Use a Consignment Seller for Selling Your RV
RV Quick Tip #2
What is an RV Consignment Seller?
Simply put, an RV consignment seller is a person or company that will take your RV, on consignment, store it on their lot, and represent you as they try to sell it for you.
For doing this they will be paid a set percentage of the final sale price, which is typically 10%.
You can find consignment lots all around the country, but they are more prevalent in the warmer climates of the country where there are more RVs being used by the public.
The smaller lots may be owned and operated by an individual and the larger ones may be run by companies that operate several such sales lots.
A local consignment seller will offer to store your RV on their lot and they will even list it on their web page, and most of them may even occasionally place it into an advertisement in the local and regional newspapers.
And, they will normally have someone present on their lot during weekly working hours, and a 24-hour call line for taking appointments.
A Contract with a Consignment Seller
These consignment sellers will contract with you to show your RV to potential customers who show up or who contact them; and they will even negotiate a best sale price with each potential customer.
When you sign a contract with a consignment seller, you will state a minimum price that you will accept for your RV and remember that they get their percentage from that contracted minimum price.
This way, if they negotiate a sales price that’s higher than your minimum specified limit, they can even close the deal for you if you give them your approval.
They will even handle all of the paperwork for you.
Advantages of Using a Consignment Seller
Most of these consignment sellers are popular for several of the things they offer an RV owner who is looking at selling their RV, as listed here.
- Probably the most popular thing they do for an RV owner who no longer needs an RV is they will store your RV on their lot while it is being sold. This gets that big camper off of its owner’s property (or storage site) while it is no longer being used.
- You may get your RV sold more quickly. Because it will be sitting on a professional sales lot, it will get more exposure to the general public and the odds of a sale are higher than if you were selling it yourself.
- Your consignment seller will have a sales person on the lot during normal weekly work hours and they will be there to show your RV to any potential buyers who are stop by or call them.
- The sales person will show your RV and they will attempt to work for an offer and if things go well they can immediately handle the negotiations and possibly finalize the sale of your RV for you right then.
- For security these lots are well lit and fenced, plus there should be security cameras on site to discourage potential thieves. And, if your RV is in a well lit lot, it is being seen by everyone who might drive by and become interested in your RV.
Important Tips, if You Use a Consignment Seller
Have a Clear Title
Using a Consignment Seller to handle the sale of our RV is an easier process if you have a clear title on the RV. In fact, many of these sellers will not handle your RV if you have a loan on it because the process of making a sale is much too complicated for them.
Your Minimum Price
Make sure you have a minimum price that is low enough to make your RF desirable to the largest possible audience. Setting a minimum price that near the actual retail value of the RV or even higher will not help the consignment seller make a deal for you.
Check your contract to make sure they follow the norm for consignment sellers; which is to charge you a flat 10% fee for handling and selling your RV, regardless of how long they keep it on their sales lot.
This fee may seem like a lot of money, but they do take a lot of the burden of selling off of the individual owner.
To help you keep your perspective on how high this fee is, you need to realize that your RV may sit on the consignment seller’s slot for months before it sells and all of this time you are avoiding a storage fee.
It is normal for a consignment seller to come to you with low offers that are below your minimum limit. Remember they are looking for a sale and they will always try to get you to accept a lower price if they do get a serious offer.
Just accept the fact that even though you had a minimum price you would accept for your RV, they will know, as you should, that your RV is dropping in value every month.
Because of this constant reduction in your RV’s book value you should first accept this reality, and go onto NADA every month to make sure you are keeping up with your RV’s true value.
Select your Seller Carefully
If you want to use a consignment seller, take care before you start your search. Find one that has as large a lot loaded with RVs as possible. The more they have on their lot, the more people will stop by searching for an RV.
And, take the time to read their standard contract to make sure it doesn't have any suspicious terms or conditions for you to accept. A reputable dealer will present you with a simple contract and will have a clean and secure lot for presenting your RV to the public. In fact, you should run a local BBB check on any consignment seller you may be thinking of using.
Consignment sellers are a great option for certain RV owners who are looking to sell their RV with a minimum level of involvement in the actual sale process.
This content is accurate and true to the best of the author’s knowledge and is not meant to substitute for formal and individualized advice from a qualified professional.
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© 2020 Don Bobbitt