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A folding caravan is the better option of the two. Its lighter to tow, and cost less in fuel. Also no need for winter storage, it can be stored on the drive or in the garage.
I've just bought one and its a dream to tow and set up, and the same facilities as a normal caravan, just better.. in my opinion.
They are out there if you are prepared to bide your time and, at the price range you are looking at, you can expect to have to do a bit of diy, but this will be the same with a normal caravan of the same value too.
------------- AndyP
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