An Englishman may consider his home his stronghold – but when on vacation, it might just be a caravan or camper. In the UK, around one million people own caravans, with 550,000 being tourists’ caravans and the rest being static caravans set on sites. Additionally, 300,000 Brits own either a camper van or a motorhome.

The main attraction is the affordability, as caravans are seen as providing great value for budget-friendly travels. They offer comfort and flexibility, while also being regarded as a wise investment for a second home. However, The Mail on Sunday has revealed that there are numerous hidden costs that could make traveling abroad a more economical choice.

Pitfalls of a static caravan

Owning a static caravan allows people to have a vacation spot without the hefty price tag of a second home. A brand-new purchase usually starts at £30,000 for a basic 12ft by 30ft two-bedroom model with kitchen and bathroom facilities, while luxury 14ft by 40ft models can cost around £60,000.

However, selling a static caravan can be tricky, as the site operator often has the first right of refusal, commonly offering a significantly reduced price. Saddat Abid, the chief executive of Property Saviour, explains: ‘We see people distressed after investing their savings into a caravan, only to receive a minimal offer from the site operator, like £10,000 for a caravan bought five years ago for £40,000.

‘It’s critical to hire a solicitor to review any contract with a site provider for hidden clauses. Even if you sell independently, you might end up paying up to 20 percent of the sale price to the site owner as stipulated in the agreement.’

For potential buyers, park operators Holgates and Away Resorts recommend brands such as Willerby, ABI, and Swift Group. A 36ft two-bedroom Willerby Eminence is priced at around £35,000, while a 40ft three-bedroom ABI Beverley costs about £55,000. Financing a static caravan isn’t possible through a traditional mortgage, but loans are available. According to Moneyfacts Compare, a £30,000 loan over five years with a provider like Novuna Personal Finance could have monthly payments of £616 at an 8.9 percent APR.

Hidden costs of a static home

Budget for an annual pitch fee from £4,500 up to £10,000 for a caravan site offered by providers such as Haven.

Sites can charge up to £800 a year to use gas and electricity, says website My Holiday Caravan.

A further £400 may be required for water and sewage disposal. Insurance can cost £300 a year.

Unless it’s your main home, you do not pay council tax. There are also typically £100 annual safety checks for gas and £120 electricity checks every three years.

As with all property, there are maintenance costs. Flooring can deteriorate in caravans after a decade, and replacing wooden floorings costs £5,000. You usually buy a caravan on site but to relocate may cost £3,000.

Abid says: ‘All these fees can soon ramp up – and you could end up spending £10,000 in a year just staying put. You could jet off on a luxury foreign trip for that price.’

Expense of a touring caravan

A touring caravan is usually cheaper than a static home and although typically smaller, provides flexibility on where you holiday.

You can pay £22,000 for a four-berth 18ft caravan, such as a one-ton Xplore XC Lite.

Andy Jenkinson, caravan industry expert, says: ‘These days people are increasingly looking for a lounge on wheels – and want modern luxuries, such as fitted kitchens and central heating.

‘Towing a caravan is easy once you get the hang of it – but lightweight caravans make motoring easier.’

Publication Practical Caravan recommends for small pulls a £17,000 two-berth Capsule Mini R, which is 12ft long and weighs 650 kilogrammes.

At the other end of the scale, a luxury four-birth £52,000 Coachman Lusso III weighs almost two tons and is more than 21ft long.

The Camping and Caravanning Club offers details of more than 2,000 campsites across Britain where you can visit. Membership costs from £53 a year, with sites typically charging £20 to £50 a night, enabling you to use toilets and washing facilities, water and their electricity.

Choose the right vehicle for towing

You probably need a two-litre vehicle for enough power to pull a caravan. Publication Practical Caravan says that vehicle stability is important, and this means large estate cars and SUVs are often the best.

It awards ‘best tow cars’ to the £46,000 2.2-litre Kia Sorento, £40,000 two-litre Skoda Superb Estate and £41,000 two-litre Volkswagen Tiguan.

Jenkinson says: ‘Petrol or diesel cars can be more practical than electric as they are better designed for load pulling.’

Budget £400 to purchase a towbar and get it fitted, according to car shop Halfords.

Buy a towing mirror and ensure that number plates and lights are also put on its rear.

Fuel efficiency drops when towing a caravan. It can add ten miles per gallon (mpg) to a fuel bill, so a 40mpg car might do 30mpg towing a caravan. The RAC says the average price of unleaded petrol is currently 135p a litre – £6.14 a gallon. A 200-mile trip might cost about £10 more in extra fuel pulling a caravan.

Tourer caravan insurance on top of standard car cover can add £100 a year to premiums. You must tell your insurer about modifications, such as using a tow bar.

Camper vans that cost more

A camper van tends to be more compact, with the engine and driving cabin taking up much of the room. Although it can be easier to drive, the cabin squeezes the available space in the back.

Andy Jenkinson says: ‘The romance of holidaying in a camper can evaporate when you find the freedom of the open road is not what you imagined.

‘You cannot just park where you want and must be wary of break-ins if you leave a vehicle unattended.’

It is illegal to sleep overnight in lay-bys in Britain, and it can land you with a £200 police fine.

Publication What Car? recommends the £74,000 Mercedes V-Class Marco Polo and the £62,000 Volkswagen California.

Practical Motorhome suggests the £79,000 Benimar Tessoro 840 and £156,000 Le Voyageur GJF Heritage.

But large motorhomes, such as the 25ft Heritage, require a ‘C1’ driving licence. Those who passed their test before 1997 should be covered, but others must pass a new separate test, that can cost at least £115.

As with caravans, second-hand motors can provide a great way to save money on a new purchase – and it can be a good idea to try before you buy.

Online marketplaces such as Camplify, Yescapa and Goboony offer opportunities to hire from a typical £80 a day.

Expense of renting out

You can rent out your caravan for £500 or more a week via websites such as Camplify, Airbnb, UK Caravans 4 Hire or Rent My Caravan.

For static caravans, you may be forced to rent out through the site owner, who could demand up to 30 pc of your earnings. You must also clean the caravan before every visitor, which can cost £100.

How does it compare?

Caravan holidays are not always cheaper than other self-catering holidays. For example, you can currently fly to Seville in Spain for £185 return from Stansted in August and pay £300 for a one-bedroom apartment that sleeps up to four via Airbnb, making a total price for a couple of £660.

If they hired a VW camper van through Goboony for £81 a night, it would be £567 for the week. Although cheaper, it does not include cost of travel. Driving to Seville and back from London is 2,600 miles.

Even ignoring the cost of camp sites, if you manage 30mpg, at British fuel prices this is almost £400 on petrol and a return trip across the Channel on LeShuttle could cost a further £400.