How to Finance an RV: A Comprehensive Guide for First-Time Buyers
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So you’ve put the final touches on your brilliant master plan of getting a personal “vacation mobile” – now the key is finding out how to finance an RV.
Well, you’ve come to the right place.
At Kirkland RV, we’ve helped countless happy individuals find the ideal motorhomes. Here’s everything you need to know about financing an RV and finding the right rig for your upcoming trip.
Steps to Finance Your RV Loan
It’s normal for you to have questions like “how many years can you finance an RV?” but the first step is getting the actual loan approved.
And, just for the record, the number of years you can finance an RV depends entirely on the institution you get your loan from, but the average is between 10 and 20 years.
Here are the basic steps you need to follow to get an RV financing credit line.
1. Get Prequalified
If you’re wondering how hard is it to finance an RV, this depends on factors such as your credit history and the size of the initial payment you can put down.
However, the first step you should take is getting pre-qualified by your current bank. This will give you a starting point in terms of the loan and give you an idea of what you can certainly afford.
2. Set a Realistic Loan Amount
Once you have your pre-qualification amount, you need to set a realistic budget. In many cases, it’s possible to work on your credit and other factors in order to get a loan that’s 10% to 20% larger than your pre-qualified amount, but not much more.
If you’re wondering how to finance an old RV, the process up until now is the same, but with a lower dollar amount.
3. Submit an Application
Once you have set a budget and identified the financial institutions you want to work with, it’s time to submit an application.
If you’re learning how to finance an RV for the first time, pay close attention as the application will be similar when upgrading to your next rig.
The application will vary from one lender to the next, so contact your ideal lender and talk to them about applying for an RV loan.
4. Wait for the Approval and Sign the Deal
The answer to the question “how much does it cost to finance an RV?” depends on the type of motorhome you’re buying.
Whichever the case may be, your last step is to wait for the approval and sign the deal for the rig once your loan is cleared.
Factors that Affect Your Loan Application
Here are 4 major factors that will influence your loan application.
- Credit score and history
- Downpayment
- Interest rates
- Debt-to-income ratio
- Additional lender-specific requirements like work status
Find the Perfect RV at Kirkland RV
Financing an RV is an awesome and accessible way to get your dream motorhome without having to cover the whole cost upfront. There are many financial institutions that can issue a loan to finance your RV, but it’s important to understand the process you need to go through in order to increase your chances of getting the funds quickly.
Additionally, remember to consider variables like your credit score and history, the loan interest rates, and other lender-specific requirements that influence the result of your application.
At Kirkland RV, our goal is to help every customer find the perfect RV in terms of size, capacity, and of course, finances. Contact us today to check out the RVs in our lot and learn more about the financing options available.
