Buying vs Renting RV: Pros and Cons

Are you debating buying or renting an RV for your next camping trip or visiting a national park? It’s a common dilemma faced by many travelers who dream of hitting the open road in style. The popularity of RV travel is on the rise, with the RV Industry Association now estimating more than 11.2 million households in the U.S. owning an RV, and the growth is up the most among those 18- to 34-year-olds.

So, it’s not surprising that you or someone close to you is interested in at least one or two camping trips a year with an RV. But it’s important to weigh the advantages and disadvantages of either renting or buying to determine which is best for your individual situation. The decision can impact your travel plans, budget, and overall experience.

Now, let’s explore how each option might align with your lifestyle and travel plans, considering these various factors.

Why RV Travel is Getting So Popular

Traveling with a recreational vehicle, whether that’s a motorhome or something as small as a pop-up camper, has always been popular in North America due to a variety of factors. There are just so many exciting places our roads can take you, places where your RV can give you the best value when vacationing and at a more affordable price than constant hotel rooms and airplanes.

However, the COVID-19 pandemic has also reshaped the industry in the last few years. With so many people wanting to get out of their homes safely, they opted for vacationing in outdoor areas or taking their vehicles with them. This led to a surge in RV purchases, new or used, that continues even after the lockdowns or the pandemic as they discovered the other multiple benefits that RV life has, such as:

• Flexibility: Go wherever you want, whenever you want.
• Comfort and Convenience: Have all the comforts of home while exploring new places and experiencing different adventures.
• Affordability: In the long run, RV travel can be more cost-effective for those who love to travel multiple times a year. It allows for cost savings on accommodation and food, as you can cook your meals and stay in campgrounds for a fraction of the price of hotels.
• Active and Close to Nature: Traveling with an RV gives you the opportunity to connect with nature and enjoy the great outdoors in a unique and immersive way.
• Frequent Vacations: Most RV owners say their RVs make it easier to take frequent epic road trips, even if for just the weekend, without having to worry about hotel rooms, air travel, and sacrificing comforts.

Buying an RV Pros and Cons

As you weigh the options between buying and renting an RV, you’ll find that both paths offer distinct advantages and drawbacks. Buying an RV can offer unparalleled freedom and comfort on the road, but it’s not without its financial and practical challenges that might not make it worthwhile for some travelers. So, let’s explore what might tip the scales in favor of purchasing.

Pros of Buying an RV

Owning an RV offers several advantages, including the freedom to travel at your own pace and the opportunity to personalize your space. When you buy an RV, you’re not just purchasing a vehicle; you’re investing in a lifestyle of adventure and spontaneity.

• Ownership and Customization: You have the freedom to customize and personalize your RV to your liking. For example, do you want a memory foam mattress or solar panels? You can make those upgrades, turning your RV into a true home-on-wheels.
• Cost-Efficiency Over Time: If you use it frequently, buying an RV can be more cost-effective in the long run compared to renting. The cost of ownership might seem steep initially, but consider the long-term savings. You won’t be facing recurring rental fees, and you can manage maintenance on your terms, potentially reducing expenses.
• Convenience: Instead of aligning your schedule with rental platforms and their availability, your RV waits ready for your next road trip. Park it at your home or a nearby facility, and prep it for your next journey at your convenience.
• Potential Investment: Depending on the market, an RV can retain its value over time and potentially be sold for a good price.

In essence, buying an RV places you in the driver’s seat of your travel experiences. It’s a ticket to explore, relax, and live on your terms.

Cons of Buying an RV

While buying an RV offers numerous benefits, it also comes with significant work and responsibilities that you should consider.

• Upfront Cost: First and foremost, the upfront costs can be staggering. You’re not just buying a vehicle; you’re purchasing a mobile home, which often comes with a hefty price tag. This initial investment is far higher than rental options for occasional trips. This is why the main factor that will help you determine whether to purchase or not will be just how much you plan to use it and really benefit from the long-term financial investment. Additionally, the price tag on an RV purchase can be lowered with an RV loan or buying used instead of new, opening more paths for RV ownership.
• Maintenance, Insurance, and Repairs: Once you’ve bought your RV, the spending doesn’t stop there. Monthly RV maintenance costs can quickly increase. You’ll need to regularly service the engine, address wear and tear, consider fuel costs, and update living areas to keep your mobile home roadworthy and comfortable. Plus, you’ll face the additional cost of insurance premiums for RVs or extended service contracts, just like for a regular car. These aren’t occasional expenses; they’re ongoing monthly costs that can strain your budget.
• Storage Space: Also, you might face extra costs for storage if you don’t have space at home, particularly during off-season months when you’re not gallivanting across the country. Storage fees can be hefty, especially in some cities where there are not many storage businesses around.
• Depreciation: RVs can depreciate in value over time, especially if not well maintained.
• Limited Flexibility: If you change your mind about the type of RV you want or decide you no longer want to travel in an RV, selling it may be challenging.

Renting an RV Pros and Cons

Before you decide to rent a rental RV, just like with buying, it’s essential to weigh the advantages and drawbacks. Renting allows you the freedom to explore without a long-term financial commitment if you only plan on traveling once a year or every other year. Nonetheless, just like renting vs. buying a home, you have to really think about this as a long-term investment and ask yourself just how much time you’re going to spend on your RV and truly use it, and it’s not like rental costs are just your daily rental fee either. Let’s proceed to the pros and cons of renting an RV.

Pros of Renting an RV

• Flexibility: Renting an RV offers you flexibility and the opportunity to experiment with different types and sizes before committing to a purchase. It’s an overall good way to figure out what suits your travel needs without the hefty upfront investment.
• Lower Upfront Cost: Renting an RV can be more budget-friendly compared to purchasing one, as it saves you from the ongoing costs associated with owning an RV, such as maintenance, depreciation, and storage costs. You’re free from the worry of upkeep, as most rental services handle maintenance. This means more time enjoying your vacations and less time dealing with repairs or fees. Additionally, prices for renting vary widely, allowing you to choose an option that fits your budget and travel plans.
• Cost-Effective if Occasional: Renting an RV can be more cost-effective, especially if you’re an occasional traveler and not a full-time RVer. You pay for the RV only when you use it, which can be significantly cheaper than owning one, considering the total costs involved in purchasing.
• No Maintenance Hassles: Renting eliminates the need for ongoing, routine maintenance and repair costs.
• Variety: When you rent, you’re not tied down to one model, and you can explore a variety of RVs each time you hit the road. This can keep your travels fresh and exciting as you test out the latest features and layouts.

Cons of Renting an RV

While RV renting can seem liberating, it’s not without its limitations that might cage your sense of freedom. Here are several cons that could dampen your adventurous spirit:

• Cost Over Time: Renting makes more financial sense but if you rent frequently or for extended periods, the cumulative cost may exceed the price of owning an RV. This is why the most important question to ask yourself before deciding is just how much you plan to travel with your RV.
• Unexpected Costs: You’ll often face unexpected extra charges that can balloon your budget. Think about mileage overages or those surprise service fees for generator use. Each extra mile can cost you, adding to the real costs of renting and tethering your free-roaming spirit to a worrisome odometer. Don’t be deceived by that lower initial price point.
• Limited Customization: The RV you rent won’t feel like it’s truly yours. You can’t tweak or personalize the kitchen or spaces to suit your taste. It’s a temporary home that never quite feels like home.
• Availability Issues: Depending on the season and location, finding available RV rentals can be challenging. Spontaneity is a key ingredient of adventure. However, the ideal RV mightn’t be available when you’re struck by a sudden wanderlust, forcing you to compromise or postpone your plans and just ruining the entire rental experience.
• Restrictions: Rental agreements may come with restrictions on where you can travel, how far you can drive, and other limitations. As mentioned above, if you want to go the extra mile or on a truly extended road trip, you might be charged extra mileage fees.
• Wear and Tear: Renting an RV means dealing with the wear and tear from previous users. This can range from a malfunctioning kitchen appliance to less-than-comfortable bedding, potentially turning your dream trip into a series of logistical headaches.

In the beginning, the rental option’s biggest advantage, of a lower initial cost, seems very enticing and might be a suitable option for those who want to try out RVing just once or twice in their lifetimes. But do you want to go into life on an RV full-time or more than once a year? That’s where the cons of renting come in and should be carefully weighed against the benefits and costs of ownership.

Average Cost of RV Types

Understanding the average cost of various RV types can significantly influence your decision to buy or rent. You’ve got a plethora of options, each with varying costs that align with your freedom-seeking lifestyle. From travel trailers to campers, the type of RV you choose can drastically impact your budget and journey.

• Travel Trailers: Travel trailers are a popular choice for their affordability and ease of use. On average, new travel trailers range from $18,000 to $70,000, making them a viable option for those who want a taste of adventure without a hefty price tag. For rent, the cost of a travel trailer can range from a daily rate of $50 – $150 or a weekly rate of $350 – $1,050 through Cruise America, one of the largest RV rental services in the country.
• Campers: Meanwhile, campers, including both truck campers and small class B motorhomes, offer a bit more convenience and comfort. These typically start around $15,000 and can go up to $50,000 depending on features and size.
• Motorhomes: If you’re leaning towards larger RVs, like Class A motorhomes, expect a price range from $100,000 for basic models to well over $500,000 for luxury units. The luxury RVs will cost you almost $500 daily or $3,500 weekly. Class B and C motorhomes, which offer a middle ground in terms of size and amenities, usually range from $80,000 to $150,000. Medium or small motorhomes can go for a daily rental rate of $100 – $250 or a weekly one of $875 – $2,100.

Also, remember that the daily or weekly rates are far from the only costs of your trip if you rent. You’ll see mileage fees, fees for generator use, insurance fees, prep fees, and more additional costs. Each of these types of RVs presents a cost that reflects its ability to enhance your free-spirited adventures. It’s crucial to consider what kind of travel experience you’re aiming for before making a financial commitment.

Finance a New RV with an RV Loan from Southeast Financial

If you’re considering buying a new RV, securing an RV loan from Southeast Financial can streamline your purchase. Imagine the freedom of hitting the open road whenever you desire, not just dreaming about it. With a tailored loan, you can finance the wheels that’ll carry you and your loved ones on countless memorable trips.

Break free from the confines of everyday life. Own your journey, decide your destinations, and never look back. While upfront costs are higher, owning your RV means no more rental fees. Over time, your mobile haven pays off—keep your tank full and keep moving!

Investing in an RV with Southeast Financial isn’t just a purchase—it’s a gateway to freedom, an opportunity to create lifelong memories, and a way to experience the thrill of the open road on your terms. Contact Southeast Financial right now and start your RV life.