The Courts at Roadhaven in Apache Junction

 How Much Will It Cost Me?

(Also see the section on Renting vs Buying)

If you are buying a place you can spend from about $5,000 to over $200,000. If you are renting, you can spend from about $800 a month to well over $2,000 per month. The price ranges are a reflection of the trailer (see: the Park Model Trailers section) and the park. (see: the About RV Resort Parks section)

Also, rental prices can be quite different depending on which months you are renting. January to March is the peak season and generally the higher rents. Some good bargains can be had during other winter months.

Unitl you have some idea what appeals to you your costs are hard to estimate. But ...

... it is Affordable !!!

Any option, whether renting or buying, is more affordable than most alternatives you will find for spending winter time in a resort. 

Rents at $1500 per month, or even $900 in December, translates into a pretty reasonable
cost for spending time in a winter resort environment.

If you saw this ad for a winter resort I think you would be attracted to the price and all that it Includes ... yet that is what it costs you to rent a very nice unit in a top park. Or you can probably own your own unit for even less.  

You are Buying a Lifestyle

We keep referring to the lifestyle throughout the site. That is because it is exactly that. It is a lifestyle more than a piece of property. 

As with other decisions regarding your lifestyle there are choices to make when considering taking up residence in an RV Resort Park. You do need to browse around the site to see what is available and how that fits with what your interests are.

Begin with the assumption that you are buying a lifestyle. No different than reviewing information on a vacation. You begin with your interests to decide where to go before checking out the rates for accomodation. This is really no different.   

Of course your budget is important and that needs to be part of any decision. So once you have a good idea what parks and situations appeal to you then you can look at some listings and see what you can afford. 

Choices and More Choices

Just like any real estate marketplace the options are wide-ranging and will depend on some key factors and choices.   

• Renting a trailer for the season or part of the season
• Buying a trailer on a rented lot in a privately owned park
• Buying into a resident-owned park and owning a share in the park
• Trailer age, condition, and ammenities
• Park facilities, activities, services, and security 
• Location including location within the park 

The trailer owners we talk to have quite a range of opinions regarding the best way to approach this lifestyle. From renting every year to investing heavily in a resident-owned park.

Some say they do not want any heavy long-term commitments at this stage of life. Others feel they can only relax if they have the security of ownership ... 'never have rented and never will'.

Renting year after year is not that common. The uncertainty of not knowing where you will be next year is not too comforting. But renting first before buying is common. Trying it out by renting is often how people 'get sold' on the lifestyle.

Because the investment can be so modest (when buying a unit and renting the lot) there are some who feel they hardly have much to lose. The worst thing that can happen is they lose their whole investment. But if that is only (say) $10,000 then it is really not a lot more than some people spend on a single vacation.

Each Park is it's own 'Miniature Marketplace'

While reviewing park model listings and sales we noticed quite a difference in prices from park to park. Similar units would be priced by as much as double from one park to the next one down the street. Its like they were in different cities.

What tends to happen is that each park is almost its own marketplace. If there are a lot of units for sale in that park then the prices are lower. If few units then the prices are higher.

This happens because of the limitations (and expense) of moving a unit from one park to another, Also, some parks are more popular than others so of course the supply and demand are at play.

The Current Market

The combination of recession, depressed real estate market, and the value of the Canadian dollar all play a part in the RV Resort Park marketplace.

The market has been a little hard to read this winter. It seems the demand for rentals is very strong but park model unit sales not as much. It appears those 'new buyers', who have not spent time in a park, are heading more for the 'bargains' in condos and houses. 

There may also be a bit of 'wait and see' happening. Units (especially the higher priced) tend to sit longer before selling. But at the same time we have heard stories about "zero places to rent for next year" in a very large park. Last year at this time we looked at postings for a couple dozen rentals on the local bulletin board in that same park.

It is a bit of a 'market transition' period. All those new retirees opting for condos and houses does not bode well for longer term park growth. But the strong rental demand also suggests there should be lots of potential future buyers. Once they experience a park they will get attached and not want to move. They will then buy in that park.  

The Canadians are Coming!   

The strong western Canadian economy combined with the higher value of the Canadian dollar is definitetly having a real impact on Canadian investment in Arizona housing. And that includes some park models.

We have been somewhat surprised at the amount of interest we continue to see from western Canada compared to the northern U.S. states. We do advertising of this site by region and then monitor the activity. All of our ads in Canada still produce better results than those south of the border.

And that dollar factor is huge. When it goes up in value Canadians head across the border to spend. And that now includes real estate. Many Canadians will tell you that they are amazed at the number of people they know who have headed to Arizona to buy that retirement place.   

      This  Market is Different

The marketplace for park model trailers in RV Resort Parks is 'different' than the traditional real estate market. The owners are far less likely to face financial problems than the general working population and to most of them this is not their primary/permanent home.

They are also not faced with mortgage problems and potential foreclosures. In most cases the motivation to sell their unit has little to do with 'needing the money', they can more afford to 'wait it out'.  

Alternatives are now More Affordable - But 'be careful'

But what does happen is that the alternatives to a park model trailer become more affordable and that does impact the marketplace.

The real estate market in the Phoenix area is in considerable turmoil. It is one of the hardest hit areas (from the housing meltdown) in the United States. Foreclosures can be seen pretty well anywhere and there are bargains to be had. But some bad experiences as well!

There are some snowbirds who opt for (say) a more traditional condo unit rather than buy in an RV park. When those condo prices are down considerably then naturally more people will be attracted to that option. That means they may decide on that condo unit rather than a higher end park model. Once that happens then it impacts down the line to even the low priced older trailers.

Another noticable factor are the bargain hunters who are buying more traditional real estate in the area in anticipation of their future retirement. It is common to see media reports on some Canadian couple picking up a bargain because they are nearing retirement and want to buy now while prices are attractive.

But be careful. The alternatives to the RV parks seldom offer the security and lifestyle available in the parks. There are a few horror stories involving short sales and properties with hidden problems.

'Gated' community may not mean 'guarded'. That condo may be a great deal but remember you are not there for at least half the year. And you are looking for a lifestyle not just a building. Few condo complexes offer the lifestyle available in the RV parks.

It is difficult to know how the real estate marketplace will wash out over time in the Phoenix area. Most expect it will come back in the next few years and that may be the case. One concern is that there are a lot of sales involving speculators. As speculative buying increases it can itself drive up prices but that is also somewhat short lived. 

One advantage of the RV Resort market is that it tends to be far more stable. While impacted for sure it is not subject to the same dramatic swings. The market is different.  

Is it the 'Time to Buy'?  

The end result may be viewed as 'the time to buy'. And that may be the case. Of course no one knows for sure where demand will go but certainly there are indications over the past year that deals can be had.

While watching prices in the parks over the past year or so there were some indications of many older units going 'pretty cheap', some as little as $2 or $3,000. Others sit for sale for quite a while. And you are now seeing units in the resident-owned parks starting at (say) $60k instead of $80k.

There are also some special deals being offered by some park operators. It is fairly common to see operators offering one year rent free if you buy a park model from them. One larger operator has even offered a rent free year plus the moving cost of your trailer if you move into their park.

Of course these are only personal observations but the general talk around the parks was that demand and prices were down. But still nothing to indicate a reduction of the magnitude faced in the area's residential real estate market.