Go Back   iRV2 Forums > MOTORHOME FORUMS > Class A Motorhome Discussions
Click Here to Login
Join iRV2 Today

Mission Statement: Supporting thoughtful exchange of knowledge, values and experience among RV enthusiasts.
Reply
  This discussion is proudly sponsored by:
Please support our sponsors and let them know you heard about their products on iRV2
 
Thread Tools Search this Thread Display Modes
 
Old 07-14-2014, 07:15 PM   #1
Junior Member
 
5string71's Avatar
 
Tiffin Owners Club
Join Date: May 2012
Posts: 28
Anyone ever been in an upside down situation and got out of it?

Looks like we may have gotten ourselves in an upside down situation. We were looking to try and move up to a 40' coach in diesel but looks like it may be next to impossible in the situation we are in.

Has anyone had any luck getting out of a situation like this while trading up and if so who did you deal with?

We like the coach that we currently have we are just wishing that we has waited and gotten diesel and a few other amenities.

Thanks for the input.
__________________

__________________
5string71 is offline   Reply With Quote
Join the #1 RV Forum Today - It's Totally Free!

iRV2.com RV Community - Are you about to start a new improvement on your RV or need some help with some maintenance? Do you need advice on what products to buy? Or maybe you can give others some advice? No matter where you fit in you'll find that iRV2 is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with other RV owners, see fewer ads, upload photographs, create an RV blog, send private messages and so much, much more!

Old 07-14-2014, 07:36 PM   #2
Senior Member
 
CJBROWN's Avatar
 
Workhorse Chassis Owner
Join Date: Jul 2006
Location: Orange County CA
Posts: 936
We would probably do the same. Bought new with zero down 10 years ago and have more than likely been $20-$30K upside down since. It's not a problem unless you want to make a change.

Like my sales guy says (we've bought 2 from him) "Don't talk to me unless you've got at least ten grand cash." LOL.

Depending on what you buy and how much cash you have, you may be able to bury some of it in the next coach.

I hear the folks that got hit the hardest this past 5 years were the ones that bought $50K toy haulers. They build them cheaper now, and the used market just sucks on them, so their value has dropped 90% today.

OTOH people getting into RV'ing look first for a 4-6 year old coach so if you get into a high-volume dealership they're liable to offer top $$ as a trade. They know they can move it easily. A dealer has an easier time selling than a private party. They make sure they show well and they are professional closers. Find 'em and grind 'em, as they say.

Also, if you can find an under-market deal it's easier to hide negative equity and come out alright in the end. The other way to do it is really high-end - the amount of $$ generally is less of a percentage for the whole deal. For example, let's say you are $25K upside down and you buy a $400K motorhome, it's pretty easy to hide the $25 in the deal. You still end up paying it, but it's less painful.
__________________

__________________
Chris & Sherry Brown - 2014 Anza Borrego Weekend Trip Report
2005 Itasca Sunrise 31W - W20 and 8.1
2015 Chevy Colorado 4X4 Toad
CJBROWN is offline   Reply With Quote
Old 07-14-2014, 08:05 PM   #3
Senior Member
 
Vintage RV Owners Club
Fleetwood Owners Club
iRV2 No Limits Club
Join Date: May 2014
Location: Gosnell, AR
Posts: 483
The only way to cut your loss is by trying to sell the mh yourself. You may still lose some money, but not as much as you will by trying to trade it in. Remember, you lost some $20,000 the minute you purchased the mh, and you will never get that back. The dealer is giving you wholesale or less for your outfit, whereas if you sell it yourself you can get close to full retail price for it, which will hopefully pay off the balance of the loan against it, or at least get you close enough to it that you can make up the difference.

When I sold cars for a short while, I quit because of all the dirty, fast talking, deals that were being made, I would advise people in your situation to try and sell it themselves and come up with the difference to payoff the loan and then find a car they were looking for.

Car dealers love trade-ins because they make a killing on the used car plus a healthy profit on the new car and the buyer is cheated all the way around. Coming in to buy a vehicle with no trade-in puts the buyer in the best possible position of at least getting a fair deal.

As a side note, as nice as a 40 foot dp is, if they break down you will spend a long time waiting for a tow truck to come as most of them will not pull a dp because of the problems involved with getting them ready to tow. I learned this because we had 4 breakdowns on our last trip, all of the parts were new but they failed anyway, all 4 drivers told us the same thing. And if you have to pay for the tow yourself, expect to pay $700+ whereas a gas tow will be in the $4-500 range and you will find a tow truck much more willing to come and get you.

Good Luck!
__________________
Berniece & Russell with LilBit a Netherland Dwarf rabbit
1987 Southwind, 1995 Ford F150 Supercab 4X4 toad
Life in the fast lane? No thanks! We will stop and smell the flowers at every chance.
Grandpere is offline   Reply With Quote
Old 07-14-2014, 08:32 PM   #4
Senior Member
 
CJBROWN's Avatar
 
Workhorse Chassis Owner
Join Date: Jul 2006
Location: Orange County CA
Posts: 936
Yep, selling as a private party can net you more $$. However it can be difficult competing with the dealers, and you have to get enough exposure to find a buyer. Plus it's hard to get as much as a dealer would, so there's that consideration too. Getting a fair deal has to do with knowing what your unit is worth in your market. If there's good demand for what you have there will always be people looking. It just has to be priced right to get them to act now, otherwise you just get a bunch of looky-loo's.

I sold cars for a short stint too, have bought and sold dozens of them, and my brother in law sold for 15 years, so we know all the games.

***********
So here's a story of upside down that might entertain you, and at least you'll feel like you're less worse off. LOL

My sis and b-in-l bought a '08 or '09...or maybe it was a '10 Winnebago Voyage. I remember when they called and they were all excited because they got one like ours. We've all had motorhomes for a bazillion years and they started making a lot of money so they bought one.

It wasn't 6 months and they hated it, they hated the ride, and it wasn't fancy enough, and they decided they needed a diesel, so they traded it for a 40' Tour. I'm not going to throw out dollar figures for each trade, but you can get an idea on your own...

So it was like a couple of years and they saw the new 42 Tour with a way cooler floor plan so they traded the 40 in on one. I think that was a '12. Now the problem is they got one with so many problems they started to hate it and kept talking about trading it off. Every time they went out something would breakdown or quit working. He hit a big rock in a campground trying to maneuver the thing, spent lots of money on detail people keeping it shiney, and then finally just decided there were too many problems with it.


So now they're on their way to CA from PNW last fall and they get an hour from home and he decides he's hungry so they stop for a sandwich. They're sitting their with their 3 dogs and up rolls this guy in a golf cart and they start BS'ing and talking about motorhomes. Turns out the guy is from across the street and he sells motorhomes so he brings them over to show them a new Entegra Cornerstone. Now that is a top of the line motorhome!

The rest is history - they traded the problem Tour in for a half-million dollar coach. It is nice, but gee, it's 45' and 600hp and there aren't many parks that have room for those. And I'll bet they've lost more in depreciation on all these motorhomes than most people spend in a lifetime on buying them. At least in my case it is. LOL.

So don't feel bad, it's all part of the game of having fun in life and doing what you want!
__________________
Chris & Sherry Brown - 2014 Anza Borrego Weekend Trip Report
2005 Itasca Sunrise 31W - W20 and 8.1
2015 Chevy Colorado 4X4 Toad
CJBROWN is offline   Reply With Quote
Old 07-14-2014, 08:58 PM   #5
Senior Member
 
BobGed's Avatar
 
Tiffin Owners Club
Join Date: Oct 2008
Location: Carson City, NV
Posts: 1,942
I see you have a Tiffin and if you're considering moving up to a Tiffin pusher, here's my recommendation.

Call Karen at Sherman RV, Sherman, MS, Tiffin Motorhomes Mississippi Allegro Bus for Sale | Sherman RV 1-866-842-7620 (located about 50 miles from the Tiffin factory). She is a 100% straight shooter, and if anyone can help you work out something, she can.

She will probably ask for a few pictures of your current rig, and as long as you're honest with her about the overall condition, she will honor whatever trade-in value she quotes you over the phone.

Even if you ultimately don't do anything with her, you will know exactly where you stand.
__________________
Bob, Sherron & Kinsey (Goldendoodle)
2017 Tiffin Phaeton 40QBH
2014 Jeep Cherokee Limited
BobGed is offline   Reply With Quote
Old 07-14-2014, 09:32 PM   #6
Senior Member
 
89sandman's Avatar
 
Join Date: May 2012
Posts: 883
I'd say its time to learn to live within your means. Why would anyone compound this problem by buying another one and going farther into debt?
__________________
89sandman is offline   Reply With Quote
Old 07-14-2014, 09:53 PM   #7
Senior Member
 
CJBROWN's Avatar
 
Workhorse Chassis Owner
Join Date: Jul 2006
Location: Orange County CA
Posts: 936
Quote:
Originally Posted by 89sandman View Post
I'd say its time to learn to live within your means. Why would anyone compound this problem by buying another one and going farther into debt?
I'd say you're not anybody's dad here and it's not your place to say what people SHOULD do.

For my entire life, some 57 years, I have always financed the big-ticket things I've owned. I've used them, bought and sold them, and had a whole lifetime of experiences. In my sis' case it was just a payment - whatever you wanna drive i'ts just a payment - so a half-million dollar coach was simply a payment.

Now I'll share another little tidbit of information as to why sometimes people do what they do....

Thirteen years I ago my 37 y-o wife was diagnosed with lymphoma. She went thru 18 weeks of chemo and she looked like walking death. They said they cured it and she has had no recurrence for these past 13 years. My sister just went thru the same thing for breast cancer then surgery to remove everything and rebuild, and now faces radiation since it spread to lymph nodes. And my B-in-Law I just told the story about died last week - he was diagnosed with lung cancer not even a month ago and didn't last but about 3 weeks.

So we don't skimp and save and wait to do stuff 'till we have CASH in hand to pay for it. We borrow on our house, we have credit cards, we owe a half million at least. So we make interest payments, just like our government does. And we a are DOING IT NOW - WE ARE NOT WAITING for some rainy day.

Hate to burst your bubble, but people have differing priorities in life than YOU DO.
__________________
Chris & Sherry Brown - 2014 Anza Borrego Weekend Trip Report
2005 Itasca Sunrise 31W - W20 and 8.1
2015 Chevy Colorado 4X4 Toad
CJBROWN is offline   Reply With Quote
Old 07-14-2014, 09:56 PM   #8
Senior Member
 
ChallengerRN's Avatar
 
Join Date: Dec 2012
Posts: 2,079
If you are thinking of moving up. My guess is if you get that pulled off your payments will be much higher.
So maybe make 12 of those higher payments on the one you have now and maybe you will be right side up. ??
__________________
ChallengerRN is offline   Reply With Quote
Old 07-14-2014, 10:07 PM   #9
Senior Member
 
phil57's Avatar
 
Join Date: May 2012
Posts: 275
God love you CJBROWN. Well said. I'm not saying be foolish but get out their and enjoy your life. I hope to have a zero balance sheet when I die.
__________________
phil57 is offline   Reply With Quote
Old 07-14-2014, 10:54 PM   #10
Senior Member
 
brian-nicola's Avatar


 
Fleetwood Owners Club
Join Date: Sep 2012
Location: Vancouver Island, BC
Posts: 818
I agree with CJ, in the dollar value of these coaches there is all kinds of room to fudge the books. As long as the payment is about the same, who cares. It's not like you are purchasing an asset that increases in value, its just a payment you have fun with whilst the bank lets you use it. Equity means nothing unless you are cashing out, life is short-live it full. Somebody on this forum once said, buy your last motorhome first! Lastly, if you are buying new it is called warranty. Ours came with 1 year bumper to bumper including 24/7 roadside assistance including towing, after that we purchased 7 more years bumper/bumper including towing for $4500, valid anywhere in North America
__________________
Brian & Nicola
2013 Discovery 40E "DISCO"
TOAD 2014 Wrangler
Xeena(German Shepard)
brian-nicola is offline   Reply With Quote
Old 07-15-2014, 12:48 AM   #11
Senior Member
 
gruelens's Avatar
 
Join Date: Jul 2012
Posts: 1,289
Has anyone had any luck getting out of a situation like this while trading up

Investing in rolling stock, with rare exception, produces negative financial returns. Investing in larger rolling stock .........

I would be thankful for the gasser you have and like.
__________________
George R. - Fulltiming since January '03
2007 Newmar Mountain Aire 3991
2012 Chevy Malibu LT1
gruelens is offline   Reply With Quote
Old 07-15-2014, 12:54 AM   #12
Senior Member
 
cochise1949's Avatar
 
Winnebago Owners Club
Ford Super Duty Owner
Join Date: Aug 2013
Location: Lake Elsinore, CA
Posts: 202
Anyone ever been in an upside down situation and got out of it?

We traded up three times in this century. Each time we had to dip into savings and make up the downside. Figured we were spending
Our kids' inheritance.
__________________
Bev& Keith
Kyriana(14)Aidan(11), Emily and Olivia (2) Grandchildren
2014 Winnebago Adventurer 38Q
2013 Honda CRV, Roadmaster Falcon AT, Invisibrake
cochise1949 is offline   Reply With Quote
Old 07-15-2014, 01:40 AM   #13
Senior Member
 
mojoracing's Avatar


 
Fleetwood Owners Club
Ford Super Duty Owner
Join Date: Oct 2013
Location: northern IL
Posts: 2,557
You need a dealer smart enough to work with you. First find out how much you can buy the new one for with no trade. Tell the dealer you have yours sold. Second find out how much you can get approved for on the new one. (loan to value wise) This will tell you how much you can roll into the new loan. You can then sell your coach on your own hopefully getting closer to the payoff amount than you can by trading. If you can get close enough between the amount you can borrow on the new coach and what you are getting from the private party, you now involve the dealer. Bring your buyer to the dealer with the understanding that the dealer takes yours in trade for the amount you are selling it to the private party for and he immediately turns around and sells it to that party. This way you don't have to lay out the difference in negative equity, you can just roll it into the new loan. The dealer can also then show your old coach as a trade which will help out with taxes. Hope I explained it well enough. Your basically finding a buyer for your trade at full retail. The dealer won't mind at this point because he is at least selling a new coach and you don't have to lay out the cash for the negative equity for the period between selling your coach and buying the new one. pm me if you have any questions or want to run an idea by me. As a dealer their are many ways to get creative. You just have to find a dealer willing to jump through a few hoops to sell a coach.
__________________
2014 Fleetwood Bounder 35k
mojoracing is offline   Reply With Quote
Old 07-15-2014, 06:10 AM   #14
Senior Member
 
Join Date: Sep 2012
Posts: 5,976
I'm not sure the dealer won't mind. He is obligating himself to extra paperwork and at least an implied warranty if he has his name on your coach sale. Better one sells one's coach for the ridiculously high price of dealer or dealer plus then use the proceeds against a new coach. Better yet stay in lover with the coach you have.

FWIW I understand credit well enough to know the Bankers love people who consider everything a payment. That idea is fine if one has to keep up with the Joneses. OTOH one also has to have enough income to equal or exceed the payments to pull it off. Too many people and our government miss that point.
__________________

__________________
nothermark is offline   Reply With Quote
Reply



Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


» Virginia Campgrounds

Reviews provided by


Copyright 2002- Social Knowledge, LLC All Rights Reserved.

All times are GMT -6. The time now is 12:55 PM.


Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.