The RV Industry Association’s (RVIA) annual nationwide survey of RV lending portfolios revealed that in 2023, the dollar volume of RV wholesale loans exceeded $18 billion. Additionally, reporting institutions processed over 200,000 retail indirect loans to consumers, amounting to more than $9 billion in funded dollars.
The survey provides insights into the recreational vehicle market’s financial landscape. This focuses on financial institutions, covering both wholesale and retail indirect lenders, representing approximately 80% of RV lending activity in the United States.
The survey’s respondents also showcase extensive experience, with wholesale portfolio respondents averaging 33 years and retail indirect respondents averaging 29 years in the industry.
Additionally, the average down payment on retail indirect loans for RV purchases stood at just under 22%, while the average amount financed was $67,216 for new RV purchases and $64,635 for used RV purchases.
In 2023, the RV industry faced challenges, with shipments generally lagging behind the previous year’s figures for most months. However, the final two months saw growth, signaling a potential turnaround as 2024 approached.
Despite the downturn, the industry still managed to achieve 313,174 wholesale shipments with a retail value of $20.27 billion in 2023.
“Despite these challenges, the long-term outlook for the RV market remains favorable. Interest in the outdoors and RVing has exploded over the last few years,” RVIA said in a News & Insights report.
Interest in outdoor activities and RVing has surged recently, with the median age of new RV buyers now at just 32 years old. RV enthusiasts are enjoying the health benefits of spending time in nature.
Additionally, the RV industry remains a significant economic driver, with the latest Bureau of Economic Analysis data indicating that RVing has been the “top contributor” to the traditional outdoor recreation economy for the past two years.
According to RVIA, this survey, by documenting the stability and potential profitability of RV loans, serves as a valuable resource for RV industry members to educate banks and financial institutions about the RV lending market.
For more information about the survey, visit rvia.org.
