EagleTribune.com, North Andover, MA

New Hampshire

May 22, 2008

Rising gas prices fuel concern; RV owners, sellers hit hard by cost

KINGSTON — Before Dan MacKinnon and his wife, Nancy, followed the snowbirds to Lakeland, Fla., for the winter, they looked around for a summer place in New Hampshire. But with prices running $500 to $600 a week for a rental, they decided to buy a camper.

Yesterday, the MacKinnons were out working at their campsite at Mill Brook RV Park to get a jump-start on summer.

Although most other campers will not arrive until Memorial Day weekend, the MacKinnons have already unpacked, planted flowers, spread cedar mulch around their site, and hung a new, bright red feeder for the hummingbirds.

The camper is bolted down because one thing the MacKinnons don't do anymore is drive it.

"We just drive the car, and these days, that's enough," Dan MacKinnon said, wincing at what it costs to just fill the car's gas tank.

On average, a gallon of regular gasoline cost $3.74 in New Hampshire yesterday. Gas prices are so high that AAA predicts fewer people will hit the road Memorial Day weekend.

But some recreational vehicle owners say they plan to keep driving, despite the fact it costs hundreds of dollars to fill the tank.

Norman Woods of Kingston said unless gas prices reach incredible heights, he and wife, Judith, will still travel in their recreational vehicle.

They economize by towing the car behind the RV and using the car, which gets 36 miles to the gallon, for side trips. Woods estimates he was traveling about 250 miles a day in the RV. Filling it up costs close to $500, and a tank will take him about 900 miles.

"I couldn't afford to do that every day," he said. But Woods, who used to live in Bedford, saved for his retirement, specifically so he and his wife could enjoy traveling.

They started their adventures in a boat, sailing up and down the eastern seaboard, docking in St. Augustine, Fla., for the winter, and returning to New Hampshire for summers with their family.

But after a couple of years, she suggested an RV and they decided to see the country. They went to see Graceland this winter, following the Mississippi River through Branson, Mo., Nashville and New Orleans. Next year, they plan to take in the Dakotas, New Mexico and Arizona.

We're having a ball," he said. "It's a dream come true." Not only do they plan to keep going, they also are trading up.

"We're getting a new rig, even as we speak," he said.

But overall, business is not great, either for RV sales or the campgrounds.

Diane Durbin, who owns Mill Brook RV Park with her husband, Ray, said the high gas prices are hurting business. They are somewhat insulated because most of their customers are seasonal, like the MacKinnons. But Durbin is seeing a drop in calls from people looking for short stays.

"The calls are coming, but they're sporadic," she said.

Only a few people are purchasing RVs, and they are wealthy people buying high-end vehicles, according to Steve Kooshkalis, a salesman at Reynolds Sales RV dealership in Kingston. They're not the average Joes, he said.

"Business is way down," Kooshkalis said. "It's awful."

He said fuel prices are the main culprit. "Diesel last year was closer to $3 a gallon. Before that, it was $2."

Besides skyrocketing fuel prices, Kooshkalis said another problem is banks balking at giving loans. People also are worried about losing their jobs and not in the market for an RV.

But Kooshkalis said RVs are still an economical way to take a vacation.

"They're a lot cheaper than flying and paying for a hotel," he said, and they are equipped with comforts such as central air conditioning, TV service, electric fireplaces, outdoor speakers and pullout sofas — all for about $34,000.

George Boucher of Newton was shopping for a smaller rig at Complete RV Sales and Service, also in Kingston. Boucher said he traveled across the country and took four trips to Alaska in his RV. But he's selling his 40-footer now.

"I don't have a copilot anymore, and I don't need a big one." Boucher said gas prices also are a factor.

Dave Currier of Haverhill, Mass., said his RV has a 90-gallon tank and he pays $4.25 to $4.55 a gallon for diesel — meaning a fill up runs $382.50 to $409.50.

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