Needed £25,000. Loan.

Clottie66

Hi. I've never had a loan before as I prefer to pay everything in cash. My only debt would be £9,000 on my mortgage. I'm wanting to buy a new motorhome, the cost being £40,000. However, I only have £10,000. I could save up the money in about 3years (but my elderly parents, who I want to take in the motorhome, are already 86 and 90). Most of the loans seem to be at a maximum of 25,000. Any ideas of what I could do would be appreciated. Thanks.

Tixy

Its generally unsecured loans that anks often limit to £25k.

Secured finance/hire purchase may be a sensible way to finance a motorhome.

I'd probably first speak to the vehicle dealer and see what sort rate they may offer.

Clottie66

Thanks Tixy, but the percentage rate they require is 9.8% which is way to high.
I'll keep looking!

Tixy

You could consider look in to borrowing secured on your house/extending your mortgage, that might mean you can obtain a cheaper APR.
Although obviously there is an added personal risk to that, and isn't generally advised to secure debt on your property unless for property/property improvements etc.

Peelerfart

Alternatively,

Buy a base panel van suitable for conversion,hopefully negotiating a good rate with the dealer, and use your £10K to pay a smaller professional convertor to equip the van the way you want it.

poppasmurf_bewdley

Peelerfart wrote: »

Alternatively,

Buy a base panel van suitable for conversion,hopefully negotiating a good rate with the dealer, and use your £10K to pay a smaller professional convertor to equip the van the way you want it.

Which is a much more cost efficient way of getting yourself a motorhome. The usual run of the mill motorhomes are reknown for being way overpriced for what they are.

For the price of one motorhome, you could buy a car, say a new Mondeo Titanium Estate AND a caravan which will give you two or three times the amount of space you get in a motorhome, and still have change left over. And you don't have the disadvantage of having to take everything with you every time you want to go off site.

Herzlos

Yeah that was my first thought - You can get a decent new caravan for £15-20k, which means you wouldn't be borrowing much.

You might need to upgrade car to tow it, as you'd likely need a full size diesel estate/saloon.

Why a motorhome specifically?

I'd also look at borrowing whatever you can unsecured at a better rate, and take the dealer finance on the rest, but the outgoings could be pretty high.

Red-Squirrel_2

Motorhomes tend to age well and last, have you looked at getting an older one for a lot less than 40K? Even 10 or 15 years old and it could still be in good nick.

They aren't always ideal for very elderly people though, depending on their health/fitness. Steep steps to get in and out, beds aren't brilliantly comfortable, tiny bathroom areas.

Clottie66

Thanks so much for the replies. Food for thought.

A base panel van sounds very exciting. I didn't think that was even an option. How do I start? Where do I find a reputable crafts person to be able to kit it out? Sorry, even more questions!

I sold my caravan two years ago as I struggled reversing onto a pitch which really annoyed me as I knew lots of people were watching thinking typical blonde! Also dad was poorly so we weren't getting the use out of it. Therefore, I thought a motorhome would be better suited to me, and also, I could take my parents out for day trips etc and we would have everything with us!

I've been looking at preowned cheaper options but they're still expensive. And I know you only get what you pay for, so I didn't want to get something cheap if it was going to cost more money in the long run or that I might have problems with it.

Thanks x

Herzlos

You can get towing lessons to help with caravan, or a caravan mover. But it's really just down to practice.

The main reasosn I was put off from a camper van is that you need to put everything away to take it out (so you couldn't pop down to the shops whilst they have a nap), and it's a huge vehicle to take anywhere; you're going to struggle to find anywhere to park it in particularly busy areas.

charliewocka

OP, do an internet search for VW T4 T5 conversion. There's loads there. Any panel van can just about be converted. Mr FW is in process of doing one at the moment with his dad. Just got the pop-up roof installed last weekend. They're doing most of the work themselves as a project but there are companies who can do everything for you.