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Letting projections and real returns

Holiday Caravan Rental Income Promises

Did the projected letting income fail to cover the fees and finance as you were led to expect?

Letting can offset some ownership costs, but gross booking income is not the same as the amount an owner receives. Management commission, cleaning, linen, repairs, utilities, insurance conditions and restricted owner-use dates can materially affect the result.

Compare the projection with the actual statements

Locate any sales illustration or handwritten calculation. Then compare it year by year with bookings, gross income, deductions and the net amount paid to you. Record the pitch fee and finance payments separately.

Points that may be relevant

  • Whether a figure was described as guaranteed, likely or merely illustrative
  • Which weeks had to be released to the letting scheme
  • Whether commission and operating deductions were included
  • Whether the park could change tariffs, access or management terms
  • Whether projected income was used to demonstrate affordability

Poor letting performance alone does not prove misrepresentation. The exact promise, its context and the documentation are central.