Price For RV Rentals vs Owning an RV?
Price For RV Rentals vs Owning an RV?
Posted on November 1, 2023
Canadians have a deep-rooted love for the great outdoors, and for many Ontarians, the call of the open road, combined with the allure of nature, is answered by RVs. But should you rent or buy? Dive into the analysis by The Hitch House.
RV Travel: An Unwavering Canadian Trend
Ontario has witnessed an immense rise in RV travel between 2020-2023, much of it powered by pandemic-driven lifestyle shifts. With the modern work world evolving and remote jobs becoming commonplace, the dream of traversing the pristine landscapes of Ontario in an RV is more appealing than ever. Even with a rebound in conventional travel, RV trips around our majestic Great Lakes and through the heart of our provinces remain in vogue.
However, there's an interesting trend to note. While the RV lifestyle remains popular, RV sales are experiencing a deceleration. According to an RV Business report, 2023 projects a 32% decline in new RV shipments, in stark contrast to 2022. Still, the market for both new and used RVs remains robust, offering various price points for consumers.
So, for Ontarians with a penchant for RVing, what's the optimal choice: renting or owning?
Cost Implications: Renting vs. Owning
1. Types of RV and Its Value
The variety in RVs and their associated purchase costs is vast. For instance, a basic towable travel trailer might be available for a modest $25,000. Contrast that with Class A luxury motorhomes, where prices skyrocket from $250,000 to several millions. Ownership also brings additional costs: taxes and registrations. It's logical then that renting a smaller RV would be considerably cheaper than a luxury variant, often by hundreds of dollars per night.
2. Towing Needs vs. Stationary Rental
Ontarians need to remember that towable RVs require an appropriate vehicle for hauling. Alternatively, a stationary rental, positioned at a scenic Ontario park or a popular event like Toronto's Caribana, might be just what the doctor ordered. Some rental services even offer the convenience of delivering the RV to your desired spot.
3. Maintenance, Insurance, and Clean-up
Unlike regular vehicles, RVs demand heightened maintenance. Anyone who's cruised along Ontario's Highway 401 or ventured up North knows the toll our diverse terrain can take on cars, especially sizable RVs. Factoring in maintenance costs is crucial, and this becomes even more pronounced for motorized RVs with more components.
Additionally, insurance for a mobile abode like an RV, with its heightened risk of mishaps, is notably pricier than your usual home or car insurance. Then there's the cleaning. An RV will inevitably require comprehensive cleaning after exploring Ontario's diverse landscapes, from sandy beaches to forested trails.
4. Depreciation and Mileage
Much like cars, RVs suffer from depreciation, contrasting with static properties that usually appreciate over time. Mileage is paramount in this depreciation, which is why many rentals have a mileage cap, charging extra for overages.
5. Add-ons and Gear
The quoted price for an RV rental might be enticing, but be wary of additional charges. Essential items like cookware, towels, and camping gear can incur additional costs, quickly inflating the initial quote.
6. Variable Factors
Seasonality, the RV's location in Ontario, rental duration, and overall availability can also influence the rental cost. Popular times like the summer months or around public holidays like Canada Day might see a surge in prices.
Renting vs. Ownership: The Verdict
Given the diverse factors influencing both RV rental and ownership costs, making a choice isn't straightforward. However, it's essential to understand that owning an RV means incurring fixed costs regardless of its usage frequency.
For ownership, consider:
- Purchase price
- Registration and taxes
- Finance and interest charges
- Insurance and other associated costs
- Repairs, maintenance, and depreciation
- Essential equipment and possibly storage
Excluded are the costs you'd incur while using the RV, like fuel or campground charges, which remain fairly constant whether you rent or own.
Head to the Hitch House
For Ontarians pondering whether to rent or buy an RV, consider your travel frequency, budget, and willingness to manage an asset. Whether you're exploring Niagara's vineyards, the Ottawa valley, or the northern beauty of Thunder Bay, ensure your choice aligns with your lifestyle and financial means. Safe travels!
*All pricing is based on Ontario MSRP and does not include taxes and fees. Dealer pricing may differ. Prices are subject to change anytime without notice.