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SELLING A PARK HOME ON A RESIDENTIAL MOBILE HOME SITE IN SCOTLAND

Park Home owners may now market their park home in the same manner as bricks and mortar homes.  They may employ the services of an agent or sell privately and in both cases have the right to display advertising material on the pitch and on the home without the need for any permission from the site owner.  The home may also be advertised freely in the media and the site owner has no locus in the matter nor can the site owner require advance notice of an intention to sell.  The site owner DOES have the right to receive UP TO 10% (Maximum) of the sale price as a commission, depending on the individual written agreement.  In Scotland, the regulations differ from those in England in that there is no formal procedure or form filling laid down by law.  While informal, sellers should be aware of their responsibilities under contract law as well as the Mobile Homes Act provisions and ensure that all the information given to a prospective buyer about the property, its location, condition, the written agreement and the park rules is completely accurate and not misleading in any way.

Another thing to bear in mind is that there is no legal conveyancing process with a park home.  In law, a Park Home is a chattel and not a property in the normal sense.  While you own a park home and it is in every way a ‘home’ you do not own the land it stands on and this is what makes it different.  In a bricks and mortar situation, most owners also own the land that their house stands on and it is the land that is legally conveyed and registered, not the house!  In a park home situation therefore, there is no legal requirement to employ a solicitor since there is no legal process but as in any major financial transaction you should seek professional advice. 

Park Homes Scotland Ltd Property Agency can provide with assistance in this regard.

Park Homes Scotland Ltd recommends the following simple procedure which ensures that the  seller, the buyer and the site owner are treated equitably.  A solicitor is not required within this process but again, as always with any major transaction, professional advice should be considered. 

Park Homes Scotland Ltd can assist you in the steps of the sale and transfer process and also act for you in a non-legal professional capacity.

 

SUGGESTED PROCEDURE

 

Stage 1 Preparing  your Park Home for sale.

As with any property, the condition of the property will be crucial to achieving a sale.  First impressions count and a pristine pitch with fences, walls, driveways, monoblock and gardens in a clean and tidy condition.  Next, is the exterior up to scratch?  Are there any water penetration bubbles or bulges in the wall render, is the paintwork in good order (Was the home painted in the last three years as recommended by the manufacturer, if not, your home insurance could be invalid.)  Check the skirt for cracks in the pointing, check underneath for water lying on the base and check if your chassis is in good order.  (In the case of homes unoccupied for more than 30 days, the home insurance may be void.  We suggest you check with your insurer of you are selling an unoccupied home.)

Moving inside, is there any damp, are fixtures and fittings in good order, does everything work, do you have current gas safety and electrical safety certificates in place?  These are things a potential buyer will look for.

One simple way of ensuring things are tiptop is to commission an Inspection & Condition Report from the Park Homes Scotland Ltd  Property Agency which will give you a professional report on every aspect of the condition of your property with recommendations for any repairs required.  This report will be invaluable when it comes to selling your home and is a bargain at £175.00. Call 01506 530344 for details.

 

Stage 2 Marketing your Park Home

When you are satisfied that the home is ready for sale, you will need to compile a Schedule of Particulars to let people know about your home even if you are selling it privately.  If you appoint an agent, they will prepare the schedule for you or you could ask the Park Homes Scotland Ltd Property Agency to assist you.

An example of the Park Homes Scotland Ltd Property Agency Schedule of Particulars is available on request from 01506 530344 or by email at info@parkhomesscotland.com.

If you decide to employ either an estate agent or solicitor or Park Homes Scotland Ltd, you have the right to invite your agent to the park to survey, value and market the property, to advertise it, to erect sales notices on your pitch and on your home, and of course potential buyers can visit without interference from the site owner.  Ask viewers to park in designated areas however, to avoid giving offence to neighbours or better still park your car in the visitor’s area and leave your driveway free for your viewer. That creates a great impression – they can see themselves in the home already!

Park Homes Scotland Ltd will undertake to manage the sales process for you from advertising to moving - and all the bits in between. 

More details by calling 01506 530344

Stage 3 Dealing with potential buyers

Let’s hope you have lots of viewers and some potential buyers.

In Scotland, when selling a bricks and mortar property you will require to have a Home Report available for potential buyers; this will include information about your property and a professional survey of the property with a valuation - all of which is a legal requirement.

The situation when selling a park home is different – no Home Report is required nor is a survey but a buyer is likely to have just sold a bricks and mortar home where they have had to pay to have these reports prepared and available for their buyers.  Is it not likely that they will want the same information from you? 

At Park Homes Scotland Ltd, we are increasingly seeing a demand from potential buyers for this level of information on park homes for sale.  To meet this demand, Park Homes Scotland Ltd has developed the ONLY Park Home Property Report in the UK.  The Park Home Property Report incorporates a Park Home Information Schedule and Park Home Property Survey Report and is based exactly on the Scottish Governments Home Report forms but adapted to be relevant to park homes.  No other Property agency can provide you with this exclusive service which will go a long way to satisfying potential buyers of the condition of your home but also fulfil your obligations to a buyer under contract law. 

Call us on 01506 530344

 

Stage 4 Completing the Sale of your Park Home

You now have an offer to buy your home, so what next?

Take it a stage at a time; agree a price with your buyer but establish what that price will cover.  Does the price include say, a garden shed?  Is the buyer buying all or some of your furniture, are the carpets and curtains included?  This is important because you will require to pay the site owner a percentage of the price you obtain for the home, but not anything else.  If you are selling the home bare, unfurnished and with no extras for say, £100,000 then you will likely be due to pay the site owner (up to) £10,000 depending on the terms of your written agreement.  If that £100,000 includes the garden hut, carpets furniture, etc. worth £2000 then you are selling the home for £98,000 and will be due to pay commission of £9800.

When a price is agreed and an entry date decided, have the buyer or their agent write to you or your agent, confirming the offer details in writing.  Now the countdown starts.

 

Stage 5 Assigning your Written Agreement to the Buyer

When you receive the written offer, the next step is to check timescales.  Scottish regulations require that at least 28 days before the date of entry, you  provide the buyer with:

  • A copy of your Written Agreement
  • A copy of the Park Rules
  • A forwarding address for yourself

(The 28 day timescale can be shorter if the buyer agrees to a shorter time but that agreement must be in writing!)

Make sure that your buyer meets the park rules in respect of age, pets etc. prior to agreeing a sale.  This is your responsibility and the sale can be voided if you do not do so.

Whilst there is no need for you to inform the site owner of the impending sale and assignment, courtesy suggests that it might be well to do so in advance of the settlement date so that you are clear what the site owners procedures are for receiving the commission payment.  This will probably involve obtaining the site owner’s bank details to allow electronic transfer of funds on Settlement Day.  It is also courteous to let the site owner have the name of the buyer but this is not a requirement at this stage.

Your written agreement might already have an assignment form attached but this is likely to be out of date. 

An updated version of an acceptable form is available from Park Homes Scotland Ltd Property Agency when you use our park home transfer service.

 

Stage 6 Handing over the Property

It is hand over day and the removers are on the way.

Before the assignment can complete and the buyer move in, the park owner must have received his commission payment.  It has become customary for settlements of property transactions to take place almost simultaneously - your buyer receives funds for the property they are selling, they pay you and you then pay the site owner so it is likely all of this will be done by electronic bank transfer over a period of a few hours.  It is your responsibility to pay the commission – not the buyer’s responsibility (as in England) and you would be in breach of contract to both the buyer and the site owner if the commission is not paid timeously.

The site owner or his representative does not require to see or to sign the assignment form but the sale cannot go through until the commission payment has been received by the site owner.  You should give careful thought to the time scales because the law states that “Neither the sale nor the assignation are to have any effect until the owner has received the commission.”

To facilitate the process Park Homes Scotland Ltd Property Agency have produced a ‘Notice of Assignment’ form for notification of the assignment to the park owner.

Make sure you hand over the original Written Agreement to the new owner.

 

SUMMARY

So to summarise.....

Prepare your property for sale with a condition report from

Consider having a Park Home Property Schedule of Particulars showcasing your home - available exclusively from Park Homes Scotland Ltd

Market your home privately or through an agent or through Park Homes Scotland Ltd Property Agency

Have available (for potential purchasers) a Park Home Property Report comprising a home information schedule, a park home survey and valuation  -available exclusively from Park Homes Scotland Ltd.  (To avoid excessive cost, be aware if you use an estate agent or solicitor, that they do not treat your home as a bricks and mortar bungalow with the attendant requirements for home reports and surveys - in our experience this happens regularly.)

Ensure that you have your Written Agreement papers ready, in advance, to hand to a buyer.

Negotiate the sale of your home, agreeing a price for the home and any extras you will be including.

Ensue that you hand a copy of your Written Agreement, the park rules and your forwarding address to the buyer 28 days in advance of Settlement Day.Make sure that your buyer meets the park rules in respect of age, pets etc. prior to agreeing a sale.This is your responsibility and the sale can be voided if you do not do so.

Find out in advance, from the park owner the procedure for paying over the commission payment and for their accepting the assignment notice e.g. where should you send the notice.

Complete the assignment form with the buyer and complete the notice of assignment form. The buyer should give the site owner the notice of assignment and will probably also need to provide bank details to the site owner for rent payments, depending on local arrangements.

Pay the Site owner’s commission prior to final handover of the home. The transaction cannot complete until the site owner has received this payment. No other payment such as rent guarantee payments or such like can be demanded from you or the buyer.(The site owner is specifically prohibited by law from requesting any payment other than commission.) Hand the original Written Agreement over to the new owner and the process is complete!


The Management of Park Homes Scotland Ltd has been involved since 2008 in working with the Scottish Government in producing the legislation covering park homes sales and operations in Scotland and are uniquely placed in Scotland to provide you with the expertise to help YOU market your property in this new environment which it is hoped will increase the demand for park homes in Scotland.
Let us assist you now with a range of products:

  • Home inspection and condition reports,
  • Sales and purchase advice,
  • Online advertising, - Free starter online advertising offer*
  • Professional ‘written agreement’ transfer package and much else to help you

*Advertise your home on this website for a minimum of three months completely    

FREE OF CHARGE.


To take advantage of this special offer all you need to do is email details and pictures of your park and your property together with your name, address, phone number and email address to info@parkhomesscotland.com We suggest you use the current ads here as your guide to the detail to send us.  Please note we may check with you before publication to verify your details.


WE RESERVE THE RIGHT TO EDIT ALL TEXT AND CHOOSE OR LIMIT THE NUMBER OF PICTURES FOR PUBLICATION ONLINE.


FOR FURTHER DETAILS OF THE SALES PACKAGES OR OTHER ASSISTANCE CALL US ON             01501 228687

 

 

PARK HOMES SCOTLAND Ltd 

 UNIT 7, 4 MAIN STREET STONEYBURN, WEST LOTHIAN, SCOTLAND EH47 8BA

Tel: 01501 228687  Email:info@parkhomesscotland.com