Will Inflation and Fuel costs=End of the MoHo boom
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busbuddy
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As the buyers of 2021 Van's are still waiting for them and future ones are sold into about 2024 I dont think we will see a downturn yet
I think the most were likely to see is flattening off of prices for a while on new and secondhand are then very unlikely to drop in value. So many variables might make a difference a big one could be a shortage of chassis to convert.
Clipgate
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Purchasing and utilisation reality is bound to strike many new motorhome owners between the eyes, then the on costs of a 10 year old unit that has been "Serviced" to a basic standard long term maintenance commitment combined will diminish the enjoyment.
So my best guess is new units will retain values, albeit only relative to replacement costs, the older unit will find homes, however at a price the market can bear.
The bubble as with all commodities will burst.
So my best guess is new units will retain values, albeit only relative to replacement costs, the older unit will find homes, however at a price the market can bear.
The bubble as with all commodities will burst.
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Can't see the ones with vans giving up but I think new purchasers are going to get way less as prices of fuel and vans go up and with covid finished and European package tours and cruise s coming up again.
I know that and I did post similar in another thread, but it is only a one off cost, a motorhome wants fuel ,tax, insurance, maintenance and all the other costs, all year, never mind paying for it in the first place.
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When I worked for Duracell during the 3 day week and rocketing mortgage interest rates we commissioned a survey from a leading international firm to determine what effect inflation would have on people's hobby spending.
The result was clear that it would have little effect. On the contrary it was found that rather than cutting back in times of financial stress most people turned to their hobbies as a source of relief and a sense of normality.
The result was clear that it would have little effect. On the contrary it was found that rather than cutting back in times of financial stress most people turned to their hobbies as a source of relief and a sense of normality.
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In the whole picture it really isn’t going to make much difference, but the headline grabbers and media will convince some they can’t afford it
Just did some quick sums, if the price per litre goes from £1.50 to £2, it adds just over £2 / gallon
We have just about the worst mpg at 20, so a 200 mile round trip will cost us an extra £20, quite a lot less for most
Once you add in meals out and site fees it will hardly be noticed by us at least
Hopefully it won’t reach £2 / litre, but if it does it would add £500 / year if we are ever lucky enough to do our pre Covid average of 5K miles
Just did some quick sums, if the price per litre goes from £1.50 to £2, it adds just over £2 / gallon
We have just about the worst mpg at 20, so a 200 mile round trip will cost us an extra £20, quite a lot less for most
Once you add in meals out and site fees it will hardly be noticed by us at least
Hopefully it won’t reach £2 / litre, but if it does it would add £500 / year if we are ever lucky enough to do our pre Covid average of 5K miles
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- Dec 24, 2014
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Mine's also 20mpg and I've cancelled a 600 mile round trip to visit family and ex-colleagues in Cornwall in favour of a 20 mile drive to France (i.e. it's a 20 miles drive from my home to Newhaven port). The fuel saving pays for the ferry (and I'd much rather go to France).
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We've just done the same calculation for our UK trip this year of of about a 1000 miles. It's amazing how the media hype us up to beleiving what they say becase I was thinking is this trip going to be ridculously more expensive. Then did the sums and it isn't goiing to ne unaffordable.In the whole picture it really isn’t going to make much difference, but the headline grabbers and media will convince some they can’t afford it
Just did some quick sums, if the price per litre goes from £1.50 to £2, it adds just over £2 / gallon
We have just about the worst mpg at 20, so a 200 mile round trip will cost us an extra £20, quite a lot less for most
Once you add in meals out and site fees it will hardly be noticed by us at least
Hopefully it won’t reach £2 / litre, but if it does it would add £500 / year if we are ever lucky enough to do our pre Covid average of 5K miles
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Coolcats
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Maybe but that assumes the hobby exists rather than spending £50K plus on newish MoHo. If Mortgage rates increase by 3,4,5 or more % people may take up knitting but unlikely to splash out on a newish MoHo
In the whole picture it really isn’t going to make much difference, but the headline grabbers and media will convince some they can’t afford it
Just did some quick sums, if the price per litre goes from £1.50 to £2, it adds just over £2 / gallon
We have just about the worst mpg at 20, so a 200 mile round trip will cost us an extra £20, quite a lot less for most
Once you add in meals out and site fees it will hardly be noticed by us at least
Hopefully it won’t reach £2 / litre, but if it does it would add £500 / year if we are ever lucky enough to do our pre Covid average of 5K miles
I agree - whilst very visible, fuel is not the major cost of driving. It is the depreciation/finance cost of the vehicle. This is true for mohos as well as cars. If it has an effect, it will be to reduce the rest of our discretionary spend when we arrive - meals out, etc.
People very quickly accommodate psychologically to these price rises - I remember when we were all fretting at the prices of around £1/£1.10 in the fuel crisis in the early 2000s. Those seem like dream prices now.
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Indeed; I should have clarified that it was for continuing with an existing hobby rather than taking up a new one requiring significant up-front cost.
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I think thats going to be the biggie it's the amount of disposable income which has so many factors mortgage rates, wages,cost of food and goods etc. I think a big part of the boom has been early retirement whether that continues who knows.
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Coolcats
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Thats what I mean by the the MoHo Boom may end and I suspect with increased economic hardship belt tightening will happen its not so much the fuel for a trip but overall costs people have in their life.
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I used to be able to brim my Mini (just under 5 gallons) for a pound, and Woodbines were 1/4d for ten.
Our 20,000 km annual usage was reduced to 9,000km per year as a result of Covid restrictions....this restricted us the travel only in Spain ( I know it's sad) but it had to be done...so....this sort of usage remains possible with a few tweaks here and there..with Murcian wine being far cheaper that Diesel I can see home stays remaining for some time yet...
Jonno1103
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I'd think many would opt for a 5 or 10 year fixed mortgage meaning the rate wouldn't effect them. We're currently going through the process of a final 10 year fixed with an interest rate of less than 2%. Neither of us have any other finance other than a couple of credit cards. We have an investment fund for times of trouble, say a new boiler for example. Informed a couple of days ago that since Putin invaded Ukraine it's lost 10% of it's value... 5 figures. The strange thing is that even through the pandemic it grew. Our Big Pharma shares haven't been effected... so far.
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Again it's a function of how much disposable income you have and how you wish to spend it. As DavidG58 says above it could cost an extra £500 per year. Based on that,if prices remain high for 2 years that's an extra £1000 to use your capital asset which probably cost circa 60k anyway so, looking at the bigger picture, it's an unexpected increase of 1.66% of thecost
Spread over the years of ownership,again say 5 years, it's £200 per year, less than £4per week.I would think that, if you have the wherewithal to own a motorhome the £4 would not be too restricting compared to the pleasure gained from being to get away relatively cheaply( compared to not having your own accommodation) for days,weeks, months at a time.
Put it another way , a decent hotel weekend away is going to cost circa £150 for 2 nights accom only in a budget type Premier Inn- and you've got to pay to get there so some travel costs- means that you've spent the £200 fuel increase on 2 nights away when, with your MH, you can have as many as you like.
Like most investments it has to be viewed over the longer term.
Spread over the years of ownership,again say 5 years, it's £200 per year, less than £4per week.I would think that, if you have the wherewithal to own a motorhome the £4 would not be too restricting compared to the pleasure gained from being to get away relatively cheaply( compared to not having your own accommodation) for days,weeks, months at a time.
Put it another way , a decent hotel weekend away is going to cost circa £150 for 2 nights accom only in a budget type Premier Inn- and you've got to pay to get there so some travel costs- means that you've spent the £200 fuel increase on 2 nights away when, with your MH, you can have as many as you like.
Like most investments it has to be viewed over the longer term.
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A £60 return ferry would be some result
Goes some way to covering the ferry though I guess, but in saving money you will actually be spending more
But you can't put a price on pleasure and enjoyment!A £60 return ferry would be some result
Goes some way to covering the ferry though I guess, but in saving money you will actually be spending more
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600 miles to Cornwall and back @ 20mpg requires 30 gallons at £7.20 a gallon which is £216.A £60 return ferry would be some result
Goes some way to covering the ferry though I guess, but in saving money you will actually be spending more
Ferry return (with 20% over 60's discount) is £186 plus 2 gallons to get to Newhaven port and back (£14.40) makes a total of £200.40 leaving me £16 for moules marinieres, crème brule and drop of plonk on Dieppe quay.
- Feb 24, 2013
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I was watching a program recently talking about mortgages and was amazed that apparently 80% + of mortgages are now fixed rate
Hopefully we can all weather this surge in fuel prices, falling back on unspent savings from the last 2 years
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While visiting the bank recently we were told that the (new) manager would like to introduce herself.
During our chat I asked if she had noticed any difference between the savings habits of us wrinklies and younger generations.
The gist of her comments was that many younger people do not save (this bank is also a building society) and much of what they buy is on credit.
I was shocked to discover (I know, I'm out of touch) that most new cars are in effect leased and that the monthly payment on many family cars is more than mortgage repayments.
So who's to know if someone's van purchase/ownership is "on tick"?
I think the generation who "were retired" prematurely is/was the golden age of disposable income and coincided with the end of a generation of savers and better pension schemes.
But that's only my opinion and although I've never been wrong in the past I could be this time
P.S. Can anyone tell me if it's true that some of the French vans who overwinter in the Algarve/S.Spain are the same ones that are hired to foreigners in the summer and are hired in the winter by French people at quite favourable rates?
But you only earned 1d a week rememberI used to be able to brim my Mini (just under 5 gallons) for a pound, and Woodbines were 1/4d for ten.
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When increasing the level of inheritance tax was being discussed I heard one Treasury official say that it would only be a short term gain from the current elderly who have property and savings since once the debts and loans have been settled on the estates of later generations there'd be nothing left upon which to levy inheritance tax.
I called in to ask about water and disposal at one commercial site in France during winter that was officially closed but allowed itinerants to camp there and other 'gens de voyage' to stay in caravans and chalets, paid for by the Government. It was in an awful state.
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If the 10% is five figures, you may be being a bit pessimistic about the price of a new boiler!
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