News:

The club is no longer active.  The forum will continue to be available for folks to find information and ask for help.
The tech forums are now open to all.  Other vintage Dodge-based class C owners welcome.

Main Menu

Cost of Owning an RV

Started by Toedtoes, December 13, 2014, 03:17:05 PM

Previous topic - Next topic

Toedtoes

On another forum that caters to folks who buy brand new MHs, occasionally a newbie will ask about buying an older MH.  "Older" is usually late 80s and newer.

On one recent thread, a poster stated "an older MH is OK if you don't put more than $4,000 into it as that is all you will get for it".  Well, that comment got me thinking...

I paid $4200 cash (and gave my old TT for taxes and license fees).  Over 19 months, I have put in $6600 on maintenance, repairs, new tires ($1119) and new batteries ($338).  I have no monthly payments and I can do repairs as the money is available.

Looking at RVTrader, if I were to buy a 2-5 year old Class C (18-22ft), the average cost is $49,334.  At 72 months at 9% (the best rate at my credit union for a used RV).  My monthly payments would be $889.27 for 6 years (not including tax and license, trade in or down payment).  This mandatory monthly payment does not include any maintenance or repair work.

My average per month cost on the clipper was $491.74 over the past 19 months (not including tires and batteries).  This includes all maintenance and repairs.

So, I am saving $397.53 per month for the first 19 months and I was able to budget that cost to fit my income (e.g., hold off on repairs for 3 months until I had the cash).

As time goes on, my repair costs will go down as my money is going into replacing old worn down parts with new/rebuilt, whereas the newer MH repair costs will go up as parts get older and worn down. 

That means that I have a good $400 per month extra for fuel and campsite fees, etc. over what the newer MH buyer will have. 

After 15 years of ownership, the majority of the newer MH buyer's mechanical parts will need replacing/rebuilding (they will be 17-20 years old at that time).

After 15 years of ownership, the majority of my mechanical parts will have been replaced/rebuilt within the first few years, reducing the costs needed in the later years as they will be 15 years or newer.

After 15 years of ownership, the newer MH's resale price will be significantly reduced.  The current average price of a 1995 - 1998 (17-20 year old MH) is $15,529.  That is a loss of $33,805.

After 15 years of ownership, my clipper's resale value will drop no more than $4200.

So, which is really the better way to go?

Now, a common argument is that the newer MH will be "trouble free" for the first 5-7 years and therefore you can avoid the repair costs.  However, this is also relying on the expectation that the owner will be trading that MH in for something newer within the next 5-7 years.

And that creates another argument.  You want to RV for the next 30 years:

1. buy 2-5 year old MHs at $49,334 purchase price and replace every 6 years.  That's a total purchase price of $246,670 - resale price of $77,645 for a total investment of $169,025.  Not including tires, batteries, regular maintenance or repairs.

2. buy a clipper for $4,500 cash and put in $5,000 per year for 30 years on maintenance and repairs for a total investment of $154,500.  This would include tires, batteries, regular maintenance and repairs.  As an added benefit, you can include your clipper in your estate and provide your kids with another 30+ years of RVing!
'75 American Clipper Dodge 360 821F; ACOC #3754

Clipper Joe

Hi Toedtoes,
I Found Your Put Together Info Real Interesting. :o
New Vs Older RV's That Is Indeed A lot To Think About.
Also, On The Maintenance You Have To That On Either New Or Old. & Tires Etc.
But It Is That When We Add Time & Money To Our Clippers, Is That We Want To Enjoy A Save Running Rig.

I Have Not Really Sat Down With How Much I Have Put Into ' Wilson ' I Can Tell You I Do Have More Than $10,000.00 To Make Him The Way I Feel Safe & Comfortable. I Still Have A Few More Repair Maintenance To Finish Him. It Is Sometimes Hard To Justify Some Of The Extras, Like Interior House, Floors, Carpets, Heat Mat For Cab & Dog House Re-Sealing, Rebuilt Motor Transmission Etc.
But This Is What You Get With 30-40 Year Old RV.

Now There Are Low Mileage Clippers Out There, & Who Ever Gets Mine If I Would Sell Him, They Would Have All The Upgrades Already Done. But I Feel That The American Clippers Were The Best Older RV's Ever Made. I Have Owned In Past A 1973 Dodge 360 Tioga RV, It Is Still On The Road Today, But Has Had To Have The Aluminum Sideing Repaired Also Had Many Leaks.
I Know Our Clipper Will Be Around For Many More Years To Come.

Thanks Again For That Nice Story, ;D ;D
Joe

1977 Dodge 440  Rear Kitchen
Note: Clipper Sold: (Miss It)
ACOC#3749
Now Own 2002 Class A Diesel Pusher

Sfine

Great info, thanks !
In addition, just to validate the costs...my mechanic is on his 10th RV..this includes trailers and all. He just bought a small Tioga, like Clipper size simply for the convenience of parking and going to more places he couldn't in his diesel pusher.
  His final comment was..it doesn't matter what make or model, or what age..they all require the same maintenance and repairs. Flat out.  Toilets, pumps,batteries, friges, they all have them. The Clippers however have outlasted most others in quality...and class too!
Enjoy the rains

1979 440 Dodge 21' Bunk      #3766
     Murphys, California

Toedtoes

Your mechanic makes a very good point - one that I think a lot of owners ignore.  I know on the other forum, folks tend to replace their RVs every 2-7 years on average.  Some of that time, it's due to changing needs (full-timing - need bigger; empty nest - go smaller; etc.), but most of the time it's simply an effort to bypass the costs involved with an older rig.  But, you're paying for those costs either up front in the purchase price or down the road in maintenance.  These folks are also buying RVs that cost more than my house - and they're taking out 30 year loans to buy them. 
'75 American Clipper Dodge 360 821F; ACOC #3754