Can you get a mortgage on a static caravan?
Buying a static caravan is an exciting venture in almost every respect and the opportunity to escape on holiday at a moment’s notice is a novelty that is unlikely to wear off any time soon. With Haven’s advice and a number of flexible finance options, funding your static caravan purchase is made as easy as possible.
Not everyone can afford to purchase a holiday home outright so naturally many people look for alternative options when it comes to park home finance. If that’s why you’ve stumbled across this article then rest assured that you’re in the right place. We’ll address the question that many of you will be asking - “can you get a mortgage on a static caravan?” While the answer is not a straightforward yes or no, we’ve simplified it for you. The way to obtain credit for and purchase a static caravan is quite different to that of a traditional house. So, if you’re interested in making a holiday home purchase, whether that be a static caravan or luxury lodge, but don’t know all the ins and outs, read on for the insider tips and information on static home finance.
Is there such a thing as a static caravan mortgage?
At Haven we often hear the question “Can you get a mortgage on a static caravan?” It’s a reasonable query to make - if you can raise a mortgage for a brick-and-mortar house, then why not a holiday home? Well, the short answer to this question is no, but this doesn’t mean that there are not plenty of other ways to finance your static caravan.
Before we look at the alternatives, first let’s look at why mortgages for caravans don’t exist. The reason that you cannot take out an ordinary mortgage on a static caravan is that mortgages are strictly speaking, only applied to properties that are sold with the plot of land they are built on. This piece of land is registered with the UK Land Registry which allows it to be subject to a mortgage. As static caravans do not come with any land, you can’t take out a mortgage on one. There is godsend of park home finance which does a great job of making things easier. So, even if you can’t secure anything such as a mortgage loan, there are other options out there for you.
What alternatives are there to a mortgage at Haven?
As static caravans and lodges are not recognised by the UK Land Registry, you will need to look for alternative financing options. In place of a static caravan mortgage, we offer caravan finance. This finance option allows many people to purchase static caravans who couldn’t otherwise, reduces the stress and hassle, and turns dreams into reality.
Our caravan finance makes the full cost of a model more affordable as it enables you to pay in instalments, eliminating the need to pay the full cost upfront. This allows you to pay a small chunk initially and then pay the rest at your own pace, much like an ordinary mortgage. You’ll find many deals on the market to make joining the world of static caravan ownership easier and our offer at Haven is as competitive as any of them. Here’s how it works:
Deposit of 10% of the caravan's value
Receive a low 4.47% fixed repayment rate (8.4% APR) to make repayment manageable
Get a 30-day money-back guarantee, just in case you have a change of heart
We offer a range of fixed-rate finance options from Black Horse and Santander
Lots of our owners choose to finance their holiday home purchase with the plan outlined above. With one up-front deposit, followed by affordable monthly payments, you could be the happy owner of a Haven holiday home in no time. Indeed, these monthly repayments are very competitive and more reasonable than many think.
We receive regulation from the Financial Conduct Authority and work alongside Black Horse and Santander to offer this wonderful fixed-rate finance option. Our professional team looks after you every step of the way to put in place the right payment plan so that you can have more time to enjoy your holidays with your family and less fretting over finances.
Why choose to finance your static caravan?
There’s no right or wrong way to purchase a caravan. A lot will depend on your personal and financial circumstances. You might find it easier to pay a lump sum upfront and secure your ideal holiday home there and then. However, you may also find that, having assessed your needs, finance is the better route to go down.
Finance allows you to spread the price you pay into affordable monthly payments, providing a more approachable and realistic path to purchasing your holiday home. Offsetting the initial financial burden and a low repayment rate helps make caravan finance a highly appealing option. In addition, buying upfront means you’d be investing a fair bit of money into an asset that depreciates over time. As a result, it may be more financially astute to buy your holiday home with a finance plan just in case you decide to sell later on down the line.
Ultimately, buying a Haven holiday home can be a dream come true, but not if you're taking unnecessary financial risks. That’s why we offer our finance package. Whatever the case, our experts are happy to talk you through all the options available to you and get you started on your ownership journey. We can help you decide if you’re a suitable candidate to buy one of our static caravans with finance, so please don’t hesitate to get in touch.
If you have questions about buying a holiday home, please don't hesitate to contact us. We'd love to hear from you.