RV living has become a popular activity among many Americans. It offers freedom, flexibility, and allows you to enjoy nature as you work. RVs have been the go-to options for comfortable off the grid living. But most people fail at coming up with a budget for their RV living expenses. This article looks at crucial aspects you need to consider to create a realistic RV living budget.
RV Expenses
Initial Cost
Before living in an RV, you need to buy one first. And different RVs have varying prices, ranging from $10,000 to $400,000 or more. Luckily, there are financing options if you are on a budget.
These options allow you to own an RV while paying for it monthly for an extended period. As you’d expect, RVs, like normal cars, depreciate rapidly. It means you’ll be paying more than it’s worth.
If possible, buy an RV that is within your budget or one you can finish paying installments within a few years. You don’t want to be tied to a 20-year payment plan. Most people who choose to live on the road, often sell their belongings to buy and maintain RV living.
If this is not a viable option for you, consider buying a used RV. There are many sites displaying used RVs that sell at an affordable price.
Loan Repayment
If you choose to acquire an RV on a loan, you’ll be tied to repayment periods ranging between 10 and 20 years. As you’d guess, interest rates are high and some might be even higher based on the loan amount, type of RV, and its age. Your credit score also matters.
We’d recommend making a significant down payment to reduce the monthly payments significantly. That said, the high interest rates that RV loans attract will eventually lead to higher overall costs in the long run.
So, make sure to plan your loan and debt payments wisely. Otherwise, you might become poor before enjoying life on the road.
Insurance
If you are living in your RV full-time, you must consider the insurance costs. RV insurance differs based on the insurance provider, RV value, age, and type. All states mandate that you have RV insurance before embarking on full-time or leisure RV living.
While a regular RV policy might be a cheaper option, it might not cover all aspects of RV living. You’ll need a comprehensive or full-time RV policy. A comprehensive RV policy is somewhat similar to your homeowner’s policy.
It covers all aspects RV living such as your belongings, accidents in the campsite, and more. Some premium full-time RV policies might also cover emergency accommodation. For example, if your RV breaks down on the road, the insurance company can organize and pay for your accommodation at a nearby hotel.
While not recommended, you can get RV extended warranties. They cover various components of the RV such as plumbing and electrical systems. If you have to go for extended warranties, choose a plan offering mobile repair services.
Type of RV
Another aspect that can help you come up with a realistic budget is the type of RV you’ll be living in. you don’t want your RV living experiece to be unpleasant. As such, you need to choose an RV that can fit your family and belongings. There are many types of RVs. Let’s look at the most popular ones.
Class A Motorhomes
Class A RVs are the biggest options, accommodating up to 10 people. This makes them ideal for large families or groups. They are also associated with comfort and luxury. And as you’d expect, they are the most expensive.
Unlike smaller options, their frames are built on truck chassis for improved space and balance. They can either be diesel or gasoline-powered with larger models running on diesel.
That said, they are more expensive to maintain as they require more fuel, and constant maintenance, and have higher insurance rates.
Class B Motorhomes
Class B motorhomes are cheaper than Class A models. They are the smallest of all RVs and are popular with van living enthusiasts, hence the name campervans. Like Class A RVs, they come with two engine types: gas and diesel.
While nimble and compact, they are spacious enough for two to four people. They also have a small kitchen, toilet, and a sleeping area.
Their insurance rates are also reasonable. Maintenance is affordable since they have fewer appliances than Class A motorhomes.
Fifth Wheels
If you are looking for a towable RV, a fifth wheel trailer is your best bet. In fact, they are the largest towable RVs and the most popular among campers and hikers. Unlike bumper-pull trailers, they use a pinbox to connect to a U-shaped coupling mounted in a truck bed.
They are more spacious and stable than Class B while on the road. Nonetheless, they are more expensive and require a robust towing vehicle. And the larger the trailer, the less fuel-efficient the towing vehicle is.
Travel Trailers
Travel trailers are also popular with most RVers thanks to their flexibility and practicality. These options have most amenities that you’d need for an exciting RV living experience. They come with a spacious sleeping area, kitchen, bathroom, and a convertible living room.
Luxurious travel trailers come with an outdoor kitchen and separate living quarters, among other amenities. Ideally, a travel trailer measures between 20 and 30 feet in length. There are also smaller travel trailers for campers on a budget. A typical trailer can house up to 10 people.
RV Living Costs
Fuel Costs
One chief aspect you need to consider when choosing life on the road is the price of fuel. The consumption rate will greatly depend on the type of RV, and frequency of travel. And fuel prices vary from state to state.
As such, we’d recommend buying an energy-efficient RV to reduce your fuel costs. Some of the ways you can reduce fuel costs include keeping your tires properly inflated, avoiding overloading, avoiding unnecessary travel, and avoiding driving through hilly areas.
Propane costs
You’ll also need propane to cook, and heat your RV. It is also used to run your refrigerator and other related appliances. Like gas, propane prices vary from state to state. That said, you can save money on propane by installing a solar system and using an RV generator.
For example, you can install permanent solar panels on the RV roof or opt for portable solar panels. Permanent solar panels are an ideal option if you’ll be Rving for years while portable solar panels are an excellent option for part-time RVers.
You can buy the BLUETTI PV420 Solar Panel which has a 420W rating, ideal for normal RV living. It has an excellent 23.4% conversion rate, meaning you’ll utilize most of the site’s peak sun hours.
It is also easy to set up as it comes with robust kickstands that can withstand gusting winds. Like other BLUETTI products, it is durable, lasts for an extended period. And since it is foldable and portable, you can travel with it between different campsites.
Once you have solar panels, you can then install a generator. A generator allows you to power appliances such as your refrigerator, electric grill, laptop, and small devices. Furthermore, most generators come with batteries, storing excess solar energy for later use.
For this you can opt for the BLUETTI AC500 + B300S. Equipped with a 5000W pure sine wave inverter, you can rest assured your devices will run smoothly when plugged in. It also has a 10,000W surge rating, meaning it can run larger appliances such as refrigerators.
While it has a 3,072Wh capacity, you can expand it to 18,432Wh. This is enough energy to keep your appliances running for days.
Let’s say you are a family of seven. Obviously, you’ll use more energy, meaning you’ll need a larger generator to meet your needs. This is where the BLUETTI EP500Pro Solar Power Station comes into play.
The model has a 5,120Wh capacity ideal for powering a large RV. With multiple outlets, it allows you to power small and large appliances. The best part is that it comes with rubberized wheels for easier maneuverability.
Other RV Living Costs
While budgeting, you should also consider other expenses such as groceries. Food expenses can vary depending on your habits and preferences. If you prefer cooking for yourself, you’ll have to spend more. If cooking is not your cup of tea, eating out will be your alternative.
Consider internet access and connectivity. They are especially vital for digital nomads. Fortunately, some campsites have free hotspots. But the internet connectivity is usually slow and unreliable.
We’d recommend installing Wi-Fi in your RV for a better experience. And with the advent of satellite internet, you can enjoy high download and upload speeds regardless of how remote your campsite is.
Factor in your entertainment expenses such as hiking, swimming, and skiing. Allocate a portion of your budget to such activities. Not only do they make RV living more fun but also break the monotony of living in a small space.
Final Thoughts
When coming up with an RV living budget, you need to consider RV expenses, maintenance and repair costs, accommodation, and living expenses. The budget will vary greatly depending on the type of RV. The cost of running a larger RV is high and vice versa. Remember, installing a solar system can reduce your energy costs significantly.
