Homer wrote:
I don't see how anyone can afford to pay debt load (financing cost) on top of the price of the RV. You are under water immediately with absolutely no hope of ever getting on balance. When you sell, the depreciation and loan cost will more than pay for top flight accommodations. Yes I am a RV owner and have been for many many years.
You will have the exact same depreciation cost whether or not you finance it or pay cash. The next buyer doesn't care. As for the financing cost, you must take that financing cost and subtract the opportunity cost of using that money. The opportunity cost is what you can earn by investing that money elsewhere as well as the cost of any additional financing should you ever need the money you would have put into a cash purchase. Maybe that would be cash for an emergency you didn't see coming (you never know when you might need to buy a kidney) or maybe you will miss out on the opportunity to buy into the ground floor of the next Google because your cash is all tied up in a motorhome that is losing thousands of dollars of value a year. There are no absolute right ways to buy anything.
