Owning a campervan can be liberating, thrilling, and exciting all at the same time. Of course, to get to campervan ownership, you must make sure you have your financials in order. Getting finance for a campervan purchase is important. After all, you want to be out on the road enjoying your time, not worrying about money and finances! So, to ensure that this happens, what do you need to think about when it comes to campervan finance?
How Much Do You Need?
The big and important question is how much money do you need? Are you looking at purchasing a brand new campervan, or are you happy with a second-hand older model? It is important to clarify what you are looking for and what you are after, as this will have an impact on how much you want to borrow. Also, at this stage, it is important to think about repayments. A nice top-of-the-line campervan may be appealing, but is it affordable six months down the line?
What Deposit Will You Have?
After working out just what you need, it is time to establish what deposit you have. Some providers insist you have a deposit, while others are happy to take a low deposit (or none at all). If you do not have a deposit to put down, it could streamline the number of providers you could be looking at, and it may make financing slightly more expensive too. If financial providers and companies require a deposit (no matter how small), then think about how you might get this deposit together.
Over What Period Will You Need Finance?
Not all campervan finance offers the same repayment period because loan terms can vary. For example, some financing is offered on a shorter-term basis (perhaps under five years in total). At the same time, others can be more flexible and give you up to 15 years to pay off your new purchase. Your circumstances and situation may change in the future, and this is why it is important to establish just how long you will need finance for. You may be ambitious and think you can pay it off in a short time frame. However, if this leaves you with no breathing space, it could be over-ambitious.
Think About Using a Broker
There are lots of deals and offers to be had on loans and financing, and sometimes it can be challenging sifting through all of them. Utilizing a broker may be a good option for you – especially if you want to ensure you get the best deal/rate around. When you are looking at getting a loan for a campervan a broker may be able to save you a lot of hassle and get you better access to more preferential interest rates or repayment rates.
Affordability is a big thing when it comes to getting campervan finance. Using repayment calculators and looking at your incomings and outgoings to make sure that finance is affordable (even if interest rates rise) is important.