bluewander Posted April 9, 2011 Share Posted April 9, 2011 Hi, this is my first post! My wife and I are looking at buying a new motorhome from a company called Motorholme on their buy to let scheme. I buy the motorhome, a brand new Mooveo P6 and then use their marketing to rent it out to cover the finance costs and end up with a brand new motorhome for almost free! YES, I know that this sounds to good to be true, so was wondering if any of you seasoned posters had any experience or knowlege of this or similar schemes? Thanks in advance for any help! Jon - hoping to joing all you wandering motorhomers very soon! Link to comment Share on other sites More sharing options...
flicka Posted April 9, 2011 Share Posted April 9, 2011 Hi Jon & welcome to the forum. I think you answered your own question. If it sounds too good to be true - in all probability it is.. But consider:- I - You have a Motorhome that is not necessarily your prefered choice of layout / No. of travel seats. 2 - Insurance costs will be substantially higher. 3 - How much of the Hire fees are retained by Motorholme (will definately be in their favour, but with low outlay by them) 4 - Hire vehicles will not be looked after by the hiree ? the same as an owner, resulting in broken equipment, neglect, etc.. Who will be responsible for the repairs ? 5 - Lost revenue due to repair works from 4 above. 6 - Depreciation of the Motorhome will be substantially more than Owner only use. 7 - Motoholme (& others) want fresh new models to offer customers, so how long do they guarantee to keep your Motorhome available for hire through their system ? 8 - If returns are so good, WHY don't Motorholme purchase their own Motorhomes ? 9 - How many weeks is the Motorhome available for your own use. 10 - You lose the ability to take sontaneous trips, as the Motorhome hire season co-incides with the time most people want to use the Van themselves. There is an add that regularly appears saying "a Bristol couple received £6k in returns from hiring their Motorhome" (not sure which company) so to get a Motorhome for "Free" you would need c 7 years hire fees to recoup initial outlay, but a Motorhome hired out on a very regular basis for 7 years would be seriously WORN-OUT, both mechanically & internal equipment. I'm sure others will come up with more reasons why not. I've not been convinced by any reasons for (to date). Link to comment Share on other sites More sharing options...
jhorsf Posted April 9, 2011 Share Posted April 9, 2011 Come on you are not really asking this are you? if as the company says it pays your finance and makes money why do they need a mug sorry customer to buy one?What do they need you for? to lose money maybe?Wake up and smell the coffee Link to comment Share on other sites More sharing options...
malc d Posted April 9, 2011 Share Posted April 9, 2011 What happens if you don't find enough people to rent it out to ? :-( Link to comment Share on other sites More sharing options...
thebishbus Posted April 9, 2011 Share Posted April 9, 2011 HI. Well it seems to me, that the company,wants you to buy the MH, not them, then they act as letting agents for you, expecting the rental to cover the purchase price, plus a profit for them. 8-) Brian B. Link to comment Share on other sites More sharing options...
BGD Posted April 9, 2011 Share Posted April 9, 2011 Here's their website: http://www.motorholme.co.uk/check.asp If you believe their patter, I've got a bridge that I know you'll just really wanna buy............. Link to comment Share on other sites More sharing options...
dawki Posted April 10, 2011 Share Posted April 10, 2011 Wow just had a look at that site, it sounds fantastic I’m definitely going to sign up for 1 or maybe half a dozen it’s such a good deal. (^) cheers Dawki Link to comment Share on other sites More sharing options...
francisgraham Posted April 10, 2011 Share Posted April 10, 2011 I really can't understand the cynicism here. This firm will sell you a motorhome or you can register your existing one. Now, as long as the price you pay for buying from them is competitive, what have you to lose? The company then adds your 'van to its fleet of hire vehicles and presumably it will take a commission from the hire charges. Considering that many motorhomes are unused for months at a time and, if their owners are still working and can't take long holidays, what can possibly be wrong with renting out your 'van when it's not being used? Downsides are of course that you are renting your 'van and other people will be using it. The plus side is that you could make several thousand pounds a year from hire charges and of course hire charges are calculated to more than compensate for the increased wear and tear and consequently lower price when you sell it. If this scheme is legitimate, and it appears to be, then I can see no problems, assuming of course that you are happy with strangers using your 'van. Many people are struggling to run or buy motorhomes in these difficult times and what's wrong with a scheme that helps them to cover costs? If the customer feedback is genuine, then this firm is going to be successful and I for one am not going to accuse them, with no evidence, of fabricating the feedback. It's not to say though that I wouldn't check it out if I were partaking. There are companies out there charging lots of money to rent out motorhomes, so presumably there's a big market. This simply enables individuals to participate and make some money from it. There appears to be no risk involved apart from the fact that you may not rent it as often as you wish but if you're going to buy a motorhome anyway, or you already own one, what have you to lose? Link to comment Share on other sites More sharing options...
thebishbus Posted April 10, 2011 Share Posted April 10, 2011 I agree the system can work,but I think they are a bit optimstic how much money can be made. The trouble is how many weeks can it be let.? There are only about twenty main summer weeks, some of which cannot be used because of overlapping collection and return dates. I think it would take a long time to get your money back, and what condition would the van be in at the end.? Brian B. Link to comment Share on other sites More sharing options...
francisgraham Posted April 10, 2011 Share Posted April 10, 2011 thebishbus - 2011-04-10 9:02 AM I agree the system can work,but I think they are a bit optimstic how much money can be made. The trouble is how many weeks can it be let.? There are only about twenty main summer weeks, some of which cannot be used because of overlapping collection and return dates. I think it would take a long time to get your money back, and what condition would the van be in at the end.? Brian B. Last year I rented a motorhome so that we could try one out before buying. It cost £1800 for two weeks. Costs range from £600 per week to £1000, depending on season, and these prices are for fairly modest 'vans. There are dozens of companies out there renting motorhomes, so there is obviously a market and I'm not sure that it's confined to just twenty weeks. Retired people may well rent one in Spring or Autumn when the prices are lower. If you can only manage ten weeks' hire, that will earn between £6000 and £10000 p.a. less the agent's commission. And yes, of course the 'van will wear out faster, but if you're getting a net figure of say, £5000 to £8000 a year towards its running costs then that is of little importance. And 'vans can not come back damaged without a financial penalty. If the hirer damages your 'van then he pays extra, just as when you hire a car. If there was no market, why would all these firms be in the business? Just Google 'Motorhome Hire' and you'll get an idea of the potential market. There has been a typical knee-jerk reaction to this proposal but I think that it has merit. Link to comment Share on other sites More sharing options...
Solwaybuggier Posted April 10, 2011 Share Posted April 10, 2011 Might also be interesting to google "Motorholme" to pick up on feedback from MH owners who've used them. I've never had any dealings with them, but recall seeing a lot of negative feedback recently. It was in Company Reports over on MHF Forum (so access is subscriber only.) However, there is also a link to another discussion, at http://www.aghast.co.uk/2009/01/motorholme-are-driving-me-mad/ - which I've not read. In the MHF thread a letter from them is quoted which I've copied below - all I can say is I'd have great reluctance in having anything to do with a company willing to send out such a letter! "Barronne, Not that you would be bitter that you found out its you thats made the mistake!? Im not sure how as the largest motorhome company in the UK, who currently are selling out through now to mid September, with 400+ vehciles in our fleet, a multi million pound turnover & increase of business of 60% in the last 12 months – how is it we will survive without your business Baronne!?. Our attiutude towards Service & Customer Service is fantastic, which is why our business is so succesful. However, we have perfected the art of realising very early in any conversation, or e-mail, who the whineing timewasters are & those people who have no intention of spending their money with us. This enables us to treat those people, without such service as it is no loss! Remember the attitude in our opinion began with you, you may not think so, but your comment regards “I don’t recall making an enquiry about motorholme??” came across as abrupt & somewhat annoyed – but like i said, it appears now you are embarrassed, as it was your mistake not ours. It may be a suprising attitude to you, but your comments are two a penny in this industry & the insignificance of them regrads affecting our business are none & it makes a nice change from most mediums in life where you may have to waste your time schmoosing people who do not warrant it. Regards Robert" Link to comment Share on other sites More sharing options...
bluewander Posted April 10, 2011 Author Share Posted April 10, 2011 Thanks all for your excellent input so far. I visited motorholme yesterday to get the info. The small 3 berth rents for between 15 to 20 weeks per year and my nett income is between £200-£400 per week, so even working on 15 hires at average of £300 it works out at £4500 per year towards the purchase cost of £6000 per year. I fully understand that it isn't going to be as looked after as it would be if I kept it for myself, but with the above figures in mind, I'd have a new van for approx £100 per month! They are so sure that they can pay for themselves that they offer a £2000 annual top up if you haven't earnt more than your finance costs for the first 3 years. They insure it through their commercial hire policy and handle all the paperwork etc and take a £1250 deposit from each hire to cover any damage when returned, anything more than this goes through the insuance company. Still sounds & feels too good to be true though! Link to comment Share on other sites More sharing options...
Rayjsj Posted April 10, 2011 Share Posted April 10, 2011 bluewander - 2011-04-10 10:04 AM Still sounds & feels too good to be true though! If it sounds and feels to good to be true........then it probably IS. If you DO go ahead, let us know how you get on, ( so we can either Gloat or be very Envious). I feel a bit about it, how I do about 'Equity Release' why should I share something i already own with somebody else ? ;-) Ray Link to comment Share on other sites More sharing options...
Barryd999 Posted April 10, 2011 Share Posted April 10, 2011 Even if this is a good idea from what I have read on Motorhome Facts about this company I wouldnt touch them with a barge pole. Link to comment Share on other sites More sharing options...
Guest pelmetman Posted April 10, 2011 Share Posted April 10, 2011 Have any of the motorhome forums got feedback from satisfied customers (?) IMO If I could not afford a new van I would buy a older camper thats been well looked after, but there again I'm biased :D............................I rather be away in my old van than have to work to pay for a new van ;-) Link to comment Share on other sites More sharing options...
Guest Tracker Posted April 10, 2011 Share Posted April 10, 2011 I was about to post asking why some members feel the need to be sarcastic to Jon for asking a perfectly reasonable initial question? And then I read the alleged message allegedly from Motorholme which, if true, would over ride any thoughts I might have had - which I had not - about dealing with them? Caveat emptor - let the buyer beware comes to mind and as others have said - if something seems too good to be true - it generally is! If there are any genuinely satisfied customers of Motorholme out there now is the time for them to say so as their website is very generous on self praise but mighty short on hard costing facts? Link to comment Share on other sites More sharing options...
weldted Posted April 10, 2011 Share Posted April 10, 2011 i look after a small fleet of hire motohomes and see at first hand what sort of life the lead, any maker warranty willprobably be only for a year as they are for commercial use and at the end of three years unless you are very lucky they will be knackered. Just look at how many firms have stopped hiring them out, hirers want new or nearly new when used for hire the depreciation is very close to there income at best so when yours is three years old the upgrade to a new one is likely to be more than you have earned. Link to comment Share on other sites More sharing options...
weldted Posted April 10, 2011 Share Posted April 10, 2011 i look after a small fleet of hire motohomes and see at first hand what sort of life the lead, any maker warranty willprobably be only for a year as they are for commercial use and at the end of three years unless you are very lucky they will be knackered. Just look at how many firms have stopped hiring them out, hirers want new or nearly new when used for hire the depreciation is very close to there income at best so when yours is three years old the upgrade to a new one is likely to be more than you have earned. Link to comment Share on other sites More sharing options...
BGD Posted April 10, 2011 Share Posted April 10, 2011 "Thanks all for your excellent input so far. I visited motorholme yesterday to get the info. The small 3 berth rents for between 15 to 20 weeks per year" Between 15 and 20 weeks per year? Really? I am astonished. Utterly astonished. Hire finishes/starts couldn't be back to back, as you have to clean and check and refill and repair etc the MH thoroughly between hires, so I can't imagine that you could get two 7 day hires in a 14 day period (but maybe I'm wrong?) 20 weeks each year? On average? Which means many hirers get more than 20 weeks per year of hires. Despite all the inter-hire cleaning, repairs, planned maintenance, servicing. If I was a potential future hirer, I would be really keen to see audited data from all the existing hirers to back up such an amazing claim; and to have the contact details of existing franchisees so that I could check out such claims. Link to comment Share on other sites More sharing options...
Mike88 Posted April 10, 2011 Share Posted April 10, 2011 The reviews here are not all complimentary and some mirror the comments made on MHF. http://www.reviewcentre.com/reviews232503.html Link to comment Share on other sites More sharing options...
Guest peter Posted April 10, 2011 Share Posted April 10, 2011 Do you really need the grief? I know I wouldn't. Link to comment Share on other sites More sharing options...
jhorsf Posted April 11, 2011 Share Posted April 11, 2011 Bluewander you posted on here because deep down you knew it was to good to be true this company will tell you anything to get you signed up.If this is so good why do they need you to buy the motorhome?read the reports on them they are very informative on the sharp practices they use do not be gullible Link to comment Share on other sites More sharing options...
lennyhb Posted April 11, 2011 Share Posted April 11, 2011 We hired a couple of times before buying both times we got fairly new vans with only around a 1000km on the clock. Dealers in Germany where we hired only normally hire for one season then sell the van before it gets to tatty or too much mileage. Hymer for example will not allow dealers to hire vans out over 2 years old in practice they put them on the road in April & sell in September. For the owner six months of hiring is probably enough if you want the van in a saleable condition, for the hirer most people want to hirer a new van. As others have said it sounds to good to be true. I really can not see you getting 15-20 weeks hire in a season, and if you did you wouldn't have a van to use yourself so what's the point especially as it's unlikely to cover your costs. And if someone prangs it & it's off the road for 3 months do they include loss of income insurance? Unlikely. Link to comment Share on other sites More sharing options...
spospe Posted April 11, 2011 Share Posted April 11, 2011 Have a read of: http://www.aghast.co.uk/2009/01/motorholme-are-driving-me-mad/ Anyone can get a bad review, but a whole series makes me wonder :-S Link to comment Share on other sites More sharing options...
BGD Posted April 11, 2011 Share Posted April 11, 2011 spospe - 2011-04-11 12:33 PM Have a read of: http://www.aghast.co.uk/2009/01/motorholme-are-driving-me-mad/ Anyone can get a bad review, but a whole series makes me wonder :-S The more information that come to light, the worse and worse they sound. The Company is going to nose-dive into the ground if all the comments on that website are true. What appears to amount to criminal frauds are alleged by many ex-customers to have been committed against them by this company. Link to comment Share on other sites More sharing options...
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