Caravan renovation loans are financing options to cover the cost of converting a new or used delivery vehicle to a campervan fitout and for renovating old RVs. While buying a RV ready to travel or holiday is the most popular way to enjoy the caravanning lifestyle, many people prefer to create their own RV with a conversion of renovation. The option may be preferred as a more economical purchase, for using their skills on a productive project, to recycle and reuse old models and to enjoy the retro styling of 1950s and 1960s caravans.
While converting and renovating may be less expensive than buying a vehicle ready to travel, the costs of buying the vehicle and the materials and work involved can be significant. As specialists in RV financing, we provide affordable loan options for both the vehicle purchase and the works.
What are caravan renovation loans?
A loan for the purpose of renovating a caravan is financing to cover the costs, trades and materials for the work involved in refurbishing a RV or converting a van to a campervan. This type of credit is provided with an Unsecured Personal Loan.
Unsecured loans are versatile finance products as they can be approved to fund many purposes as the purpose of the loan does not need to be provided as the loan collateral. Many non-goods purchases can be financed with unsecured credit. Individuals with few or no assets to provide as loan security can be approved for unsecured loans.
With the lender not having assets to secure the loan, the interest rates on unsecured loans are higher than for secured credit products. Unsecured loans can be arranged with either a fixed or a variable rate of interest. Variable rate loans can be subject to change if the lender changes their rate on that specific loan. Lenders typically alter interest rates when the Reserve Bank makes changes to the cash rate. If the interest rate on a variable rate loan is changed during the term, the monthly repayment would also change. A fixed interest rate does not change over the term. The term for unsecured loans, with both types of rates, is usually fixed.
Loan limits on unsecured loans may be lower than for some secured loans. Lenders do have their own minimums and maximums on their unsecured personal credit products. The amount a borrower can include in their loan is determined when the lender establishes their borrowing capacity. This is the total amount that a lender will extend to that individual for an unsecured loan. Financials, income and credit profiles are reviewed to determine the limit approved for each borrower. Request a free quote to establish your borrowing capacity.
Caravan Renovation Loans for Conversions
Converting an existing van to a campervan is extremely popular and can present an affordable alternative to purchasing a completed model. Conversions include purchasing a van and then carrying out the work. Financing both parts of the project may require two loans – a secured loan for the van and an unsecured loan for the conversion work.
Many campervans are built on Volkswagen Transporter, Mercedes and LDV vans and Toyota HiAce bases. Secured loans are available for both new and used vans. While considered motor vehicle finance, we can assist you with that type of finance.
The work required to turn the van into a campervan would be financed with an unsecured loan. Subject to lender approval of the amount required, the loan may cover all the materials as well as work completed by tradespeople and other specialist cabinet makers and fit-out experts. F
Caravan Renovation Loans for Restorations
If your project involves renovating or restoring an old, vintage or rundown RV, an Unsecured Personal Loan may be arranged to cover both the purchase of the vehicle and the works. Most vehicles selected for these types of projects would not be considered suitable collateral for a Secured Caravan Loan. An Unsecured Loan may be required for that purchase and the loan total may be combined with the cost of the work, supplies and materials, subject to lender approval.
Working Out Your Finance Budget
Unsecured Personal Loans may include many of the materials, supplies and engaging contractors for the fit-out. To get started on your project, finance estimates can be worked out using our Finance Calculator. The calculator is easy to use and all the values entered can be changed to obtain estimates based on different amounts.
If unsure of your conversion budget, estimate the total loan, use our current rate on Unsecured Personal Loans and the preferred term you would like to repay the loan. The monthly repayment will be displayed. Change the total loan to get another repayment estimate to compare. Work up as many options as you need to establish an affordable, workable budget for your project.
To find out how much you would be approved to borrow, contact us for a quote or submit your application.
For caravan renovation loans for your conversion or restoration project, contact Jade Caravan Finance 1300 000 003.
DISCLAIMER: THE DETAILS AND INFORMATION IN THIS CONTENT ARE PREPARED AND PRESENTED PURELY FOR INFORMATION AND NOT INTENDED IN ANY WAY AS THE SOLE SOURCE OF FINANCIAL ADVICE FOR CARAVAN PURCHASING. IF ADDITIONAL FINANCIAL ADVICE IS REQUIRED, READERS SHOULD REFER TO A FINANCIAL ADVISOR. NO LIABILITY IS ACCEPTED FOR ANY ERRORS, PRODUCT DESCRIPTION VARIATIONS, OR OTHER MISREPRESENTATIONS OF INFORMATION AS PRESENTED.
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