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20 May 2007

Campervan fulltiming

keywords: bed and breakfast, camper, campervan, contractor, fulltiming, holiday, road trip, smbcc, travel, vacation, van

I am considering fulltiming.
I thought that my budgeting could be interesting to someone considering the same.

It may at first appear that not paying rent will save lots of money but it may not be so simple. The conclusion is not as I expected.

Here are the basic figures, rough and ready.

Previous Rent:
£350/month (all inclusive)

Van:
£350 rent / month saved
Current vehicle is next to worthless = £200 saved

Recoup on cost-
£7000 = 20 months
£5000 = 14 months
£3000 = 9 months

But if only £200/month saved;
£7000 = 35 months
£3000 = 15 months

B+B:
£90 a week x4 = £360/month + £40 for mistakes = £400 / 2 for 180 days (here for half the year maximum) = £200/month

2 years of b+b = £4,800
2 years of rent = £8,400

But interest on investments is also lost with Van:

2% / month on £7000 = £140
2 years at 2% = £3,360
2% / month on £4,800 = £96
2 years at 2% = £2,304


Conclusion:
Using a £4,800 van for 2 years could cost me about £2,000 more than B+B. I think this is worthwhile `luxury`[sic] to pay for, but you have to remember that it is negative equity and not saving money.

Notes:
It is a saving of just £200/month at max in b+b. This saving will be even little less if I stay in some other kind of free accommodation.
Selling on the vehicle not taken into account.
Insurance tax etc remains the same as it is a replacement vehicle for something costing similar.

Pros:
All the freedom of a camper. And I can actually cook!

Cons:
Cost. Clearly this is not an economic move.
To get a cleaner vehicle than what I have now I have to spend inordinately more. The longer I can drive around in a cheap vehicle delay making that change the cheaper it is. However, if I am changing the vehicle anyway this cost is reduced.

1 comment:

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