Sunday, May 14, 2006

Mobile home sales to be ‘more transparent’

The government wants to regulate the amount a mobile home park owner can charge as commission on the sale of a home.


It is setting up a three-month consultation aimed at finding a more transparent payment system for mobile homes used for residential purposes, with less opportunity for the potential harassment of residents, while promoting the future growth of the industry.

The homes are located on parks which vary in size and quality, from small fields, with a handful of homes, to large parks with shopping and leisure facilities. Some park homes resemble bungalows and others are more close to traditional caravans.

Housing Minister Baroness Andrews said the consultation reflected the last of the key recommendations of the Park Home Working Party set up in 1998.

"This is another important step in reforming the park home industry by increasing the rights for more than 200,000 residents whilst at the same time ensuring the sector's regulatory framework helps to meet the growing need for quality and choice in housing," she said.

The commission payment on the resale of a park home has been with us for as long as people have used caravans as a permanent residence. In the 1960s, the going rate was about 20%.

With the introduction of the Mobiles Homes Act 1975, the payment was put on the statute book and limited to 15%. This was then reduced again in the Mobile Homes Act 1983 to 10%.

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