depreciation of travel trailer

[flasteve]

How much does a new travel trailer depreciate after one year. We are going to make an offer on one and want to be fair to the seller. He said he paid $22.000 I do not know if that is with tax. for it a year and half ago. He said he used it only about 5 times. It is not that great Made of ALUM. outside not fiberglass. but it looks good. Any help would be great.

[Jayco-noslide]

Re: the post that states that trailers depreciate so much less than motorhomes, that may be just because they cost so much less. The percentage of loss may be similar?

[JJBIRISH]

If you are starting with the MSRP an RV depreciation is 30% driving it off the lot and another 10%at the end of the first year… and 6% for each year beyond…

but everyone knows no one pays MSRP for a new coach, they are normally discounted in the 20 to 30% range…
So using the purchase price here is the depreciation schedule I use, the curve seems to work on all types of RV’s… so a unit would be worth about half its new value at the beginning of its 6 year and the beginning of its 3 year as a best time to buy from a depreciating standpoint only and assuming it was taken care of reasonably well and everything still works…


1 - 18%
2 - 10%
3 - 7%
4 - 6%
5 - 6%
6 - 5%
7 - 5%
8 - 4%
9 - 4%
10 - 3%
11 - 3%
12 - 2%
13 - 2%

[Slownsy]

Flasteve it is nice to hear that som people also consider others,and you are right in saying to pay a fair prize but also do not be taken advantage off.

[Pool]

I purchased our 2009 after falling on it from GL. They just wanted out of the payments. After reading 158 pages for the bullet trailer I had my nose in every corner inside and out. (Needed tires)Owner must have thought I was crazy. Couldn't find an issue at all. So far I can still sell it and pocket $2000.

[clubhouse]

For $18k dealers would line up to sell you a new 2013 KZ Sportsman 2303s. A quick web search showed new advertised 2303s in the $15-$16k range, MSRP ~$21k. Consistent with the MSRP less 30% guideline.

Personally I would want new. If RV direct is close enough that you wouldn't mind towing there for any warranty service that is what I would do. If its too far, the cut the best deal possible locally and punt on the KZ.

[bmupton]

Never, EVER consider an RV dealership's "feelings". Hell, don't even consider a private seller's feelings.

If you can get it for $4000 cheaper over there, the RV dealer isn't going to be hurt that you asked for a deal. Either they'll make a little bit of money off you, or none at all, and it all boils down to how much both sides are willing to move.

Is the pain in the ass of driving a few miles instead of buying local worth $4000? $3000? $1500?

Also, sometimes the best price isn't the important factor. I like to consider after-sales support a very important part of the deal. I was recently burned by a used car dealership (Seriously?! You believe that?! NO WAY! Right?) but the deal on the vehicle was my deciding factor there because we needed something quick and in a certain price range. In my experience, the local guy is usually a better bet than a guy across the province (or state in your case) or country.

[flasteve]

Here's the dilemma...We really want a Forest River Rockwood 2502S which we got a quote from RV Direct for pick-up in Orlando for approx $17,000, or there's a dealer in Ft. Pierce, closer to our home, but they want $21,000! It has fiberglass ext walls and a more current look than the KZ Sportsman 2303S? The KZ is a stick-and-tin model and its approx the same price as the Rockwood (we think we like Rockwood better; change our minds every day). Anyway, the used one that we've been talking about is right down the street but the guy's asking $18,000. which is more than a new one costs!
At this point, we're so confused and need help. Should we get the Rockwood from RV direct or from the local dealer, or the KZ from the guy that is dreaming and wants to recoup every single penny that he has into the unit? Is it ok to tell the local dealer that we'd like to do business with him but RV direct is offering us the same trailer for $4,000. less; can he match that? Thank you all for your input; its valuable information and fun to read. We can't wait to make our decision and finally hit the road!

[flasteve]

The trailer DW ang I are looking at is a 2012 KZ sportsmen 2303s with a power awning and power toung jack and power stabilizers. It is a "stick and Tin" seems to be in good shape. Oh also has a WDH anti sway do not know which kind. Thak you all for your input. Also I do care about the seller and do not want to hurt him,

[eddie3260]

Need to let us know the year/brand/model/asking price of what you are buying. I'm sure someone can give you a more definitive answer on what it's worth with that info posted. Regardless, what the original owner paid should have no bearing on what it's worth.

[2012Coleman]

Jetta03 wrote:
Why in the world would you want to be fair to the seller? You have no reason to trust that he paid 22k, or that he's not hiding damage to the unit. Used has no warranty and I can guarantee he is more interested in getting top dollar for his sale than in being fair himself.

Price wise I'd take a good look at the local classifieds, craiglist, etc. to arrive at a ballpark price. Then if the trailer checks out after a good inspection, make a low-ball offer for a few thousand less than you think is 'fair' and see where you land. There are so many low hours used trailers for sale out there you really are in the drivers seat.

I'd have to agree to this. This is the second time in a week I've read a post where someone wants to be fair to the seller. X2 to everythig Jetta03 said - X3 even...

[thomasmnile]

skipnchar wrote:
Check NADA prices on the same model, one year apart and use that for a guide. Keep in mind several things though. NADA is based on MSRP when new and NOBODY pays MSRP for a new trailer. ALSO when looking at USED models it's current condition is extremely important so be sure to take that into account.

X2. While some suggest checking RV Trader and Craigslist to get a sense of the price, the problem with that is it reveals nothing about what a listed RV SOLD for. Doesn't really matter if it was used 5 times or 500, it's still X # of model years old. Check with a local dealer that sells the brand and give him the make, model, and specs, and see if they can give you a used retail figure on it in addition to the NADA "book", realizing in the end it's only worth what YOU are willing to pay for it.

[APT]

Ignore what he paid. That is not relevant. Find out what you could buy the same one new for, then consider how much less you would be willing to pay provided its condition.

[clubhouse]

jerem0621 wrote:
about 15% year one, 35% year two..then it will drop off to about 11-15% per year thereafter... After 5 years the value of your trailer will be entierly dependent on condition regardless of what NADA says. ... given enough time the trailer will be worth about $3500.00-7,500.00 in excellent shape retail.

Thanks!

I agree, however the OP needs to know those percentages are based off the TT typical purchase price. Remember nobody pays MSRP. Most buyers goal is 30% off MSRP, although I'd say most get closer to 25% off MSRP. So start with that...

New MSRP = $25k
Typical retail = $18k
For excellent condition, no repairs/leaks, bright paint etc...IMO fair private party = 1year old $15k, 2 yr old $12k, 3yr $10k.

[jerem0621]

about 15% year one, 35% year two..then it will drop off to about 11-15% per year thereafter... After 5 years the value of your trailer will be entierly dependent on condition regardless of what NADA says. ... given enough time the trailer will be worth about $3500.00-7,500.00 in excellent shape retail.

Thanks!