Cost Comparison:

Renting vs Buying a UK Holiday Park Home

Holiday Park homes in the UK offer a flexible, peaceful getaway, often located near coastlines, countryside, or national parks. But deciding whether to rent or buy a holiday park home involves key financial trade-offs, especially in terms of upfront investment, annual costs, and long-term value. We´ve done a comparison of the typical costs involved in each approach.

1. Upfront Costs

The most obvious difference lies in the initial outlay.

PARK HOME

• Buying a holiday park home typically requires a lump sum investment of anything between £15,000 to £250,000, depending on location, age, and size. Brand-new lodges in premium locations like Cornwall or the Lake District can cost over £200,000. Buyers also incur legal fees, site connection charges, and possibly furnishing costs, which can add another £5,000–£10,000.

RENTING

• Renting is far more accessible upfront. A week-long rental in peak season may cost £600 to £1,200, with off-peak prices as low as £300 per week. Renting a holiday home for 4 weeks per year would total about £2,000–£4,000 annually, with no deposit or legal fees required.

➡️ ADVANTAGE: Renting, for affordability and flexibility

Over 10 years, buyers could spend £50,000–£90,000 just on running costs, in addition to the purchase price.

➡️ ADVANTAGE: Renting, for affordability and flexibility

3. Frequency of Use and Break-Even Point

Whether buying makes sense depends heavily on how often the home is used.

If you holiday 4 weeks a year:

• Renting at £800/week = £3,200/year
• Over 10 years = £32,000

Buying a holiday home at £150,000 + £5,000/year in costs + £5,000/year ground rent (average) = £250,000 over 10 years. This doesn´t include steep increases to ground rent.

Even if the home retains 50% resale value (£75,000), the net cost is around £175,000.

Even if you triple the rental usage to 12 weeks a year, a renter would still only pay £66,000 over 10 years. So, unless you plan to use the home for many months each year, or let it out to offset costs, it may take 15+ years to break even compared to renting.

➡️ ADVANTAGE: Renting, for light or occasional users.
➡️ ADVANTAGE: Buying, for frequent users or those letting it out.

4. Income Potential

• Buying allows for subletting, which many parks permit during off-peak periods. Owners can earn £8,000–£15,000 annually from holiday lets, potentially covering a large portion of site fees and maintenance costs. However, this requires effort (or letting management fees), and income is not guaranteed.
• Renters have no income opportunity, but also no risk, responsibilities, or tax implications.

➡️ ADVANTAGE: Buying, if letting is allowed and managed well.

5. Flexibility and Lifestyle

• Renting provides the ability to explore different parks, regions, and styles each holiday. You're not tied to one location and avoid the burden of upkeep.
• Buying offers a “home away from home,” but it can also tie you to one park. Most holiday park licences are limited to 10–20 years, and you cannot use the home as a permanent residence.

➡️ ADVANTAGE: Renting, for variety and convenience.

➡️ ADVANTAGE: Buying, for comfort, personalisation, and pride of ownership.

Make the right choice, but if you haven´t, you can still do something

Renting a UK holiday park home is ideal for those who value variety, low commitment, and occasional use. It requires no major investment and offers maximum flexibility.

Buying, on the other hand, can make financial sense for those who holiday frequently, enjoy returning to the same spot, or want to earn income through subletting. But it comes with higher costs, huge depreciation, and risk.

Ultimately, the better choice depends on how often you use it, your financial position, and your desire for flexibility versus stability.

Many have already found out (at their own expense) the reality of owning a Holiday Park Home, and lost huge amounts of money to park operators.

If this has happened to you, there may be grounds to claim your money back. Park operators are now being held accountable for unfair contract terms, unfair increases in pitch fees and misrepresentation, amongst other grounds.

If your Holiday Park home reality is not what you were promised, get in touch to see how we may help.

If you're wondering if you could claim compensation from your Holiday Park operator, get in touch with us for a free, no-obligation review of your situation, and we'll see if we can help you.

To speak with one of our friendly advisors, please call our advice line now:

 0149 174 3006 or 0800 102 6788