RVs are great for camping, road trips, and exploring new places. There are several types of options and you can easily rent an RV for camping or travel whenever you want. If you’re thinking about using an RV regularly or even seasonally, the thought of buying one may have crossed your mind. So how much money do you need to buy an RV?
Buying an RV is usually not cheap. It’s a big investment that should be carefully thought out and planned for. However, if you’re looking for a good idea of what you can expect to spend, be sure to keep reading.
How Much Does it Cost to Buy an RV?
The average cost of an RV is currently between $10,000 and $400,000. That’s a huge range! This is because there are so many types of RVs to choose from. If you’re looking for a basic, used travel trailer, you can probably find something for $5,000 to $15,000.
However, if you want a brand-new drivable RV that has all the newest bells and whistles, you can pay almost as much as a house. There’s this show on TV that showcases these luxury RVs that seem to cost a fortune. The owners of the RV seem very passionate about travel and put a lot of their hard-earned money into buying and creating their dream RV.
However, if this is your first RV purchase, you probably want to start small. Here are some key things to consider if you’re looking to buy an RV and plan out some savings for this purchase.
1. Types of RVs
The type of RV you want to buy will ultimately impact the price. There are five types of RVs: Class A, Class B, Class C, travel trailers, and fifth wheels.
- Class A – These are large and luxurious RVs that resemble a bus. These can start at $100,000 and go up to $1 million or more.
- Class B – Also known as camper vans, these are smaller and more affordable compared to Class A RVs. These can range from $50,000 to $150,000.
- Class C – Mid-range RVs that have a bed over the cab and can start at $50,000 and go up to $200,000 or more.
- Travel Trailers – These are towable RVs that can range in price from $10,000 to $100,000.
- Fifth Wheels – These are also towable RVs that are larger than travel trailers and can range from $30,000 to $200,000 or more.
2. New vs Used RVs
Buying a new RV can be more expensive compared to buying a used RV. New RVs also have a higher depreciation value, which means you will lose more money if you decide to sell them in the future.
On the other hand, buying a used RV can be more affordable, but you might have to spend more money on repairs and maintenance. Some people even take on fixer-upper RVs that need a lot of remodeling work done. It’s important to run the numbers and estimate the cost of the work and new materials if you’re considering this. If it costs more money to get the RV back up standard than it would to buy a more expensive used one, you may want to avoid this project altogether.
3. Additional Costs
In addition to the price of the RV, there are some additional costs you need to consider, such as insurance, registration fees, and maintenance. It’s also important to think about where you will store your RV when it’s not in use.
Storage fees can range from $50 to $300 per month depending on the location and amenities. Storage fees is something that can really hold some people up if they don’t have a place to keep their RV. Start shopping around and comparing quotes for storage options now so you can add this to your budget.
4. Financing an RV
If you don’t have enough cash to buy an RV outright, you can consider financing an RV. The interest rates for RV loans can vary, but you can expect to pay around 4-7% interest depending on your credit score and the loan term. It’s important to shop around for the best interest rates and consider how much you can afford to pay back each month.
Before you consider financing an RV, check your credit to make sure you have a good or excellent score. Generally, anything above 700 is considered a good credit score. This will help you not only get approved for the loan but also get a lower, more competitive interest rate. Also, you should set aside money in advance so you can make a down payment which can also help improve your loan terms.
5. Tips for Buying an RV
When buying an RV, it’s important to keep these tips in mind.
- Consider your needs and budget. Don’t get caught up in the bells and whistles of an RV that is outside of your budget. If it’s your first purchase, be sure to start small and know you can always upgrade in the future.
- Rent out an RV first. Start by renting out an RV for a weekend or a few days to see how it works and how you like traveling in one. This can help you get more familiar with the vehicle so you’ll know what you’re looking for in your own RV.
- Do your research and test drive different RVs before making a decision. Research different brands, talk to experts, and even watch detailed YouTube videos if you’d like. If you’re going to buy from a dealer, try to walk a few lots first without buying anything so you can take your time with your decision. You should also inspect the RV thoroughly before buying to ensure everything is working. See if you can bring a third-party expert in to help you inspect the RV before purchasing it as well.
- Get trained on how to use it. Whether you’re buying from a private owner or from a dealer, be sure to ask for a full walkthrough on how to use and set up the RV. Make sure you record the process as well so you can review it later when you’re alone. Ask questions and take your time so you truly understand how everything works and what’s included in your purchase.
Summary: Buy an RV When You’re Financially Ready
Unless you’re going to do a ton of work on the vehicle, buying an RV won’t be cheap. It’s an investment that you want to prepare for financially. This could involve paying down some existing debt, improving your credit, and boosting your savings. Take the time to also research different options and test out various RVs to see what works best for your needs.
Owning an RV can be a rewarding experience that allows you to build priceless memories with your family.