Renting An RV Or Buying One: Which Is Better?

Given the incredible rise in popularity that RVs have seen within the last year, it’s no surprise that everyone has questions about how to get into the lifestyle. Most importantly, which is better: renting an RV or buying one? If the idea of owning your own RV sounds like a luxury, that’s because it is one. Owning one comes with all of the behind the scenes costs that add up quickly— and it’s not just the financial burden to worry about either. Renting an RV comes with all of the luxury that owning one brings without any of the fine-print or strings attached. Below are six reasons why renting an RV is a smarter choice than buying one.

No large-scale financial commitments

First and foremost, renting an RV rather than buying one saves on not only the down payment for the RV, but the longevity of the loan as well (with interest). The typical cost for a class C RV is anywhere between $50-$150k depending on the make and model and how new it is. A class B runs even higher at $60-$140k, and a class A runs even higher at $75-$200k on average. The average down payment on an RV is usually 10% at minimum, but typically trends higher to 20%. What’s more, the depreciation value on RVs off the lot is roughly the same as cars at 20% despite them likely having much higher costs. After five years of owning an RV, almost half of its financial resale value will be gone. This is all to say that as with any other large purchase you might make in your life, buying an RV with a down payment or outright is a commitment that shouldn’t be taken lightly. It’s the potential cost of higher education or extra vacations with loved ones. On the other hand, renting an RV frees you from having to take this financial gamble because:

Only pay for what you use

Instead of letting an RV languish, untouched, by the side of your house for the majority of the year, rent an RV when you need it. In other words, let someone else make the bigger purchases and enjoy the convenience that RVing brings without any strings attached. In a 2021 survey by Harvest Host that interviewed 10,000 RVers, around 30% of respondents reported spending between 15-30 days per year in an RV. Another 30% reported between 30-60 days. This means that for the other 305-350 days of the year, the RV was sitting idly in someone’s yard or lot. When taking this into account, along with the initial cost of the RV and its depreciation rate, it seems like a no brainer that renting an RV makes better financial sense than buying one. Which, in turn, brings us to the next point.

Adaptable to changing size needs

Technically, this goes back to making big lifestyle commitments. Some vacations may be bigger than others, involving as many friends (and pets) as you can cram into one RV as possible for your National Park roadtrip tour. And then others are more intimate, just you and a loved one– or even striking out solo on the road. Regardless, life isn’t exactly a one-size-fits-all when it comes to experiences. So it makes sense that as your needs change in both size or style, your vacation shouldn’t have to mold to one fixed standard or another.

Zero upkeep required

Another annual cost when it comes to owning an RV is the amount of upkeep needed to keep it in good shape. Axle Addict breaks down the potential costs for common fixes, both minor and major, and the results are incredibly varied. Replacing the tires could cost $250 per tire… or $900, depending on the brand and tire size. Replacing an AC may cost $600… or the inverter may need replacing for $2,000. And all of these costs also have to factor in the price of labor. Similarly, the DIY trend of buying an older RV and doing a complete overhaul of the interior to save money on the purchase price sounds like another appealing option— until hidden costs and hours of service start to pile up during the rehab. The total cost of upkeep on an RV rental for the renter: $0.00. Just be sure to treat your rental RV as if it were your own!

Insurance coverage through RVnGO

The average premium for an RV varies incredibly because of the wide range of factors that determine it. In addition to the class type and how new the RV is, other variables that impact how high your insurance premium will be are:

• the state that you live in
• experience in driving motorhomes
• where and how often you plan on traveling
• the type of coverage purchased

Because of these factors, annual premiums range from anywhere between $800-$4,000. Remember what we said earlier, about how often the average RV owner actually uses their RV? It costs an awful lot to insure something that's only used for less than a month per year. When you rent an RV through RVnGO, you’re covered for up to $1 million in liability and $200,000 in damages through daily/nightly insurance rates. These rates are between $25-$75 depending on the class of RV.

Flexibility in changing schedules

Let’s refer back to Harvest Host’s survey from earlier. 60% of respondents reported that they planned on traveling more in 2021, and 40% of respondents reported that they work fully from home. As more and more people spend time on the road while the opportunity is available, it has become increasingly popular for people to become temporary nomads. Whether people are looking for new areas to settle in or just exploring the gorgeous landscape of the continental US while they can, the demand for flexibility in living arrangements has pushed long term and one-way RV rentals into the forefront of American travel. For instance, moving cross-country for a job is now an opportunity for adventure in and of itself, rather than just another plane ride. While jobs remain in flux between fully-remote with the possibility of eventually including office time, working on the road in an RV rental is a sabbatical from the ordinary day to day of city or suburban life. And best of all, it doesn’t have to be permanent.

Renting or Buying an RV: Myths vs reality

As with the rise in any trend, eventually there starts to be unglamorous truths and hard facts uncovered after the airbrushed filters of Instagram start to fade away. Vanlife has become meteorically popular in recent years, especially because of the pandemic, and in theory— it’s wonderful! However, for every popular Vanlife blogger, there are equal amounts of stories in which the reality of living full-time on the road forces people back into the cities. What’s important is not to discourage the pursuit of reconnecting with nature, but to cultivate a sense of awareness about how vacations can sometimes overstay their welcome. The great thing about long-term RV rentals is that they bridge the gap between exploring your wanderlust at a leisurely pace and the knowledge that the e-brake can be pulled at any time if it’s no longer sustainable. In this way, it all comes back to the first point. Purchasing an RV can be worth all of the potential risks and more— or an absolute nightmare. Make sure that you do research, research, and more research on all of the costs and benefits to owning vs renting an RV before deciding to pull the trigger. In the meantime, check out RVnGO’s On the Go blog for more trip inspiration!