CG Competition ? ?

[john59]

Again, (I hate starting this way) being new to TTs and camping, I understand fuel prices looking like my cardiogram. More times being higher than lower.

Why are CG rates staying high ? ? We have stayed in some really nice CGs and most I rate a B+, but we have also noticed a lot, and I mean a lot of sites unoccupied. The rates at CGs remain high.

I thought with the economic situation in the country, this would stimulate competition in CGs.

No, I am not looking for a free ride, but you would think CGs would want to fill those sites.

Do you negotiate ? ?

Am I wrong ? ? ?
John

PS: No animals were hurt or injured with this post ! ! ! !

 

[Judy in Texas]

Again, (I hate starting this way) being new to TTs and camping, I understand fuel prices looking like my cardiogram. More times being higher than lower.

Why are CG rates staying high ? ? We have stayed in some really nice CGs and most I rate a B+, but we have also noticed a lot, and I mean a lot of sites unoccupied. The rates at CGs remain high.

I thought with the economic situation in the country, this would stimulate competition in CGs.

No, I am not looking for a free ride, but you would think CGs would want to fill those sites.

Do you negotiate ? ?

Am I wrong ? ? ?
John

PS: No animals were hurt or injured with this post ! ! ! !

Probably for the same reason the toll road commission in Texas keeps raising the tolls and the movie theaters keep raising ticket prices. They would rather make their $$ off the few that can afford their prices than lower the prices and go for volume. Doesn't make sense to me either. I avoid the toll roads like the plaque and haven't been to the movies in years. Why pay $10 to see a movie surrounded by people checking emails and texting when I can wait a few months, rent the same movie from The Red Box for $1 and watch it in the peace and quiet of my own home?

 

[ftwildernessguy]

The whole free enterprise system is messed up. The basic laws of supply and demand are out the window. Just look at the geniuses in local government - the economy stinks yet they still raise property taxes because that's the only solution they can see to control deficit spending. The campgrounds are no different - if the demand goes down, they raise the price to try to keep their income up. It will eventually result in their destruction unless we can get business' thinking back where it belongs.

 

[john59]

FTWILDERNESSGUY--aka, Jim

Jim, you get an A+ for your analysis.

A case in point----I am waiting for a hit in my Real Estate Taxes.

WHAT IF: If I decide not to bear the increase (I am serious) what will THEY do, take my house ? I think THEY have a bunch of houses now and THEY do not need another one.

John

PS: My mystery of life question---I have been hearing THEY, THEM all of my life----Who are THEY ? ? ?

 

[Just Beachy]

I don't know about PA, but in NJ, the Tax Collector will sell a lien against the property. The property owner has a certain amount of time to redeem the lien or else the lienholder can start foreclosure proceedings.

 

[john59]

Back on topic. No, not R E Taxes.

The CGs have to be taking notice.

We have a trip planned for the Keys in March. On our way home to PA, I am going to call some CGs and see if I can negotiate a site fee on just an overnight stay. I will post my findings when we get home.

Another example-----You can drive a few miles in any direction from where we live and see private sale signs on all kinds of TTs. I beleve most of these are campers that have thrown the towel in, due to costs.
John

 

[BRDof3]

As far as selling the campers, I think that the economy bit people in the portable housing market, too. We got a heck of a deal on ours at the end of the '08 season. The original owner financed most of it, and as long as things were good and he was able to use it, that seemed to work out.

When things got tough he had to take on a lot of extra work. After that the TT was just sitting in storage while he made payments every month on something he couldn't afford to take time to use. A waste of monthly payments.

The CG's around here seem to be doing well enough. We are on I-80, so they get a lot of transient business. The KOA west of here that we like stays busy pretty much all the time this way.

I'm waiting to see if Nebraska raises the fees for State Parks this year. During the season you can't get a site anywhere around here unless you have a reservation, or go out Wednesday afternoon. I'm sure it will stay that way even if the price goes up.

 

[Born 2 Fish]

The whole free enterprise system is messed up. The basic laws of supply and demand are out the window. Just look at the geniuses in local government - the economy stinks yet they still raise property taxes because that's the only solution they can see to control deficit spending. The campgrounds are no different - if the demand goes down, they raise the price to try to keep their income up. It will eventually result in their destruction unless we can get business' thinking back where it belongs.

I truly am not try'n to make this political, but I am extremely serious when I say that with with the current administration runn'n our goverment, the thinking will NEVER get back to where it belongs.
I am in total agreement with you Jim.

 

[jriae2000]

When we bought our TT last spring I found that the prices for new were lower than used. Everyone was upsidedown on their trailers and wanted the payoff. According to Trailer Life 06 was the best year for TT sales ever. Then the bottom fell out as we all know. If you can get to N Indiana ,S Michigan were all the manufacturers and dealers are going out business you can save thousands of dollers. Not good for the people that are loosing theyre jobs but helps shoppers. The dealer where I got my TT here in Illinois has gone to selling repos. He will order a new TT for you if you want but doesnt stock them. His monthly newsletter said he has hired four full time people to help keep up with sales.

 

[disney4dan]

I think that there is also the pressure on CGs to meet their property tax obligations and stay one step ahead of the offer to sell the property for development. That, combined with rising insurance and utility costs, and these owners are stuck between a rock and a hard place.

Regarding trailer sales, I think we got the best of both worlds last summer when we traded in our used and bought a 2009 leftover. We got more than we expected for trade-in (the top listing on the book values researched online) and they had already taken 33% off the retail for the trailer. We looked at a few used trailers that the owners were asking a lot of money for, and the new leftover was a no-brainer.

 

[ftwildernessguy]

I felt a little guilty taking advantage of the bad economy when I bought our 2009 leftover last November, but passing up on the deal wasn't going to help anybody, and the Kiwi was telling me it was time to trade her in.