The number of bank repo motorhomes has been increasing with the economic downturn and high unemployment. Many people have found themselves unable to keep up with the payments on their RV because they have lost their income or seen it decreased dramatically. This has led to an increase of repo motorhomes for sale, making prices very low and motorhomes of all types and sizes very affordable for those looking to get their first one or upgrade to something bigger or nicer.
How Motorhome Repossessions Occur
When a motorhome owner stops making payments on their loan, the bank notifies them that they will be starting the repossession process. If they do not get caught up, the bank then takes back the RV and ownership of it. The bank sells the motorhome to recoup as much of the outstanding loan and their other expenses as they can.
Bank Repo Auctions
The majority of bank repo motorhomes are sold at large, local RV auctions often with other repossessed vehicles like cars, trucks and boats. Each will have a starting bid that will be the beginning price which will go up incrementally from there. Bidders continue to outbid each other until no one wants to pay more than the highest bidder. That person then buys the RV at that price, regardless of whether it is higher or lower than the RV’s market value.
Finding RV Auctions
The internet is great for searching for auctions online as well as information for live auctions around the country. Many sites require a small fee to fully access all the features they have available, but if they provide useful info, then it is definitely worth it. Contacting banks and credit unions that offer RV loans to ask them which auction agency they send their repossessions to is another way to locate auctions. If they can’t provide the details of the next auction, the agency running it certainly will be able to.