that the pitch and the amenities of the park add to the
resale value of the home. Transfer fees supplement the income the park owner receives from
pitch fees: without them, pitch fees would have to be higher.
- Considerable investment is necessary to develop and maintain a licensed park home
estate. A reasonable return on this investment is essential to ensure that the park
continues as a viable concern in the interests of both the home owner and the park owner.
YOUR AGREEMENT
Parts I, II and III of your agreement under the Mobile Homes Act 1983 are fixed by law
and state your statutory rights. Part IV, called the express terms, contains information
relevant to your park and may vary as circumstances vary from park to park. [HB6]
These describe, for example, the legal relationship between and the obligations of the
home owner and the park owner. They provide for the maintenance and upkeep of the park by
the park owners as well as the pitch area, garden and park home by its owner. They state
when and on what basis the pitch fee can be reviewed, what to do when a home is sold and
when a park home may be moved from its pitch.
Park owners can prepare and issue their own express terms but many choose to use the
model form issued by BH&HPA and NPHC.
- When you buy a park home from an existing home owner, you will be bound by the express
terms of their agreement with the park owner, that will be transferred to you - therefore
it is important to make sure you fully understand your rights and obligations, before you
purchase.
- When you buy a park home from the park owner, it is equally important to ensure you
understand the terms of agreement proposed to you, negotiate these with the park owner if
you are not entirely satisfied and do not proceed with the purchase unless you are happy
with the terms of agreement under which your home will be sited on the park.
REMEMBER, IF YOU ARE IN ANY DOUBT AS TO YOUR LEGAL POSITION, YOU SHOULD
SEEK INDEPENDENT LEGAL ADVICE BEFORE YOU PURCHASE
BRINGING THE AGREEMENT TO AN END
You can bring your agreement to an end and remove your home from the park by giving 28
days written notice to the park owner. When this happens, you are entitled to the return
of any unexpired pitch fees paid in advance.
However, a park owner wishing to end the agreement has to apply to the County Court for
permission. This can only happen if the Court is satisfied of one or more of the
following: [HB9]
- That the home owner has broken a term of the agreement and has not put this right
when asked to do so:
The most common way of breaching the agreement is not to pay the pitch fees (to the
extent that they are not in dispute) on time. Recommended practice for the park owner is
to investigate with the home owner why they are behind with their pitch fees and to try to
agree a timetable for payment of arrears. It may be helpful to refer the home owner to a
debt counselling service such as that offered by the Citizens' Advice Bureaux. Proceedings
in court should only be used as a last resort. A minimum of 28 days' notice must be given.
The court will only give leave for termination if it is satisfied that it is reasonable to
do so.
It will sometimes be necessary for the park owner to take action against a home owner in
the interests of other home owners and good management. Again court action is a last
resort when other ways of resolving the problem have failed.
- That the home owner is not occupying the home as his/her only or main place of
residence:
Park owners should make sure the home owner is living somewhere else and is not merely
temporarily absent from home for any reason, before proceeding to court. It is important,
therefore, that the home owner should advise the park owner in writing of any prolonged
period of absence in order to avoid misunderstandings. Where possible, the park owner and
home owner should discuss the question before proceeding to court.
- That the home, having regard to its age and condition, is detrimental to the amenity
of the park, or is likely to become detrimental in the near future:
Very old and unsightly park homes can be quite out of place on a park and the law
recognises this. The way the law works is to require the park owner to show that a home is
having a detrimental effect on the quality or pleasantness of a park, because of its age
and condition. It is not enough for a home simply to be old, it must also be detrimental
because of its condition. Normally the home will be an obvious eyesore, out of place among
the majority of homes on the park. Sometimes parks will consist mainly of old homes but
that does not prevent the court from finding that a home is detrimental if the court is
satisfied on the evidence that this is the case.
Buyers of older homes need to be aware of this provision and should seek advice from an
independent experienced surveyor on the structural condition and from the park owner if
they have any doubts. A park owner who intends to bring an action based on the age and
condition of a park home, shall tell the home owner and any prospective buyer of the home,
in writing, of his intention.
WHAT HAPPENS TO YOUR HOME IF YOU DIE
The law specifically deals with the treatment of park homes where the home owner dies.
If the home owner was living with his/her husband or wife when death took place, then the
surviving partner can inherit the home and the rights for the home under the agreement
with the park owner. In this way they can continue to live in their home on the park.
Under these circumstances no money should change hands and equally no transfer fee will be
payable. This applies also for people living together as husband and wife. [HB13]
A member of the home owner's family who was also living in the home when death occurred
may also inherit the home and the rights of the agreement and therefore continue to live
in the home on the park, so long as this does not contradict the park rules or terms of
the agreement - for example, the family member should be within the age range permitted on
the park. The law carefully defines who counts as a member of the home owner's family.
Under these circumstances no money should change hands and equally no transfer fee will be
payable. [HB13]
If no family member was living with the home owner when he or she dies, then the person
who inherits the home will have the right to sell it on the park but will not have the
right to live in the home with the benefit of the agreement themselves.
GIFTS OF PARK HOMES
The law allows a home owner to give away his park home and pass on the benefits of the
agreement to a member of his family, as defined in the Mobile Homes Act 1983 subject to
certain conditions. Under these circumstances no money should change hands and equally no
transfer fee will be payable. [HB12]
HOW TO DEAL WITH PROBLEMS
Park owners who are members of the BH&HPA and/or NPHC will use every endeavour to
assist in the settlement of complaints arising on their parks. They will also be able to
advise you of the conciliation and arbitration procedures, which do not affect your
statutory rights.
The home owner with a complaint is advised in the first instance to take her/his
written complaint directly to the park owner.
The home owner may at any time seek help and guidance in settling complaints from the
National Residents' Associations, Local Trading Standards Departments, Citizen's Advice
Bureau and Consumer Advice Centres.
The Director General
British Holiday & Home Parks Association
Chichester House
6 Pullman Court
Great Western Road
Gloucester GL1 3ND
or
The Director General
National Park Homes Council
Catherine House
Victoria Road
Aldershot
Hants GU11 1SS
The Conciliation Service aims to ensure that both parties in any dispute understand the
point of view of the other and is not a method of arbitration.
The undertakings of park owner members of both BH&HPA and NPHC are clearly laid out
within this Charter. If investigation through the conciliation service shows that these
terms have been breached, every effort will be made to ensure compliance. The
Associations' disciplinary procedures include, as a final measure, expulsion from trade
association membership, with all the attendant negative publicity this implies.
STEP FOUR
Pitch Fee Problems
In the case of disputes concerning pitch fees, if the complaint is still not resolved
to your satisfaction, you may once more approach the respective trade association's
Director General for advice on the availability of an independent Arbitration Scheme. It
is intended to be a scheme which can be used without the parties having to employ experts,
but does involve fees for the arbitrator's time. In many cases, the issue can be
determined "on paper" without a hearing. Arbitration can only be used to resolve
a dispute if both parties agree.
Site Licence Issues
If you are concerned that the park does not reach the standards set down in the Site
Licence issued by the local authority, you should discuss this with the park owner. If you
are not satisfied by the response you receive from the park owner, you may also take this
up with the local authority's Environmental Health Department.
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