Caravan Finance & Motorhome Loans

There is no denying that interest in caravan loans has increased dramatically in light of Covid, the increased price of homes and the cost of living crisis. If you’re a New Zealand resident you have a world of adventure right at your doorstep! With many people not able to afford their traditional international breaks, there is renewed interest in domestic holidays and enjoying the beautiful countryside of New Zealand.

Yes. While local authorities are often sympathetic to those looking to pitch their caravan, the more common locations tend to be private pay campsites, designated camping areas and Department of Conservation campsites. You can also put your caravan on your private property but can only live there permanently for a maximum of 60 days per calendar year.

Here at Crester Credit, we provide caravan loans at rates between 13.95% and 26.98%, depending on your circumstances, credit history and the security you can provide. The rate is fixed for the entire term of the loan. This tends to be up to 3 years but can be extended in certain circumstances.

While there is nothing stopping you from living permanently in a caravan, it is not simply a case of pitching where you want and staying there indefinitely. To be classed as a permanent residence, the caravan must have access to a sewage system, greywater and rainwater and be considered separate from your primary home.

Contrary to popular belief, you do not have the right to pitch your caravan anywhere you want and stay there for even just a few days. The renewed popularity of caravanning in New Zealand has seen the emergence of caravan apps which will direct you to the nearest campsite. There are plenty to choose from!

Due to recent travel restrictions and the cost of living crisis, there has been a significant increase in the price of second-hand, refurbished and brand-new caravans. Many people now see an investment in a caravan as a long-term alternative to often expensive international holidays, offering greater flexibility when it comes to taking a break at short notice.

Insurance for your caravan is not a legal obligation, but it is sensible as repairs and maintenance can be expensive. While your home insurance may cover the contents of your caravan (essential to check), it is unlikely to cover any damage caused by flood, fire or theft. So if you’re wanting peace of mind it’s worth looking into!

Whether you have a static caravan or a mobile caravan, there may be the opportunity to make extra money by renting it out when not using it. It is important to be selective about who you rent the caravan to as there may be an increased risk of damage as well as general wear and tear. As the popularity of caravans has increased of late, this could be an interesting way to supplement the cost of caravans on finance.

Akin to a car, a new brand new caravan could lose up to 20% of its value as soon as it is purchased. After that, the value of your caravan is likely to fall by up to 10% per annum. To maintain maximum value going forwards, ongoing repairs and maintenance are essential. A well-maintained caravan could last for 30 years and beyond.