20 year loan for RV?
A friend of mine was telling me that I can get a 20 year loan on most new RVs. Is this true? Now I realize how people afford those Class A RVs.
Forum Discussion
These type of posts always bring out those who try to "school" others on what they should do with their money, and how to "value" an RV. Pretty much anything you buy other than real estate is a "depreciating" asset, yet probably 90% (or more) of cars, trucks, motorcycles, boats, RVs, airplanes, etc. are indeed financed. Whether it's a short term loan, or a long term loan, it's no one's business other than the borrower. What's right for one is NOT right for all. I also laugh when I hear that an RV won't last more than 10 years! Seriously? WTH are you people doing to your RVs?
I'm 58, have been camping my entire life. I'm currently on my 3rd RV. All 3 were purchased used (at least 10 years old), and financed for 10-12 years. The first 2 were used for 15 years (still using the 3rd obviously) making them 25 years old when I sold them, and they were still in perfectly usable condition. That means that I could easily have continued using them for another 5. Were they worth a lot at that point? Of course not. But I don't buy anything for resale value; I buy for my use. If they are worth $0 when I'm done, then AFAIC I figured the cost of that RV perfectly. Anything over that is a bonus. The amount that I spent monthly on those long term loans were simply my monthly cost of recreation, a cost that was worth it to ME.
I'm not rich, although I will certainly be reasonably comfortable when I retire. But I could never have afforded to buy the RV's outright. And in financing them, I have given my 3 kids a lifetime of memories that continue to pay dividends to this day, by creating a love for camping that continues through them and my grandkids.
So let's make a deal. Those of you who can afford to pay cash for their RV (and want to) can continue to do so. Those of us that finance our RV (whether that's for 5 years or 20 years) can continue to do so. And neither group shall badmouth the other, since none of us walk in each other's shoes.
I'm 58, have been camping my entire life. I'm currently on my 3rd RV. All 3 were purchased used (at least 10 years old), and financed for 10-12 years. The first 2 were used for 15 years (still using the 3rd obviously) making them 25 years old when I sold them, and they were still in perfectly usable condition. That means that I could easily have continued using them for another 5. Were they worth a lot at that point? Of course not. But I don't buy anything for resale value; I buy for my use. If they are worth $0 when I'm done, then AFAIC I figured the cost of that RV perfectly. Anything over that is a bonus. The amount that I spent monthly on those long term loans were simply my monthly cost of recreation, a cost that was worth it to ME.
I'm not rich, although I will certainly be reasonably comfortable when I retire. But I could never have afforded to buy the RV's outright. And in financing them, I have given my 3 kids a lifetime of memories that continue to pay dividends to this day, by creating a love for camping that continues through them and my grandkids.
So let's make a deal. Those of you who can afford to pay cash for their RV (and want to) can continue to do so. Those of us that finance our RV (whether that's for 5 years or 20 years) can continue to do so. And neither group shall badmouth the other, since none of us walk in each other's shoes.
