Buying an on site caravan down the coast?

shadow boxer said :

You can buy a lot of hotel rooms or cabins for $5,000 a year, especially if you have an extra $15,000 to play with.

Invest the $20k and use the $1200 a year to subsidise your family holidays.

You can buy a lot of hotel rooms or cabins for $5,000 a year, especially if you have an extra $15,000 to play with.

Bought an on-site van about 5 years ago for about $15k – walk in – walk out deal – ’bout half an hour south of Bateman’s Bay. There was a notice posted in the main office window, and we went from there. No agent fees, just negotiated with the seller on the cost and inclusions in the van, and then applied to the park for the ‘lease’. Our van has toilet & shower in the annex, so we don’t have to trek to a communal facility. We have our own parking space, as well as an area to leave the boat, so no towing up & down the mountain.
Fees have pretty much doubled – it costs about $5k a year in ‘management’, electricity fees & insurance. This includes our families’ allotment of nights. Some parks give discounts for regular EFT payments or upfront payments.

As everyone else has said, make sure you read the contract. While most parks talk about charging extra-person fees and setting limits on occupancy (100 days etc) some are less policed than others.

Lots of parks have restrictions on plumbing in annexes, so check on that. Tree lopping is something else to enquire about – are trees trimmed regularly?
Something else to think about is insurance – down the coast you’re not covered for flood, so pay attention to the location of your prospective van & ask any ‘permanent’ residents about past floods. Also, some insurance companies refuse to cover vans over 30yrs old, so check the van compliance plate.

I enjoy heading down the coast & knowing everything’s there – no packing the car. We’re disappointed with management, but couldn’t afford a holiday house with private beach, pool etc. There’s also a great little community and much entertainment to be had watching people setting up tents from the comfort of our van’s covered deck!

A friend sold a caravan recently at the coast and were shocked to find out that not only did they have to pay the real estate agent a sales fee which was more than the fee on a house. According to the agent caravans are hard to sell and thus they charge a premium. They also had found out they had to pay the caravan park owner 5% of the sale price.

Consider your options carefully and read the contract in detail.

down the coast not so good……up the coast better….
BUT for the same price you can buy a house out bush…..
I bought a few onsite vans just to rent out….great during the summer not soo good in winter,,,
UP the coast there really is no winter!!!
What you have to do is buy a few of them along the coast…as months change you go check, repair and stay in them and it is all tax dodge…(can we say that?)
So each 3 or 4 months you just move up the coast, staying in your own vans to fix and repair,,,,and it is all one big holiday and all tax deductible….

My parents bought an on-sight caravan at the coast about 8 years ago and due to the quarterly costs it was equivalent to our yearly family holiday.

The novelty was great at first we were down there every second weekend but once it hit winter it definitely wore off.

I think going in halves with another family wouldn’t be a bad idea and work out a schedule as to who gets what weekends and long weekends. Also might get your money’s worth if your kids are old enough to use it every now and then with their friends.

Given the costs involved purchasing a caravan, it may pay you to look at a one or two bedroom cottage or old house ready for demolition ie under $200K. They do appear on Allhomes, Domain and under South Coast real estate on the net generally.

I weighed up purchasing a home down the coast a few years ago and decided it was less expensive staying at the Bays Water Inn every now and then [secure quiet place with beautiful views away from the traffic and people of a night] as opposed to paying rates and rent on a caravan or house. Each to their own tastes, circumstances and finances obviously.

In my very expensive experience, they’re not worth the management fees. And what Davo said; I was allowed 100/365 days at mine. Sold it recently at a massive loss.

Read the rental agreements carefully. Some will have maximum number of days you’re allowed to stay at the park.

I’m not sure it would be worth the trouble and expense. By the time you buy the van (hoping it’s legit and not a dodgy deal like threepaws’ friends) and then pay on-going weekly monthly fees to the caravan park and then overnight fees when you actually stay there, you could be better off just to stay in a hotel.