As any traveller knows, seeing the world doesn’t come cheap. However, it is certainly possible, and the most affordable option might not be the one you think.
A recent study by CBRE Hotels Advisory Group found that RV vacations cost significantly less than other types of vacationing, even when considering the cost of RV ownership. If this comes as a surprise to you, you’re not alone, as there are many misconceptions about the expense of RV ownership.
Though buying your own RV instead of renting might sound daunting, it is the less expensive option in the long run. Not only are there are a wide range of price options—you could spend a few thousand or a few hundred thousand, depending on your budget and your preference—but the interest on the loan is not as much as people think. Additionally, loans are amortized up to 20 years and are open loans. That means they can be paid off at any time without penalty when the RV is sold or otherwise.
There are two other expenses that many would-be RV owners worry about that are much less intimidating in reality: gas and insurance. We suggest calculating an average of 24 litres of gas per 100 kilometres of travel. If the price of gas is $1.30 per litre, you would only be spending about $717 in gas for a 2,300 kilometre trip. That’s enough to get you from our location in Hamilton, Ontario, all the way to Miami, Florida!
Insurance costs are also much lower than many people expect. For insurance purposes, RVs do not fall under the category of a dwelling, meaning you can skip homeowners and flood insurance. All you need to insure your RV is automobile insurance. So long as you have a good driving record, your insurance costs will stay low.
One of the best features of RV ownership is that you can bring the whole family, including pets, at a low cost. You don’t have to worry about buying multiple plane tickets or paying for additional rooms or added fees at resorts. You can even make your own food, so you don’t have to splurge on restaurant meals for everyone. When you add up all of these expenses, the yearly cost of RV ownership is 21 to 64% less expensive than other vacation types for a family of 4!
With those kinds of savings, you can spend less time worrying about budgeting and more time enjoying your vacation!