Shields

Financing Options for Sale/Purchase of Older Motorhome

7 posts in this topic

We recently listed our 1997 Monaco Dynasty for sale and have an interested buyer. The buyer says his bank won't finance a motorhome more than 13 years old (i.e. before 2000). I called the lenders who advertise in the FMCA and MotorHome magazines (Sun Trust, Essex, Good Sam). Each indicated they would not lend against a 1997 motorhome.

The buyer is willing to put $10,000 down and is looking to finance the $30,000 remainder. If I can help the buyer secure a loan, he's willing to purchase my coach. Does anyone know of a lender willing to finance the purchase of a 1997 motorhome?

Any ideas will be welcome. Thanks so much.

Tim

Share this post


Link to post
Share on other sites

I checked on finanacing an older coach a few years ago and my credit union would consider it, but the loan would have to meet a borrowing committee. I didn't complete the transaction as I bought a newer coach. BL, maybe a credit union would consider it (I'm sure at a higher rate). Good luck, Pete

Share this post


Link to post
Share on other sites

You could try Bank Of The West based in CA.

https://www.bankofthewest.com/

Not that they loan on MH older than 10 years, but they do a lot of MH and Boat financing. I've heard that MH older than 10 are indeed hard to finance. Sorry, but hope this lead helps.

Share this post


Link to post
Share on other sites

Tim,,

If your buyer owns his home free and clear, have him look into a Home Equity Loan.

Banks will give a a loan for up to 50% of the homes value. You do not need to take all of the money at once. You may draw it as needed. We took out one so we could buy our cars. This way we could pay cash for the cars and the HOE loans interest is tax deductible. but not on a auto loan.

Also the interest is much lower.

Hope this helps,

Herman

Share this post


Link to post
Share on other sites

Talk with Elizabeth Flair at South East financial. As always it is a case by case basis but they are great to work with for older MH.

eflair@southefinancial.com

Good Luck

Share this post


Link to post
Share on other sites

It depends on your situation, but I just purchased a DP and found my only two options for purchasing ($52k) a 2001 32' Country Coach with only 28k miles and owned by a retired diesel mechanic as follows (governed by my situation)

1. Borrow up to $60k using two of my car titles at 1.9%. Or
2. Take out a home equity loan at 8%

Obviously, I chose option one. One of my cars was actually for sale and it sold 3 days after purchasing the CC. At this point I owe $28k on the motorhome. The equity loan has the advantage that it's a tax write off, but frankly I'd rather have the 1.9 rather than the write off. The fact is it is hard to get loan on any RV over 10 years old unless you have equity in your portfolio somewhere.

Share this post


Link to post
Share on other sites

I ran into the same thing when I was looking at coaches. Hard to find someone to finance anything over 10 years old. You may have to get creative like some have suggested.

Bill

Share this post


Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!


Register a new account

Sign in

Already have an account? Sign in here.


Sign In Now