Owning an RV is an experience like no other! Being independent of hotels and able to camp wherever your wheels can take you is a liberating feeling. However, there comes a time for some RV owners where they aren’t taking advantage of this ability enough, or they are doing it so much, they’re ready to upgrade to the next RV! So how can you get the most out of selling your RV investment? One great option is RV consignment! When owners consign an RV, they give the job of selling the RV to a third-party or dealership. Not only does consignment save the hassle of sorting through buyers, but it also may increase visibility to a wider audience. It’s both a safe and easy way to sell your RV.
What is RV Consignment?
Most people consign an RV through a dealership, which handles the whole process of selling your RV. The dealership snaps the pictures, posts the unit on their website and through classifieds, takes the phone calls, shows the unit, and processes the paperwork. This means consignment is not a “sell your RV for cash” deal or trade it, but more a partnership with the dealership or seller you chose. Simply put, you provide the RV, the dealer sells it, and you both share in the spoils!
How Does RV Consignment Work?
RV consignments work by a third-party seller or dealership selling your RV for you, but they share in the profit with commission from the sale.
This is what you can expect when you consign an RV:
- The seller consignment periods are usually one to three months.
- Consignment fees vary from fixed rate commission to percentage based on final sale.
- Dealerships can take care of any tune-ups needed to increase resale value.
- You may want to purchase RV consignment insurance.
Is Selling Your RV on Consignment a Good Idea?
If you want to sell your RV with the least amount of effort, then RV consignment is for you! Not all owners want to take on the role of “salesperson.” It’s a lot of time and effort to keep up with buyer communications, scheduling appointments, showings, negotiations and filing paperwork.
Here are the advantages of consigning your RV:
- Convenience. The seller takes care of all the advertising, showing, negotiations, and money handling. You just collect your share at the end.
- Saves Time. You don’t have to worry about wasting time with buyers that are not serious. This includes last minute appointment cancelations and waiting on return texts or phone calls. Also with dealers, they naturally have more foot traffic, so they can sell your RV quicker.
- Safe & Confidential. Since your presence is not needed in the sale, your identity is kept anonymous. Additionally, since dealerships show and sell your RV there, you don’t have to be exposed or handle exchanging of money. This keeps both you and your home safe.
- Earn More Money. Even though you may have to pay seller fees and commission on the final sale, you may end up getting more through RV consignment versus selling your unit by yourself. Dealers have a much larger audience and offer financing, which inreases sales potential.
How Much are RV Consignment Fees?
When working with a dealer, you may elect to have one of two ways to split the sale. The first method is that the dealer will take a straight percentage on total sale. The alternate method involves a base price being set, and then the dealer takes any earnings above that price as commission. For example, say your RV is listed at $70,000 but sales for $75,000. With the first method, the dealers cut would be $7,000 if the straight commission was 10%. The second method would yield the dealer $5,000. Of course, there can be other fees and optional costs like tune-up and detailing. However, these “extras” could add perceived value to buyers and result in greater profit on the sale.
Is RV Consignment Insurance Needed?
It is not necessary to purchase, however, in some cases, it is worth it for protecting your investment and giving you peace of mind. For example, a potential buyer could dent your motorhome on a test drive or break a fixture when viewing your towable. Unfortunately, many traditional RV insurance policies will not cover your RV when it’s with a dealer. You don’t want damages like this to bring down your sale value, and this is where RV consignment insurance has you covered. It’s important to note, though, that Courvelle’s won’t allow any test drives of your RV unless the buyer has gone through prior credit approval, helping to protect you rig before purchase.
How Do I Find Out How Much My RV is Worth?
Getting an estimate of how much your RV is worth is very easy online. Just like a car, you need to know the make, model, milage, and year of your RV. Additionally, condition and extra features may also help with accuracy. With this information, you can plug it into NADA Guides, RV dealer consignment forms, or various RV classified websites to get an idea of the going rates.