High level of demand for park homes in South East
THE South East is bucking the trend when it comes to buying park homes.
New research shows that demand fell in the final quarter of last year.
Across England there was a four percentage point drop in demand between the third and fourth quarters of last year – from 22% to 18%.This is calculated by measyuring the number of homes for sale compared to those sold: if there are 100 homes on the market and 10 are SSTC, demand is 10%.
In the South East, there was a decline of two percentage points, from 27% to 25%.
The largest percentage point drop outside of London was in the east of England, where the decline went from 24% to 19%, a drop of five percentage points – in London, it went down 12 percentage points, from 30% to 18%.
The research shows that almost one in five park homes on the market during the fourth quarter were sold – but it was one in four in the South East.
The Park Home Demand Index was compiled by over-50’s property specialists, Quickmove Properties, which says that downsizers have been looking to combat slower market conditions and the continued high cost of living in later life with a park home purchase.
At county level, as many as
42% of all park homes listed for sale across the West Midlands had been snapped up by downsizers.
Hertfordshire was also home to a high level of demand with 40% of all stock already sold subject to contract, with Bedfordshire (36%), Hampshire (32%) and Berkshire (28%) also making the top five.
Sales director at Quickmove Properties, Mark O’Dwyer, said: “Like the rest of the property market, the park home sector is generally susceptible to the Christmas slowdown in market activity, however, we’ve seen a strong surge in demand for park homes across a number of counties towards the back end of 2023.
“This is down to a number of reasons, but speed of sale and the equity released in their existing bricks and mortar home are the two key factors spurring this increase in park home buyer activity.
“While inflation has eased, the cost of living remains substantially high and remains problematic for those in their later years who only have their pension pot to rely on. With the average park homebuyer able to release around £125,000 in bricks and mortar equity, the financial benefits of a park home purchase are clear to see.
“However, one factor that has become increasingly more prominent as the wider market has slowed is the speed and stability of a park home purchase using property part-exchange. Not only are buyers able to complete in two to three weeks instead of 200 plus days on the regular market, but the fear of the dreaded fall through is also removed from the equation.”