Finance

Finance

Buying your first motorhome or caravan is an exciting event, and one that involves a lot of decisions. As anyone who has ever been through the process will attest to, it can be a little overwhelming once you start to think about all the options available to you.  Here are a few simple pointers to get you started…

Do your research

The average RV buyer spends around nine months researching before they make a purchase. That may seem like a long time, but once you start looking, you’ll soon realise just how much there is to consider before making that big purchase. One of the first things to ask yourself is how you will use your motorhome. Think about how often you’ll travel, where to, and whether you’ll spend more time in campgrounds or freedom camping. This will help you set expectations around what you need in your RV. From there, you can start doing researching in magazines, online, by talking to other RV owners, and by visiting RV shows.

Choose a reputable dealer

Buying privately can be a good option if you’ve done a lot of research and have had the motorhome or caravan checked over properly. However, buying through a trusted, reputable dealer gives you the peace of mind in knowing that if something goes wrong or you need help further down the track, your dealer will have your back. You’ll also have the benefit of warranties and servicing options.

Set your budget

It’s a good idea to have set budget, but with some flexibility. Motorhomes and caravans vary in price just as cars do, and pricing is set on a number of variables including the vehicle’s age, condition, make and model, size, and accessories. You may be able to pick up an older second-hand RV or ex-rental for around $50,000, while brand new, late-model vehicles may cost $140,000 or more.  Sometimes, a few extra thousand can mean the difference between a motorhome that you’re happy with for now, or an RV that you’ll be in love with for years to come, and that may be worth the extra cost.

Consider a finance broker

The purchase of a caravan or motorhome is a considerable financial commitment. If you’re planning to use finance, a broker can be very helpful. Finance brokers have access to several lenders in the marketplace and will browse around for the best rate to help you get into your new motorhome.

Motorhome & Caravan finance is typically secured by the vehicle over a term of up to 5 years and many different financial positions and circumstances can be catered for - here are just some examples of how finance can help get you on the road sooner:

  • The motorhome/caravan you want to buy needs to be purchased now, but you won’t have the money for another 3, 6, or even 12 months (e.g. in the case of needing to sell a property but not being ready to do so for a while).
  • You have what you thought would be enough to purchase a vehicle that suits your requirements but have decided that a small top up is needed.
  • You own a home with equity to borrow against, but wish to save this for emergency use.
  • Or, you have saved a small deposit and need to borrow the majority of the purchase.

Looking for insurance advice? Click here.

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