Renting out an RV for profit?
Hi there, I'm sure this is a stupid question, but I just have to ask it anyway. Can you realistically make any money renting out an RV on on RVshare? I do not own an RV, but some websites are suggesti...
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Here's my long winded story of first hand experience.
In the '90s we rented PUPs for about 4 years from a local guy that owned the units he rented. He was a one man show with 5 or 6 identical units. One day I called and the phone was disconnected so I drove by his lot to find it empty.
I found a company that rented hard sides of different brands and sizes so we started renting from him. After doing business with him for a few years we returned with a Rockwood and commented what a nice unit it was. He replied that it's the lot favorite and the owner is going to make a good profit on it. I thought he owned them so I asked how his business worked. Within a few weeks of him explaining his business model we had a 2000 Sportsman on his lot.
The model was we own the unit and pay the loan, insurance, tires and battery. Insurance was $100/mo paid to him. He rented, cleaned, stored and maintained the unit. His maintenance was caulk and bearings as needed. We split the rental proceeds 50/50. I received $150 for a weekend and $400 for a week rental, paid to me monthly. He held the renters credit card # to cover any damages, and there were damages but it was all repaired by him paid by the renter.
The profit comes in the back end. We used every penny of rental proceeds to pay our expenses, targeting paying off the loan in 4 years. At that time we could sell the unit for about $5k or keep renting it. That would be our profit. We decided to keep the camper at our property for another 4 years before we sold it for $4K.
So, in the end we owned and used a camper for 8 years that cost us nothing but paperwork and made $4k on it.
After 4 years of rental the dinette seat cushions and mattress were worn out. The flooring, panels and acrylic sinks had some scuffing. A kid marked a wall with a red crayon. But other than that it was still in usable, sell-able condition. The exterior still looked new.
Would I do it again? No. It's not worth the gamble to me. I worried for 4 years if I would ever see a penny out of this venture. The depreciation on the unit makes it an even higher risk. Too many things can go wrong that would deem your unit unsellable. Furthermore, that company moved to CO for a better business location and change of lifestyle for his family so I would have to find a similar business I would trust. I liked and trusted this guy. Too many stars would have to line up before I would consider doing it again.
In the '90s we rented PUPs for about 4 years from a local guy that owned the units he rented. He was a one man show with 5 or 6 identical units. One day I called and the phone was disconnected so I drove by his lot to find it empty.
I found a company that rented hard sides of different brands and sizes so we started renting from him. After doing business with him for a few years we returned with a Rockwood and commented what a nice unit it was. He replied that it's the lot favorite and the owner is going to make a good profit on it. I thought he owned them so I asked how his business worked. Within a few weeks of him explaining his business model we had a 2000 Sportsman on his lot.
The model was we own the unit and pay the loan, insurance, tires and battery. Insurance was $100/mo paid to him. He rented, cleaned, stored and maintained the unit. His maintenance was caulk and bearings as needed. We split the rental proceeds 50/50. I received $150 for a weekend and $400 for a week rental, paid to me monthly. He held the renters credit card # to cover any damages, and there were damages but it was all repaired by him paid by the renter.
The profit comes in the back end. We used every penny of rental proceeds to pay our expenses, targeting paying off the loan in 4 years. At that time we could sell the unit for about $5k or keep renting it. That would be our profit. We decided to keep the camper at our property for another 4 years before we sold it for $4K.
So, in the end we owned and used a camper for 8 years that cost us nothing but paperwork and made $4k on it.
After 4 years of rental the dinette seat cushions and mattress were worn out. The flooring, panels and acrylic sinks had some scuffing. A kid marked a wall with a red crayon. But other than that it was still in usable, sell-able condition. The exterior still looked new.
Would I do it again? No. It's not worth the gamble to me. I worried for 4 years if I would ever see a penny out of this venture. The depreciation on the unit makes it an even higher risk. Too many things can go wrong that would deem your unit unsellable. Furthermore, that company moved to CO for a better business location and change of lifestyle for his family so I would have to find a similar business I would trust. I liked and trusted this guy. Too many stars would have to line up before I would consider doing it again.
