The RV lifestyle is highly sought after, but it’s not always easy to purchase an RV outright. Luckily financing options are widely available, making it simpler to get the exact model you’ve always wanted! Our team at Maple Grove RV is here to help you find the right model and assist you through the financing process.
1. Budget First
No matter what kind of RV you’re looking for, it is absolutely essential to start with a budget. Be honest with yourself about how much you can and would like to spend on your purchase. Completing this step first will prevent you from falling in love with a model outside of your price range!
As you do your research and decide what number works for you, also remember to include factors like loan interest, registration fees, and insurance costs. Sometimes it’s easy to overlook the additional factors beyond the initial purchase price, but the long-term costs should definitely be included in your total budget amount.
2. Build a Down Payment and Know Your Credit
Even when you plan to finance your purchase, most dealers will require a down payment. It doesn’t necessarily have to be a large amount, but it helps to start saving as soon as you can! Usually a 5 to 20% down payment will be required before the sale can be finalized. Plus, you will lower the interest rate by providing some money down.
As you set aside money, you should also keep an eye on your credit scores. They can have a direct impact on the loan amount you’ll qualify for and it can also influence your interest rate.
3. Consider Long-Term Value
RVs are a long-term investment, so it’s helpful to think ahead before you make the purchase. Of course you can always decide to upgrade or resell your RV, but that’s exactly why you should think ahead! Will the model you select hold its value over time? Are you looking for something to keep in the family for decades? Take time to really think about the purpose of having an RV to make sure the monetary value matches the value it will add to your life.
4. Understand Loan Types
There are a couple loan options available when you choose to finance an RV. Secured loans have generally lower interest rates but your RV will be held as collateral in case payments are missed; this means it can be repossessed. Unsecured, on the other hand, have higher rates but the RV cannot be used as collateral.
Whenever you’re ready to finance the purchase of your RV our team would love to help. Visit us in Everett, WA, to browse our selection and speak to a member of our team. We proudly serve Seattle and Bellevue.