So, the question is how to sell a camper that has a loan? From my 1 st hand experience, I’ve since learned that there are a few methods.
The best way to sell RV by owner is to sell privately or to a dealership. The goal is to get enough money from it so that you can pay off the lien and transfer ownership of the camper.
Sometimes, the lien debt can be transferred to the buyer, in which case you should expect a transfer fee. The cost of such a fee varies depending on the bank or lending institution.
If you set a price that is above market value, it’s going to take longer for you to sell but you will ultimately get more money. On the other hand, if you set the price below market value it’s more likely to sell quicker. So, it really comes down to how urgently you need to sell your camper.
In order to determine your camper’s value and to get a baseline, you have to take a couple of things into consideration.
The value is not the equivalent of what you originally paid for it, including registration fees, insurance fees, and taxes.
The best way to find a price estimate for your camper is to check a price guide, such as the National Appraisal Guides (NADA), and compare it to a similar unit, including the model, brand, and manufacturing year.
Other qualities that you need to factor in are mileage, mechanical condition, and location.
Just to give some perspective, and this is something that I found quite surprising at first; a camper that is in very bad condition and another one that is in good condition but has less mileage can cost the same.
So, the very first step is to find out exactly what the true value of your camper is.
After this, you should compare this with the amount of money you owe due to the lien, because if your camper is worth less than what you owe, then you should be prepared to lose money in the sale while also complicating the selling process as a result.
The two best ways to sell a camper are through the private market or go through a dealership. Both options have their own advantages and disadvantages to them.
To sell privately, all you need to do is post an ad in a newspaper or online. It’s important to note that you have to be clear about the fact that there’s still a lien on the camper, so your ad will have to be compelling if you want to attract any buyers.
As long as your camper is a relatively new model, clean, and well kept, then you won’t have too much trouble finding buyers and you will be able to sell for more than you would at a dealership.
If your camper is dirty and damaged, then you’re going to struggle to sell it even at a very low price.
This method tends to take weeks to months long.
Even before I knew whether or not I was going to sell my camper to a dealership, I still got a quote from them to make sure that the price I had in mind was a fair one.
Selling to a dealership is the easier method for many reasons, one of them being that they might take responsibility of the lien.
The problem is that they won’t take it for a high price, since they intend to make a profit off of your camper in the future.
Moreover, the dealership may already have direct contact with your lending entity, whether it’s a company, bank, or person. They can also easily arrange to have the camper towed if need be.
This process normally starts with the dealer checking out your camper to estimate a fair price. As long as you think that the amount you’re being offered is fair, then I recommend you go for it. Then the process can start with paying off the lien holder so that the title can be released to the dealership.
Always ask for written proof from the dealer that the loan balance is paid off before handing over the keys.
To sell your camper, you need a title of ownership, photo I.D. or driver’s license, RV consignment agreements, power of attorney form, information of liens, and bill of sale RV with lien.
When selling privately, you may want to use an escrow account to add an extra layer of security. With this method, the purchaser deposits the sale money into an escrow account which is only released to the seller once the title transfer has been completed and the lien has been released.
This service does require extra fees that are usually split between the buyer and the seller since it protects the interest of both.
To finish the sale off, you will need to arrange a meeting to get the title signed over to the buyer. The lien debt can be paid off by the seller or by having the debt transferred to the buyer.
In the case that they don’t take the lien off your hands and you still can’t pay off the loan after the sale, some banks offer a bridge loan. This is basically a new loan that covers the difference between what you owe and what you’re selling the RV for.
If the debt is being transferred over to the buyer, then you can expect a transfer fee. The cost of such a fee varies depending on the bank or lending institution.
All of the above is why selling to a dealership can be much easier than selling privately. Plus, you don’t have to worry about setting up any meetings between all parties because the dealership can just assume the lien debt by issuing a letter to the lienholder instead.
Here are some other options to selling an RV with a lien. The following are options for those who would rather not get rid of their camper, perhaps you are only looking to sell it to get rid of the debt but you’d actually rather continue to camp and travel with one. Below I have one method which can help you seek a more affordable RV and another which you can make some money to pay off the lien and still keep your camper.
Perhaps you’d like to get rid of your existing RV, not because you’d like to give up the camper-life, but rather simply to pay off the lien; in which case, you should look into trading your camper for a more affordable one.
After trade-in, the amount you still owed would be tacked onto your new load which is then spread out in payments over a longer period of time so that the monthly cost is doable for you.
This isn’t always an option though, since a bank doesn’t typically loan out more money than a vehicle’s worth.
When not using your camper, you could rent it out as this can help with the lien – if you’re comfortable with it.
There are plenty of websites that can help make this easier, as renting out RVs has become very popular in the last couple of years. Such websites normally handle any deposits and payments as well as offer roadside assistance.
This section is not directly associated with how to sell your RV, but rather it is information about selling it when the bank has the title.
It’s really not as complicated as it might seem. The process begins like normal; find the true value of your camper and then find a buyer. Once you’ve done this and agreed on a price, you need to contact your bank who will then give you what is called a ‘10-day payoff amount’. This means that if you send the payment within 10 days of the quote, there won’t be any additional charges. However, if you fail to do so, the bank can hold the title until any other charges have been paid.
Make sure your bank knows where to send the car title, especially if the transaction is being paid in cash. In the case that the RV had a loan, then the buyer’s bank will most likely contact yours and have the title transferred.
That’s it really, it’s just a matter of contacting your bank.
You can still sell your camper privately or to a dealership even if you owe money on it with a lien. You need to be completely transparent about the fact that there is a lien, and most times the ownership can’t be transferred until the debt has been paid so you need to try and make a profit that covers it when selling. Sometimes, the lien gets transferred when sold, or a bank offers you a bridge loan that covers the difference between what you owe and what you’re selling your camper for.
When buying a camper privately with a lien, you can make a check to the lien holder and the owner together to ensure that the payment definitely gets to the lienholder. Alternatively, you could go personally to the lienholder’s offices to make the transaction.
To sell your camper, you need a title of ownership, photo I.D. or driver’s license, RV consignment agreements, power of attorney form, information of liens, and bill of sale RV with lien.
Once you’ve found a buyer and agreed on the price, you need to contact your bank who will then give you a ‘10-day payoff amount’. This means that if you send the payment within 10 days of the quote, there won’t be any additional charges. However, if you fail to do so, the bank can hold the title until any other charges have been paid.
Make sure your bank knows where to send the car title, especially if the transaction is being paid in cash. In the case that the RV had a loan, then the buyer’s bank will most likely contact yours and have the title transferred.
The simple answer is maybe. Some RV loans cannot be transferred to another person. It’s simpler just to sell your camper and get enough money for it so that you can pay off the loan and then transfer ownership of your RV.
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