Did I make a mistake in Financing? How long do you finance?

[yankeeslover]

oh boy....stupid me.... purchased my camper last summer... 2014 primetime rv... first camper ever... I didn't know any better... none of my family members nor friend camp or own campers so this was my wife and I sole decision...anyways, stupid me, not knowning any better financed this camper for 12 years... I didn't know any better.. spoke to my credit union for the financing and they told me most people finance these for 12-15 years..
I admit, I should have researched more, but I didn't... has anyone else made a big boo-boo like this? and no, I cant afford to double up on my monthly payments right now to pay off sooner... do these campers with proper care, generally last this long? I don't want a camper breaking down in two years with ten more years of payments...how bad are they to trade in? do they depreciate just like a car?
I know its all too late now and we cant change this, but im just wondering if anyone else has ever made a boo-boo like this and financed the camper this long? or am I the only poor sole...LOL

[_tiredTeacher]

yankeeslover wrote:
...Do these campers with proper care, generally last this long?

Yes, so you can stop worrying. Read your manual for care and maintenance of your roof and siding. The roof is the key to longevity. Not all trailers are the same so don't take all the advice you'll get from other trailer owners as gospel.
Water is your enemy whether it comes from the outside - cracked caulking, tree damage, etc. or from the inside - plumbing problems.
Proper maintenace (per manufacturer's instruction, not Uncle Bob's) and periodic inspections will keep that unit in your family for as log as you want.
One word of caution: You may not be putting a lot of road miles on the trailer but lubricants break down over time. Rely on the manufacturer's time table for bearing maintenance, not miles.

Have fun and rest easy,
Teach

[nevadanick]

Dont forget the second home interest deduction.

[WyoTraveler]

Make a monthly payment then make a principle payment. Don't ever make a double payment. Loan companies love double payments. Most of them won't tell you that you can make a principle only payment. Many loan companies require a separate check for that extra amount.

[Sandia_Man]

I'm sure you're not the only one with a 12 year loan and some go the 15 year route. If you can squeeze an extra payment or even a few dollars more each month it will reduce the overall length on your loan a bit. RVs depreciate at a higher rate as compared to automobiles and generally it's difficult to recoup these large losses. If you enjoy the RV lifestyle it is easier to digest such a dramatic drop in value, either way it's a losing proposition as it pertains to return of investment.

Properly maintained an RV can last well beyond it's financial obligations to the bank, and since you primarily use it for seasonal camping there is significantly less wear and tear to boot. We've had our current rig for 6+ years and have been all over this great country and thus far it is holding up well.

Newcomers to this recreational endeavor would be better served to purchase a used unit or a smaller new rig and see if this pastime is indeed their cup of tea, thereby reducing the chance and/or degree of buyer's remorse. After all these years we still love RVing and have discovered many ways to use our rig other than camping in nature.

[beemerphile1]

bid_time wrote:

JesLookin wrote:
Financing for 12 years is OK. Figure out what the payments would be to pay it off in 6, 8, 10 years & make those payments and pay it off early. OR - Our local credit union has loan sales a couple times a year where you can refinance your camper at a lower rate.

Why do you suggest with no information to pay it off early? I financed mine for 12 years at 5.55%. Over those same 11 years now, my investments earned 8.08%. One size fits all advice don't work.

Maybe because the OP is obviously stressing over the twelve year payback period. The OP asked for opinions.

[beemerphile1]

yankeeslover wrote:
...spoke to my credit union for the financing and they told me most people finance these for 12-15 years...

I pay cash but i don't understand your concerns. If you want to pay it off early just make extra payments. Making double payments would probably pay it off somewhere around five years.

Some people like being in debt, others don't.

[bid_time]

JesLookin wrote:
Financing for 12 years is OK. Figure out what the payments would be to pay it off in 6, 8, 10 years & make those payments and pay it off early. OR - Our local credit union has loan sales a couple times a year where you can refinance your camper at a lower rate.

Why do you suggest with no information to pay it off early? I financed mine for 12 years at 5.55%. Over those same 11 years now, my investments earned 8.08%. One size fits all advice don't work.

[dadmomh]

Ours is also 12 years. A couple of movie nights and dinner out...the kind served on a plate, not in a box...would equal or exceed our payment. We deduct the interest on our taxes, so that's a plus. Camping is our peace and relaxation. Our yearly trip to FL with DS#1 would be/WAS a few years ago, more than twice what we spend now. Where can you find a hotel you'd even consider for $40 a night?? Weighing all facts,we're fine with our financing. And we're getting a better return on our investments than our interest rate in our TT.

For sure you'll hear that if you can't pay cash for your toys you shouldn't have them....not everyone has that choice or makes that decision. Don't spend time fretting over your choice...spend that time planning some trips you'll remember forever. Enjoy!

[bid_time]

I financed mine for 12 years. I am now almost through year 11 and have no plans, in the next 6 years at least, to get rid of my TT.

[JesLookin]

Financing for 12 years is OK. Figure out what the payments would be to pay it off in 6, 8, 10 years & make those payments and pay it off early. OR - Our local credit union has loan sales a couple times a year where you can refinance your camper at a lower rate.

[DukeAJuke]

yankeeslover wrote:
oh boy....stupid me.... purchased my camper last summer... 2014 primetime rv... first camper ever... I didn't know any better... none of my family members nor friend camp or own campers so this was my wife and I sole decision...anyways, stupid me, not knowning any better financed this camper for 12 years... I didn't know any better.. spoke to my credit union for the financing and they told me most people finance these for 12-15 years..
I admit, I should have researched more, but I didn't... has anyone else made a big boo-boo like this? and no, I cant afford to double up on my monthly payments right now to pay off sooner... do these campers with proper care, generally last this long? I don't want a camper breaking down in two years with ten more years of payments...how bad are they to trade in? do they depreciate just like a car?
I know its all too late now and we cant change this, but im just wondering if anyone else has ever made a boo-boo like this and financed the camper this long? or am I the only poor sole...LOL

I just financed mine for 8 years, but 12 years is fine too so you did not make a mistake. The key is to make that extra payment or two every year (I know you said you couldn't, but I would find a way to make it happen). With good care it will last 12 years easy. Just know that you will need to replace some stuff here and there over that time (tires, possibly bearings, possibly the awning fabric, and some minor roof repair).

[yankeeslover]

oh, btw, im seasonal at a seasonal campground.. I only pull the camper twice per year, in the spring to the campground and in the fall back to the rv dealer for storage...so that should cut down on road wear and tear...