Money and Business

As gas prices rise, RV sales projected to hit highest level ever in 2017

Gas Prices and RVs

NIPOMO, Calif. - Despite the new gas tax hike in California, an RV seller in Nipomo says he's not concerned.

On November 1, 2017, gasoline prices shot up 12 cents per gallon, while diesel prices increased by 20 cents per gallon.

Despite the increases, local RV dealership Trailer Hitch RV Center says they are not too concerned. The dealership says the amount people save on hotels and other amenities by traveling in an RV is significant. 

"Our business is very brisk," says Steve Howard, VP of Operations for the dealership. "I think people that do the math to see how much it would cost to stay in a hotel and eat their meals out versus paying for a campground for the night they'd really have to raise the price (of gas) a lot to get people to change those habits."

As the cost of conventional travel continues to rise, the bargains of RVing sound that much more attractive. The average cost of a hotel room six years ago was slightly less than $100. In 2017, the average cost is $127.

"If you bring your family and you stay a couple of nights and you eat all your meals out you are going to go through a lot of money," said Howard.

Compact RV's and trailers are becoming more popular with millennials, which industry experts believe could push RV sales to hit their highest level ever this year.


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