Watching the used RV marketplace for indicators of what the future holds? The wholesale RV price crystal ball is a bit dim this month. Mind you, because it takes a while for numbers to filter in and get compiled, our report shows what happened in February—and it’s a mixed bag. But stick around: We do have some advice from Black Book’s market watcher, Eric Lawrence, that you’ll find useful.
Look at the trend lines
“The wholesale auction results last month were mixed,” reports Lawrence, “with motorhomes’ values increasing and towables’ decreasing.” If you’ve been following the market, you’ll know that motorhomes, for months and months, have been doing a ‘sawtooth’ thing. Up one month, down the next. It’s no different for the February sales. The average selling price for motorhomes rang in at $55,203. That number is up $1,652, or 3.1% from the previous month—January.”
With motorhomes up, towables in this mixed bag month were down—but ever-so-slightly. The average towable crossed the auction block at $18,167, down $162, a minuscule 0.8% from last month—January. Lawrence says the figure is so close, that it’s well within a margin of error.
“Forget month-to-month figures,” advises Eric Lawrence, “look at the trend lines.” So what do the trend lines show on the graphs? See for yourself.
For motorhomes, the insane, meteoric rise that peaked out in 2021 was just that—a peak. For used motorhome prices, things have been on a gradual decline since then. What about towable units?
What about fifth wheels and travel trailers? In general, the towable market is showing the ability to hold its own. Still, like motorhome prices, towables have settled back into more “normal” ranges since 2021 is behind us, and the crazy “get away from COVID” thinking is history.
Lawrence feels that towables are becoming more attractive because of what’s happening with America’s “daily drivers.” We’re not talking about the folks behind the wheel, but rather, the wheels themselves. More and more Americans are calling pickup trucks their daily driver, and so, it naturally follows that buying a towable makes more sense than buying another something with an engine to fix. He also points to the RV industry’s pumping of more “whistles and bells” into towable units. They’re less spartan and more homey.
And a projection for the future?
Looking at the wholesale market more closely, Lawrence points out that spring is generally a time when we’d see dealers stocking up. But there’s a bit of a slowdown here. He comments, “Many dealers we have spoken to are still working on moving their remaining 2023 model year inventory, so this year’s rise may be delayed or less noticeable than in years past.” Lawrence’s projection for the future? “We’re in spring,” he says. “Expect prices to bump up a little, but not a lot.”
Final factoids
Winding up the statistical part of the report are these factoids. One year ago the average motorhome sold for $62,690 and the average towable unit brought $21,077. Let’s get back to thinking about trend lines—only in real numbers, not a graph. Comparing year-to-year, motorhome values have dropped 12.2%, and towables 14.8%. Compare this against the still-upward-going overall inflation rate.
And our final statistics? First, the number of used rigs going to auction. Motorhomes increased 22.5% while towables rose 11.9%, comparing February sales to January’s. And last, the average age of motorhomes was nine years old (2015) and towables were five (2019).
Parting advice for all RVers worried about getting rig repairs
Whether you’re in the market to buy a used RV or not, Lawrence’s last advice is something for everyone. It’s a matter of getting service when you need it. “Try to build a relationship with your dealer,” coaches Lawrence. “It could be as simple as buying odds and ends.”
Odds and ends? Instead of jumping for the cheapest price on whatever gee-gaw you need for your RV at, say, Walmart, make it a point to buy it from an RV dealership that has a repair shop. “You’ll be there, talking to them face-to-face, making yourself recognizable.” That’s important, says Lawrence, because, “Walmart’s not going to fix your RV.” You may spend a small percentage more for that holding tank chemical at the RV dealership, but when it comes time to get something fixed on the rig, spending a few more bucks on chemicals and accessories could mean you’ll get in ahead of others who “saved” money buying elsewhere.
While the wholesale RV price crystal ball may be dim, Eric Lawrence’s advice may be a good light bulb for a lot of us.
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I am just looking at the average prices mentioned above. Where do towable and motor homes start in price to get to that average. What brands are they? Both numbers seem low. Thank you.
Susan, the prices reported here are wholesale at-auction prices, the kind dealers would pay to get a rig to put on their lot, mark up, and sell to the typical consumer. The prices are averaged across all the auction houses that Black Book keeps tabs on; depending on just what crossed the block in the given month can have a large impact on the ‘average price.’ As to where the low-end, high-end points are, Black Book doesn’t present that information.
“Less spartan and more homey”, more bells and whistles w/regards to towables, really? It’s really a matter of want and need. You may want (like) it, but do you really need (use) it? Just more time in the shop due to the fact that the technicians or RV repairmen aren’t going to know how to properly fix it, lol!
I laughed at that statement in the article! All we’ve been seeing in Tony’s RV reviews for some time is the term “decontenting.” The trend is that RV manufacturers are now putting LESS content in their rigs to reduce cost. And the costs are more normal? Still look pretty high compared to pre-covid…of course there’s that inflation thing…..
I think the idea of buying stuff from your local dealer instead of the Wally is a good idea. Any time you don’t buy from the Wally is a good idea.
4 years ago we sold our towable bumper pull for 10% less than we paid for it 8 years ago. And now we’ve sold our 5th wheel for 10% less than we paid for it 4 years ago. I would consider that typical depreciation. We bought the 5th wheel at the beginning of the COVID downturn (discounted price) and sold it at this post-COVID downturn to buy a new destination trailer at a HUGE discount. I do feel for all those folks who bought during COVID panic pricing. I suspect many (if not most) are upside-down on their loans. I don’t feel for the greedy RV manufacturers & dealers who resorted to price gouging during the COVID panic. It’s time they feel the sting.
Thank you, Russ and Tina! 🙂 Yes, I can do that; buy odds and ends when we take our rig for service. I appreciate the advice; thank you! Safe travels, too! 🙂