RV Repossessions: How to Find the Best Deals on Repossessed RVs for Sale With the current economy, most people looking to buy an RV or trailer are searching for a great deal. One of the best ways to do this, is to buy a repossessed RV sold at RV Auctions. As some people have gotten tighter in their personal finances, RV and trailer repossession have been increasing.
Why are repossessed trailers and RVs such a great deal?
Buying these RVs or trailers you can save 50-80% off of retail. Just like car repossession, RVs and trailers are repossessed when the owner cannot make their payments. Usually they are a few months in arrears before the lenders repo the RV. However, unlike cars, you are more likely to find a great well taken care of trailer or repoed RV. RV owners usually have great credit when they buy their RV. Most RV lenders will not lend without a credit FICO score of at least 720. So most of the people who get to the point of repossession have really fallen on hard times, but they are usually very responsible people, which can mean great things for you…the new owner of their repossessed RV. Once the lender repos the RV or trailer, they are taken to a local auction and sold to the highest bidder. The lenders are bankers and not sales people, so they are usually not attached to a fixed sales price. Most often a lender will give you a “steal of a deal” in order to get rid of the “bad debt” on their books. Don’t be afraid to ask, you never know what a lender is willing to give an RV or trailer that has been repossessed for.
Most often, auctions in which they sell the repossessed RVs and trailers are ongoing. The auctions will often be held at the same time and place repeatedly. So finding out where these auctions are held is key to your savings. The easiest way to find the auction is to go to a local RV dealer that specialized in selling used cheap RVs. They probably know where all the auctions are and you can cut them a deal. For a nominal fee they can go to auction with you or for you and help you find a great repossessed trailer or RV. Another way you can find these auctions is to look in your local newspaper regularly. The auctions are not always advertised in the local paper, so you need to look online as well. Sometimes sites like craigslist.org will advertise RV repossession auctions. As a last resort, you can ask a local RV lender. This may take some time and determination, but your hard work will pay off in the end with huge savings on a great used RV. Another option is an online rv auction.
In most states you don’t have to have dealers’ license in order to bid at auction on a repossessed motorhomes for sale or trailers. But you will have to ask around to be sure. Be ready to go with your cash to the auctions. Most often you will have to pay right away for the RV repossession you have just purchased.
You will find two main types of auctions for repossessed RVs. There is a live auction where your bid is given aloud against others bidders vying for the same bank repossessed RV. And there are silent auctions. In this case each bid is placed in a sealed envelope and highest bid wins. In either case you will have the opportunity to inspect each of the repossessed trailers & RVs to decide which ones you want to bid on. Be sure you know, or bring someone with you who is very knowledgeable about RVs & trailers you don’t want to be caught with a lemon. If you don’t know now, however, you can always learn. Below are some great resources to teach you everything you need to know before buying a used or repossessed RV.