RVs: Should You Buy or Rent One?

Given the enticing mix of freedom and adventure that RVs represent, it’s hardly surprising that many Americans have rediscovered the joys of owning a home away from home in record numbers over recent years. Even if sales have leveled off somewhat since their record highs at the height of the pandemic, interest in owning a motorhome, camper, camper van or travel trailer remains high, as campground bookings and industry projections in 2023 have indicated.

On the other hand, an RV can be a significant expense, which can make renting another attractive option for those who are just beginning to explore the rewards of the RV lifestyle. If you’re on the fence about whether to rent or buy, these considerations can help steer you toward a course of action you won’t regret:

Good reasons to consider buying:

You want to have ready access to transportation and sleeping accommodations for travel and camping.

Essentially, owning an RV means you can pack up and get out of town for a vacation or camping trip whenever your schedule allows. If you’re able to work remotely, you may not even need to take time off to go on a spontaneous road trip, although you may very well appreciate and need the break! The point is, owning an RV makes it much easier to decide to take a trip whenever you feel so compelled, even Saturday afternoon of a three-day weekend. You get to skip right over all the planning and logistics to find and reserve an RV, and you won’t be limited by what’s available, if anything, at the last minute. In addition, if you decide that you want to extend your vacation, you have the flexibility to do so. However, you will want to ensure that space is available at convenient campsites or RV parks. Especially at popular locations, reservations are often essential.

You think abiding by the terms of a rental contract would cramp your style too much.

Renting an RV requires that you agree to the rules of the owner or rental company, which may not always work for you. For instance, you may be restricted by the number of miles you can drive each day without incurring additional charges, or where you’re permitted to take the vehicle. Also, if you want to take pets along, it can sometimes be a challenge to find an owner with a pet-friendly policy.

You know you’ll be considerably more confident and comfortable with an RV you own than with a rental.

Another upside of buying versus renting is that it allows you to customize your RV with the features that are most important to you, and outfit it with whatever furnishings and décor that you see fit. You can also enjoy the convenience of keeping it stocked with your personal items. Additionally, you won’t have to relearn all the aspects of a vehicle each time, as you would with a rental. As the RV Industry Association points out, this can include everything from driving and handling, to set up and using the various components and hookups.

You might want to adopt the RV lifestyle year-round.

One of the more interesting trends of modern life has been the growing popularity of working remotely while traveling from place to place in an RV. While it’s not suitable for everyone and all occupations, plenty of people have made this arrangement work, and it can actually be a more affordable way to live, even given the money you’ll need to spend on maintenance, park fees and fuel. Moreover, living in an RV gives you the opportunity to experience new places and adventures while continuing to earn a living. Find “6 Essential Tips on How to Work Remotely from an RV” at RV Lifestyle.

You plan to use the RV frequently, which can save you money over the long haul.

Although the initial costs of buying an RV can be quite high, if you use it a great deal, it may cost you less to own one than to continually rent one over time. But it’s important to do your own calculations to get an idea of when that point may be. If you plan to take only a couple of trips by RV each year and it will overwise sit in storage, you’ll likely spend a lot less money by renting one when you need it.

You would consider renting out your RV.

One way to offset the cost of owning an RV is to rent it out when you’re not using it. While this is not without risks, it can be a lucrative income stream, especially if you rent multiple units. According to RV Lifestyle, one full-time rental can generate between $30,000 and $60,000 per year, depending on the unit and location. For an overview of the pros and cons, check out “How to Make Big Money Renting Your RV in 2023”.

When renting may make more sense than buying:

You haven’t had much, if any, experience with RVs.

If you’re entirely new to the RV lifestyle, renting is a good way to experience it before you commit. By thinking of your vacation or camping trip as a test run, you’ll also get a better sense of the kind of vehicle you want, and the features most important to you.

You anticipate that you might use an RV a few times per year, at most.

When deciding whether to rent or buy, it pays to be realistic about how often you’ll take it on a vacation or camping. Keep in mind that if you only plan to use an RV a couple of times per year, it will generally make more financial sense to rent.

You’re not prepared to take on the cost and ongoing expenses involved in owning an RV.

One of the biggest drawbacks to buying instead of renting is the initial cost to purchase an RV. Axle Addict puts the average cost of a previously owned camper or small travel trailer at upwards of $15,000, and decent pre-owned motorhomes or fifth wheels at $40,000 or more. And multiple sources give a range of about $100,000 -$500,000+ for a new, Class A motorhome.

In addition, upkeep, repairs, storage, and insurance premiums can also take a sizeable bite out of your budget. According to RV Lifestyle, the average cost of maintenance is about $1,000-$2,000 per year depending on the size and age of your unit. You can get an overview of the true costs of ownership here.

Typical rental fees for a travel trailer run about $110-$130 per night, and $250-$300 per night for a Class A motorhome. However, you’ll need to consider related costs when renting, such as mileage, fuel, insurance, equipment, delivery, taxes, a security deposit, roadside assistance, and any add-ons. Thankfully, the RV company or owner will usually provide you with an all-inclusive rate.

You don’t have a place to store an RV.

Not everyone has the space at home to park an RV when it’s not in use, and there may be rules in your neighborhood against storing it in the driveway, or you may have neighbors who wouldn’t appreciate the aesthetics. To store it a traditional self-storage facility, you’ll likely pay anywhere from $100 to $250 per month, although you may be able to find rates as low as $50 per month by using an online marketplace like Neighbor.

You don’t want the responsibility of maintaining and repairing an RV.

Upkeep and repairs for an RV not only cost you money, but even basic maintenance involves a fair degree of effort, which isn’t necessarily enjoyable, especially if you plan do it yourself. Between your waste system, generator, various tanks, and other items, there are plenty of variables that will need your attention.

You appreciate the convenience of renting an RV for whatever purpose you might need one.

Aside from not being tethered to the responsibilities of owing an RV, some people like the flexibility to rent a different vehicle based on the type of trip they want to plan. In addition, some rental companies will deliver an RV to your camping destination, and pick it up for you when you leave. You may also be able to rent a vehicle from one location, and return it to another, giving you the option to take another mode of transportation for part of the trip (e.g., take the RV to your destination and fly home).

Ready to buy an RV and start enjoying the RV lifestyle? The Police Credit Union can help:

If you’ve explored your options and are ready to fulfill your dream of ownership, The Police Credit Union can help make it happen. We offer competitive rates and terms on financing for a wide array of recreational vehicles including travel trailers, motorhomes, custom vans, and van conversions, along with boats and jet skis. Our RV loans also offer Payment Protection and convenient payment options. Find details at our site here.

When you’re ready to escape on vacation or enjoy a few hours of fun, we offer the loans you need for boats and recreational vehicles of various types.

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