With nearly one million registered caravans in Australia often sitting idle, owners are increasingly turning to the sharing economy to offset rising ownership costs.
The shift comes as soaring petrol prices lead many “grey nomads” to stay put or minimize long-distance travel to manage expenses, according to an article by Yahoo Finance.
Justin Hales, CEO of the ASX-listed platform Camplify, noted that most caravans are unused for approximately 48 weeks of the year.
To simplify the rental process, the company is launching several depots along the eastern seaboard to manage vehicle handovers between owners and families.
A significant financial incentive for owners is a 2018 Australian Tax Office (ATO) ruling that allows for tax deductions on RV-related expenses without requiring the activity to be registered as a business.
Under these rules, owners can claim pro rata expenses—including finance, insurance, maintenance, and depreciation—based on the period the vehicle is available for rent.
For example, if a vehicle is listed on the platform for 50 weeks, the owner may be able to claim 90% or more of their costs against their tax.
While owners must declare rental income—typically around $200 per day—the ATO requires detailed record-keeping to ensure all deductions directly relate to the sharing of the vehicle.
The current geopolitical climate and rising jet fuel prices are also expected to drive more families toward domestic motorhome holidays.
Hales suggests that owners who are currently reluctant to travel due to high fuel costs can instead use their vehicles to generate extra cash through the platform.
However, retirees traveling full-time must be mindful of how their lifestyle affects government benefits like the Age Pension.
If a caravan is used as a primary residence for more than a year, it is considered an exempt asset; conversely, a stationary home then becomes an assessable asset valued at its current market rate, which could impact or cancel pension payments.
This trend is highly relevant to the outdoor hospitality and RV industries as it creates a secondary market that lowers the barrier to entry for new campers while providing financial relief for existing owners.
By transforming idle assets into revenue streams through peer-to-peer platforms, the industry can maintain high levels of participation even during economic downturns or periods of high fuel volatility, ultimately supporting the broader ecosystem of holiday parks and regional tourism.