Community Forums

Sandy Swede · 06-20-2018, 01:03 PM

If it gets trashed by the renter, how much can you afford to lose (i.e., worst case scenario)? With a high-risk venture such as this, if you are not prepared to absorb the worst case scenario, the odds that you will experience one increase exponentially. Remember, you start out with only one unit (all your eggs in one basket). And financing it to boot? If you want a MH but can't afford it without renting it out that should tell you something about the relative risk.

But hey, it's your money (and, I guess, the bank's), so do what you will. Remember the old Animals song, "It's my life and I'll do what I want." I have paid a few "tuition fees" in my life. Best of luck to you on whatever you decide.

tcg · 06-20-2018, 05:51 PM

I think the advice you are getting is from people who would never rent their personal unit. I wouldn't either.

The wife and have talked about buying a second unit strictly for renting.

The first stop should be an insurance agent to find out what type of insurance is available for the business you are about to set up.

If a renter destroys the rig and you have the proper business insurance and liability insurance you should be covered.

My concern is personal liability so your next stop should be an attorney.

Setting up a proper business will take some money up front over and above the cost of the rental unit.

I set up an S Corp and an LLC as an S corp without an attorney. It's possible but if you're new to the whole process you really should consult an attorney.

Could you make money? Sure, but maintenance, whether you do it or you pay someone has to be considered.

What if it comes back damaged and you can't get it repaired before the next scheduled renter? You better have contracts that will hold up in court should you not be able to deliver.

A lot of those issues could be solved by using a service that handles the insurance and booking but that's going to cut way into you're profits.

I would never use a service without consulting with an attorney to be sure you're covered.

My biggest fear would be being sued. If all the contracts and insurance is in place you would still have to pay an attorney to defend you.

Worse case scenario, a tire falls of the rig causing death and destruction.

You should know if your behind and personal assets are covered.

That's probablly the single reason we won't do it.

Of course people don't get rich without taking chances.

FatChance · 06-20-2018, 07:57 PM

Not even rock star groupies? That sounds a little harsh....

sdennislee · 06-20-2018, 08:12 PM

Quote:

Originally Posted by FatChance

Not even rock star groupies? That sounds a little harsh....

Harsh it is but really worried what they might be doing in my bed.

wnytaxman · 06-21-2018, 06:34 AM

Any business venture comes down to a risk versus reward type of analysis. When we were looking at purchasing our Entegra we also contacted a rental company that rents out high end units. From a financial standpoint, it can be worth it, providing, and this is the biggie, nothing goes wrong.

The company agreement stated that any damage would be paid by the renter, but “normal” wear and tear may occur. Now, who is willing to define “normal” in this context? Will it be your definition or will it be the renter’s definition, or will it be the rental company’s definition? Even though there is a credit card on file, there can be disputes as to the legitimacy of a charge.

As others have stated, unless you are well covered by insurance and have a friendly law firm in hand, this can be a very risky proposition.

Milesyb1 · 06-22-2018, 10:42 AM

I'm really just trying to understand all the risks. I could pay cash for one but I really don't want to invest more that 20-30k if I go that route. I thought about doing a pop up camper for cash and starting there and working my way up to a Class C. I would look at like a rental property and as long as I'm cash flowing something and can scale it up over time it would be worth doing.

Mike and Cha · 06-22-2018, 05:02 PM

I would not do it for the reasons already mentioned.

WeatherTodd · 06-22-2018, 05:14 PM

I like how the folks that "nay say" about the type of renter... and the horror story is laughable to boot.

I take it those folks have never been to a NASCAR event...lol. The Daytona 500 sells out ALL the infield spots. ALL of them... months in advance.

Lets take Cruise America. They are in the rental biz. They order coaches with out awnings and pretty basic systems on van bodies. Usually about $150/day... plus mileage.

I find it hilariously amusing that everyone who doesnt like "renting" has some story about a group of frat boys, shirtless drunk nascar fans, or party animals trashing some coach.

Renters dont respect things is the justification given?

Come off your high horses.
FYI... rental agreements have damage deposits. Also the peer service has avenues in which to make a claim for damages.

Ive done well with my rental because Im in an area that hosts ALOT of big events. I have also made direct contacts with various event principals that call me direct instead of using a peer service.

Bob_C · 06-22-2018, 05:24 PM

I wouldn't want you sleeping in my bed......you'd leave to much attitude there....

two-niner · 06-22-2018, 05:45 PM

My niece, Karen Murphy, had a Class "B" RV rental company in Anchorage, AK. For her it was a very profitable business.

She had twelve late model rentals. She once mentioned the lower limit of RVs, in order to make money and fulfill the contracts (renters flew in from the lower 48) was six ready to go. She normally had all twelve rented, most with local hunting guides who looked out for her vehicles. That was the key as the guides made sure the equipment was not abused.

A Traveler · 07-01-2018, 09:37 AM

I think that what this really comes down to is how “personal” your motor home is to you.

Horror stories aside, I would not want to rent our coach to someone else because the renter would be living in our personal home. My wife and I truly enjoy living in and traveling in our coach. It is, quite literally, our home away from home. They key word there is “home.” We have decorated it, modified it, improved it and made it into a genuinely enjoyable, relaxing living space. We simply would not be comfortable allowing someone else to use our “home.” It’s not a wear and tear issue for us, it’s a personal comfort issue.

If you have a less personal attachment to your coach, then renting may not pose the same problem for you that it does for us. But that personal attachment is why we would never consider renting our coach to anyone.