PDA

View Full Version : Question about boat loans....



Jim B.
02-23-2007, 12:20 PM
What is the typical (standard) length in years of a boat loan? Is financing a boat buying though private party a nightmare? Also is there a certain percentage the buyer has to put down or can he/she do 100%? and what about appraisels?
A buddy of mine wants to look into financing a boat he is interested in buying and doesn't know much about boat loans and how they work................neither do I so I told him I'd ask you guys on the boards...
Also I did a forum search and found Essex Credit? ....supposed to be good....are they? Thanks!
JiM

RaceFace
02-23-2007, 12:48 PM
Well, I'm sure I can speak for the guy who's in the process of buying my boat....don't go with B of A!!! They have NO idea what they're doing!!! He's doing all the leg work and they are STILL taking their sweet old time!!

BajaMike
02-23-2007, 12:52 PM
I just got a quote on a $75,000 boat loan. 15years or 20years. 6.99 % to 7.5% for good credit, higher for not so good credit.

dumbandyoung
02-23-2007, 01:00 PM
most banks require 10-15% down. Ive never heard of 100% financing on a boat loan...It may exist thought for people with 800 ficos?? :confused:

EmpirE231
02-23-2007, 01:04 PM
I think andy01 knows about these loans, I've seen him comment on being able to get loans for 0 down etc?? :confused: I would definitely be interested in info on this also :)

x7734x
02-23-2007, 01:08 PM
Bank of the West is your best bet. I got hooked up from them. They will do 100% financing but you have to find a really good deal for that to work out the way that the use NADA is not the most effective way.

BajaMike
02-23-2007, 01:14 PM
If your credit is good, most banks will finance 80% of the retail price of a new boat. Most deals are at 80% or 90% of the retail price, so you can easily get 100% financing.
I wouldn't recommend it though....you ever want to sell, and you will owe a lot more then the boat is worth at least 4 to 5 years....maybe longer.
I used KeyBank, 800-539-0102.
:idea:

dumbandyoung
02-23-2007, 01:32 PM
If your credit is good, most banks will finance 80% of the retail price of a new boat. Most deals are at 80% or 90% of the retail price, so you can easily get 100% financing.
I wouldn't recommend it though....you ever want to sell, and you will owe a lot more then the boat is worth at least 4 to 5 years....maybe longer.
I used KeyBank, 800-539-0102.
:idea:
True, its better to pay the bigger down payment now. Then a few years later and pay interest on it.

Jim B.
02-23-2007, 01:38 PM
You can good 15 or years out on a boat loan?!?!:eek: Wholly crap that a mortgage loan! LOL! ..........right on I will let him know
What do the banks use as far as value? NADA? How is my buddy going to know if the bank think the boat is worth what he is paying?

Jordy
02-23-2007, 01:43 PM
Call Melissa at Essex. She'll walk you through the whole thing. The last thing you want to do is deal with a bank who has no idea about boat loans. Her number is 866-377-3948 ext 7204.
I bought my Spectre from a private party though her and sold it to a private party through her and both sales were painless.
The length of time, required down, and interest rates available all depend on the boat and amount financed. 15 year notes are common on less expensive notes, 20 and now even 25 year loans are all pretty common as well. Off the top of my head I believe that 10% is pretty standard for a down payment. Kind of depends on the boat, the appraised value, and sale price.
Appraisals are always a good idea. Have a marine surveyor go over the boat from top to bottom including oil samples and compression and leak down checks on the engine(s) and drive(s). It's cheap insurance in the long run if you don't know the person you're buying the boat from or how they take care of their property. At the minimum, have a 3rd party mechanic take a look at it and get their thoughts. Sometimes the finance companies require a survey, sometimes they don't, just depends on the boat and it's not always related to age. I was looking at Cigarettes before I bought the Spectre and Essex had me do a survey on the Spectre that was newer than the Cigs I was looking at, and I didn't have to get a survey for the Cigs.

lalhc
02-23-2007, 01:45 PM
If it is a production boat then the bank will go off of NADA. If it is a custom ***boat, then you might need an appraisal before the bank will finance. I financed by boat through eboatloans.com. They were easy and great to work with.
The length of the loan really depends on how much your friend is looking to finance. Anything $40K or less I would go w/5 yrs. $40K - $80K 10 yrs, $80K - $120 15 yrs, and anything above that 20 years.

RaceFace
02-23-2007, 02:50 PM
i went through B/A it was so easy,put as much down as you can and go shortest time you can,hes not going to keep it 15-20-25 years,i went 10 years and put 20tho$ down,a little bigger payment but,and don't add in you ins in the payment fined it some where else:idea:
Whats throwing B of A through a loop is the trailer is registered in CA and the boat is in AZ. They just can't figure out that the trailer has a pink slip and the registration IS the cert of ownership in AZ. It needs to be pushed through as 2 separate entities. According to the loan guy, he understands it but B of A doesn't have a procedure in place for that. And the new owner wants to keep the boat registered in AZ because I have nice AZ numbers painted on it and he won't have to pay sales tax. Its a 100% loan and they're giving him a good interest rate but boy is he working for it. I feel bad for him.

Rocky
02-23-2007, 03:45 PM
Like said before call Bank Of The West. I bought used through DCB and it took all of 10 min to put together a loan on a Boat that was reg. in AZ and the trailer in Cali. Only had to pay tax on the trailer.