How do you finance a motorhome or caravan?
Know you're keen on the motorhome or caravan lifestyle but not sure exactly what your budget is? Or maybe, you've found the perfect product but you need to sell a house or property first? Finance could be the answer for you.
When you’re looking for that perfect motorhome or caravan, one thought that will cross your mind is how you’re going to pay for it. Despite popular belief, not everyone has the cash to get into their dream motorhome or caravan right away. Fortunately, there are many ways you can look at financing a motorhome or caravan and of course, TrailLite can support you through that process.
We've had a number of different customers use finance to fund their dream lifestyle. Perhaps one of the following sounds a bit like your scenario?
- One couple was in the middle of renovating their house ready to put it on the market but needed to order their motorhome three months' in advance in order to secure exactly what they wanted. They've now taken delivery of their dream motorhome thanks to the bridging finance CreditOne arranged and once their house has sold, they will be living in the motorhome and travelling NZ.
- Another client just wanted to have a caravan for recreational use and to see more of NZ. CreditOne topped up his small deposit so he could buy a caravan that was the perfect fit for him.
- Business owners who have rental accommodation on their property purchased a caravan that can be rented out on AirBnB, and used by them for holidays when they want to get away.
We also quite often see clients who have based their budget on what they've saved in the bank, but when they start looking at motorhomes or caravans within that budget they realise what they want to achieve by making the purchase (full-time living, long stints travelling in the South Island etc.) is unlikely without a little more money. That's where a top-up can be very handy. This helps customers purchase the right product for them not the right product for only one of their non-negotiables (budget). Think about this, you find a motorhome that fits within your budget but gives you little to none of the other features and specifications you desire. A lot of the time purchasing this will cost you more in the long run. You won't enjoy it as it's unlikely to allow you to do what you want, and you may find that you don't use it as often as a result.
The process of financing a motorhome or caravan
Initially, your TrailLite Sales Consultant will put you in touch with a finance broker from CreditOne. One benefit of working with a broker compared to a bank or finance company directly is that they can talk to you about your individual circumstances, and arrange finance with the company that will provide the best terms for those circumstances - whether you need anything from bridging finance to just a small top-up.
During the initial conversation with your finance broker, they will ask questions to learn about what you require from your finance, discuss repayment options and, possibly even go through an application with you over the phone – particularly if you’ve already chosen what you’re buying. This only takes 5-10 minutes.
Understandably there is often some supporting information required from you, such as proof of income. However, your broker will discuss this with you and let you know anything which may be required, helping you to feel fully informed throughout the process.
Once approval is in place and you have chosen your dream motorhome or caravan, your broker will either meet with you or email you the finance documents for signing, and arrange for the loan to be settled and balance owing to TrailLite paid in time for you to take delivery.
You can also find out what your loan repayments could be on your dream motorhome or caravan by clicking here.
Make sure before you get too set on budget and timeline that you do consider all the options. We often see people who are a few months away because of certain milestones they need to overcome; selling the house or the boat or waiting for a work bonus. But then, when those have been achieved they want to drive something away that day which is not always achievable. Make sure you speak with a Product Consultant about what waiting might mean and whether there are any options to align your budget and timeline.