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Hello, looking to purchase a brand new static- rules of the site dictate it has to be new and over a certain purchase price.  Finding if difficult to get clear and straight answers regarding price, transparency is proving difficult to gain.  We are finding the asking price is often significantly more than the RRP and can’t seem to get clear responses on what makes up the difference - double glazing and central heating are all fitted as standard in the ones we are looking at so the additional costs seem to be for optional extras such as dishwasher, washing machine etc but these do not make up the huge difference. We are thinking that there must be ‘hidden’ costs such as commission or deals with park owners that are driving the prices up. We also seem to be buying at the worst time as demand is high and have been told that manufactures can’t keep up with the demand so caravan sales companies are able to name their price.  Being new to all this any help or advice would be appreciated so that we can navigate the minefield. Thank you 

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Where on earth are you getting RRP from?

The cost of any static or park home on a park varies not only by make and model (and yes, you are correct, much of the extra costs comes from the internal fittings and/or the design) but where it is.

A van on one site, or even one particular pitch on a site, can cost as much as twice more than the identical van on another site, or another pitch on the same site.

Normally the cost is given to you by the Park (even if you are getting a static made specially for you) and includes the cost of delivery, siting, connection and commission, so the sited price is a LOT more than the factory price.

The price of a brand new sited van has to include profit margins for the manufacturer, the delivery company, the siting crew, the commissioning team, and the park itself - they are all businesses that need to make money to exist.

You question also makes me wonder if you are buying the van via the Park (as is usual) or whether the park has told you to get your own van direct from the manufacturer.

If the latter, the check the Park's financial situation carefully before proceeding - this could mean that their finances are not adequate for the manufacturer to supply to them.

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5 minutes ago, 2seaside said:

Where on earth are you getting RRP from?

The cost of any static or park home on a park varies not only by make and model (and yes, you are correct, much of the extra costs comes from the internal fittings and/or the design) but where it is.

A van on one site, or even one particular pitch on a site, can cost as much as twice more than the identical van on another site, or another pitch on the same site.

Normally the cost is given to you by the Park (even if you are getting a static made specially for you) and includes the cost of delivery, siting, connection and commission, so the sited price is a LOT more than the factory price.

The price of a brand new sited van has to include profit margins for the manufacturer, the delivery company, the siting crew, the commissioning team, and the park itself - they are all businesses that need to make money to exist.

You question also makes me wonder if you are buying the van via the Park (as is usual) or whether the park has told you to get your own van direct from the manufacturer.

If the latter, the check the Park's financial situation carefully before proceeding - this could mean that their finances are not adequate for the manufacturer to supply to them.

:goodpost:

 

And most of all sit down for however long it takes with a copy of the contract and rules and regs of the site to ensure you understand fully all the ramifications of the ' small print ' .

 

CT is littered over the years with stories, some horror stories of what happens when you want to sell, the £50,000 van can quickly drop to eye-watering figures when it has to be sold back to the site owner, who then sells on at a handsome profit, or when a site owner, sometimes when it changes hands , simply gives  you X months to remove the van from the site because they want to re-develop.

 

They are a wonderful thing to have but ensure you understand the contract.

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Thank you both very much for your responses. We have the RRPs from various: sources including manufacturers on the internet such as ABI. 
I understand that there are additional costs such as siting fees, delivery and charges by the park itself which all vary but these are additional costs that we know we will have to pay.  Our concern at this point is only regarding the purchase price of the van and making sure that we are paying a fair price. If the park stipulates that you can only purchase a new van from one  caravan sales company then we just want to make sure the costs are transparent. 
Thanks for the advice to read any contract throughly will certainly take this on board. I will also look through CT for the horror stories you mention in order to help us avoid similar. 

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What should happen, if you are purchasing a new, not yet manufactured van.

The park will tell you what pitches they have available (including dimensions) and what manufacturer you can choose.  They should, if restricting you to one manufacturer, be able to give you guide prices for the various models.

You can go directly to the manufacturer and start talking about your preferred van, telling them which park you are buying from.

The manufacturer will work out the price, including any amendments, reductions or additions that you have selected - and they will send the price to the park, not to you.

The park will work out their cost, and send you their price which they should identify as a turnkey price (i.e, the price of a sited, connected and commissioned van).

The prices you see on the internet are retail prices to somebody who is buying directly from the manufacturer or a dealer, and these are usually the parks themselves or people with their own land. 

The Park should itemise the costs on their pre-purchase price invitation to you, and that will show their price for the basic van model as sited, any changes to basic spec, any extras on the pitch.

IF your park is telling you to buy the van directly from the manufacturer and they will then arrange and bill transport and siting, this is an extremely unusual system, which suggests the park either have no money or the manufacturers do not trust them to pay their bills.

This means that you will have to pay for the van before the manufacturer will release it, and then keep your fingers crossed that nothing bad happens during the collection and siting.

 

You are working from the wrong angle by worrying about the variation in prices of a new van.

A fair price is a price that you, personally, are happy to pay.

A bigger factor should be the terms and conditions of the park - how long will your contract be, what is the pitch fee, when and by what method is the annual increase in pitch fee, what do you get for your pitch fee, what happens if you want or need to sell - will you be free to sell on the open market, or are you obliged to sell back to the park? What commission is payable to the park when you sell?

 

 

 

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This is so helpful thank you so much. Just to clarify the Park has stipulated we buy the new van through one caravan sales /distributed company NOT the manufacturer direct. Therefore we are restricted to their vans and their prices. 
 

 

 

 

Thank you both very much for your responses. We have the RRPs from various: sources including manufacturers on the internet such as ABI. 
I understand that there are additional costs such as siting fees, delivery and charges by the park itself which all vary but these are additional costs that we know we will have to pay.  Our concern at this point is only regarding the purchase price of the van and making sure that we are paying a fair price. If the park stipulates that you can only purchase a new van from one  caravan sales company then we just want to make sure the costs are transparent. 
Thanks for the advice to read any contract throughly will certainly take this on board. I will also look through CT for the horror stories you mention in order to help us avoid similar. 

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If it is simply that the park will sell you the van, but you have to go to the dealer to decide which one you want, but the park will then invoice you for the van, including siting etc., then this is pretty much the same as going to the manufacturer.

All you have to remember is that the manufacturer's RRP is ex-works, the dealer is ex-works plus their transport from the manufacture plus storage plus profit margin, and the park is another layer of costs and profit margins. Hence the variations in price..the more people between the factory and the final handover, the more costs and profit margins have to be covered.

 

But...Your post suggests that you are expected to pay the dealer for the van, and then a separate payment for the delivery siting,connection and commissioning.

If this is the case, ask how you will be protected against loss or damage between paying for the van (which is when you will own it) and final commissioning (which is when you will be able to use it).

Insurers will generally only insure a van that is already sited and usable. And if the park cannot pay for the van themselves, they may not be in a position to pay you for any loss or damage.

 

Plus, most new vans have snags. If, as is usual, you purchase from the park, then the park are the retailer and responsible for sorting things out.

If my understanding of the situation is correct, the dealer will be blaming the park for poor siting, the park will be blaming the dealer for defective van, and you will be caught in the middle.

 

Just a thought - is this a brand new park, just empty pitches, being filled by people buying their own vans from the one dealer?

In which case, also check with the local council that the proper planning permission and licence is in place.

And I would be inclined to check both the dealership and the park owners to see if they are connected, and what their financial situation is. You really do not want to get caught with one or the other going into liquidation while you are in the middle.

 

 

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