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Here is a some capsulized input from one who has been 'round the track on towing vehicles behind motor homes for a few decades.
I have always preferred flat towing to a dolly. It's one less piece of equipment you have to deal with, park, maintain, etc. The dolly will run anywhere from $3k or more down to a good used one for around $500.00. Proper brakes for the dolly are a big issue.
The cost of flat towing will depend on the vehicle: whether it can be towed flat without need of a transmission pump to circulate fluid. If you have a flat tow capable vehicle, the base plate will run about $500.00 installed. If you get supplemental brakes, which are suggested in nearly all cases, they will often cost around $1,000
If you adapt a vehicle that is not flat tow friendly, a transmission pump will cost around $1,000 installed, unless you have some good connections.
There are several vehicles that do not require transmission pumps. In general, Jeeps and 4-wheel drive vehicles that have the capability to set the transmission into neutral are easy to set up. Often the Motor Home magazine and others will list flat tow vehicles. Honda CRV is an example of flat tow that even specifies how to do it.
Also, you can't just assume that all manual transmissions are towable. Toyota, for example has problems with proper lubrication, even in manually shifted cars and trucks and cautions against towing their 5-speeds flat. Go figger.
Weight is a big issue to consider. The heavier the tow vehicle, the greater the need for a good braking system. I have always opted for a smaller, lighter tow vehicle after towing a Grand Cheokee and later a Honda Pilot, both very heavy vehicles, I now have a little Ford Focus 5-speed that weighs under 2500 lbs. It's usage is primarily for a tow vehicle so I keep the bigger SUV home. I have also down sized a bit from a 350 Cummins in my former Country Coach to Chev Workhorse in my Adventurer.
Hope this helps. Happy Camping.
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'06 Adventurer. Number 12 motorhome over 51 years of RV'ing.
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