Moving to a residential park home represents an exciting new chapter for many over-50s looking for a peaceful community lifestyle. Understanding what it costs to live in a residential park home helps you plan effectively and avoid unexpected financial surprises during your first year. This practical guide breaks down all the expenses you’ll face and shows you how to create a realistic budget that works for your retirement lifestyle.
- The purchase price of a residential park home typically starts from £215,000-£250,000, with additional upfront costs to consider
- Monthly expenses include pitch fees (£193-£246), utilities, council tax (usually band A), and maintenance
- Creating a dedicated park home budget helps you manage these unique expenses effectively
- Energy efficiency improvements can significantly reduce your ongoing costs
- Various financial support options exist for residential park home owners aged over 50
Understanding the upfront costs of park home ownership
When you buy a residential park home, you’ll need to plan for several upfront expenses that differ from traditional house purchasing. The most important cost is the purchase price of the home itself. At Broadway Park, new park homes start from £215,000, while at Leedons Residential Park, prices begin at £250,000.
Unlike traditional property purchases, residential park home buying doesn’t involve stamp duty, mortgage arrangement fees, or solicitor fees (unless you choose to use one). This makes the process more straightforward from a paperwork perspective.
What many new park home residents don’t initially factor in are these important upfront expenses:
- Home purchase price: Ranging from £215,000 for a standard model to £318,000+ for luxury show homes
- Moving costs: Professional movers typically charge £400-£1,200 depending on distance and volume
- Furnishings: Budget £3,000-£10,000 if you’re replacing furniture to fit your new space
- Initial pitch fee: Your first month’s pitch fee (£193.77 at Broadway or £246.58 at Leedons)
The good news is that many costs you might expect are actually included in the sited price of your park home. When you purchase through us, we include:
- Connections to mains services
- A driveway for two cars
- Groundwork including skirting, steps and a path around the home
- A garden shed (6×8)
This helps reduce those initial setup expenses that often catch new homeowners by surprise.
Once you’ve calculated these upfront costs, you’ll need to plan for your ongoing monthly and annual expenses.
Monthly and annual expenses to plan for
Living in a residential park home comes with a different expense structure compared to traditional housing. Understanding these costs helps you create an accurate monthly budget.
The main ongoing expense is your pitch fee (sometimes called a site fee). This is what you pay to keep your home on its plot. Currently, pitch fees are £193.77 per month at Broadway Park and £246.58 per month at Leedons Residential Park. These fees typically increase annually in line with RPI (Retail Price Index).
Other regular expenses to budget for include:
- Council tax: Most park homes fall into band A, making this more affordable than many traditional properties
- Utility bills: Gas (mains natural gas is available at Leedons), electricity, and water
- Home insurance: Specialist park home insurance typically ranges from £200-£400 annually
- Contents insurance: Usually £100-£250 per year depending on value of possessions
- Maintenance fund: Setting aside £30-£50 monthly helps cover future repairs
- TV license and broadband: Standard costs apply as with any home
Seasonal variations in expenses are worth planning for too. Winter months typically see higher energy usage, while summer might bring additional garden maintenance costs. Having a contingency fund for these seasonal fluctuations helps you manage your budget more effectively.
Understanding these ongoing costs allows you to create a realistic monthly budget that reflects the true cost of residential park home living.
How to create a realistic park home budget
Creating a dedicated budget for your park home lifestyle helps you manage expenses effectively and enjoy your new community without financial worry. Here’s a practical approach to building your residential park home budget:
- Track all expenses for the first three months. Keep receipts and note every expense related to your park home to establish a baseline
- Categorize your spending. Divide expenses into fixed costs (pitch fees, council tax), variable costs (utilities, maintenance), and occasional expenses
- Create a monthly allocation. Based on your tracking, assign realistic monthly amounts to each category
- Build in contingencies. Add a 10-15% buffer for unexpected expenses, especially in your first year
A simple but effective budget template might include these categories:
- Housing (pitch fee, council tax)
- Utilities (gas, electric, water)
- Insurance (home and contents)
- Maintenance and repairs
- Community activities and socializing
- Transportation (to local amenities, doctor visits)
- Entertainment and leisure
We recommend prioritizing your essential expenses first (pitch fees, utilities, insurance) before allocating funds to discretionary spending. This ensures you maintain your home security while enjoying the lifestyle benefits of park home living.
Many residents find that digital expense tracking apps help them maintain better control of their park home budget. These tools allow you to:
- Categorize expenses easily
- Set alerts for bill payments
- Visualize where your money is going each month
- Identify potential areas for cost savings
Money-saving tips for new park home residents
Living in a residential park home offers many opportunities to reduce your living costs while maintaining a comfortable lifestyle. These practical tips can help you save money during your first year:
- Improve energy efficiency: Add additional insulation, install programmable thermostats, and use draught excluders to reduce heating costs in winter
- Join community initiatives: Many Leedons and Broadway residents share resources like gardening tools or organize group purchases for discounts
- Use park amenities: Take advantage of the included facilities like the indoor heated swimming pool, outdoor bowling green, and community hall rather than paying for external entertainment
- Plan maintenance strategically: Group small repair jobs together to save on call-out fees and address small issues before they become costly problems
- Shop locally: The nearby shops often offer competitive prices on everyday items, saving you transportation costs to larger towns
Many new park home residents find significant savings by planning their energy usage more carefully. As park homes can be more responsive to heating than traditional brick homes, learning to optimize your heating schedule can substantially reduce bills.
The community aspect of park home living also creates natural opportunities for cost-sharing. Informal lift-sharing arrangements for shopping trips or medical appointments are common among residents and help reduce transportation costs.
Remember that maintaining your park home properly actually saves money in the long run. Regular checks of your roof, insulation, and exterior cladding prevent costly emergency repairs later.
What financial support is available for park home living?
If you’re concerned about managing the costs of residential park home living, several financial support options may be available to you as an over-50s resident:
- Pension Credit: If you’re on a low income, this benefit tops up your state pension
- Council Tax Reduction: You may qualify for a discount if you live alone or are on a limited income
- Winter Fuel Payment: Most residents over state pension age receive this automatic payment to help with heating costs
- Attendance Allowance: Available for those over 65 who need help with personal care due to physical or mental disability
- Housing Benefit: In some circumstances, this may help with pitch fee costs
If you owned a property previously, the equity released from selling your former home often provides a financial cushion for park home living. Many residents find their overall living costs decrease after moving to a park home, freeing up pension income for leisure activities.
For personalized advice about financial support available to you, we recommend speaking with an independent financial advisor who understands the specific aspects of residential park home ownership.
FAQ: Budgeting for residential park home living
Are residential park homes a good investment?
Traditional mortgages aren’t available for residential park homes as you’re buying the home itself rather than the land. However, some specialized finance options exist through dedicated park home finance companies.
How much should I budget for maintenance of a park home?
Site fees typically increase annually in line with inflation (RPI). These increases are regulated by the Mobile Homes Act, which provides certain protections regarding how and when fees can be raised.
Can I sublet my residential park home to offset costs?
No, subletting is strictly forbidden in residential parks. Your park home must be your only or main residence, and rental arrangements aren’t permitted.
