Boat Loans/Financing & and suggestions on offer.

J

jingram

New member
So I did a forum search and saw that this has come up a number of times in the past. I had a few things I wanted clarification on and wanted to get an idea of what rates folks are getting these days and where.

I'm in the PNW and my FICO is an 801. I'm looking primarily at used boats to avoid the mass depreciation dump at the beginning. I think I have found one through private party that I am interested in over in Idaho. They aren't on these forums, but should be, lol.

Boat:
22 Cruiser
2006
Twin 40s Honda (Carb)
Bottom paint
Racor fuel/water separator filter ( 2 micron)
2- 25gal fuel tanks
Hydraulic steering
Bennett trim tabs with dash indicators & controls
Two AGM batteries with 3 way combiner switches
High Top Roof
Factory, cockpit floor boards
Center front opening window
Shore Power 30amp
10amp 2 bank battery charger
Starboard gunwale mount swim ladder
Transom mount stainless cooler rack
Magma marine kettle grill
Porta potty
Wallas Diesel stove/heater
Simpson Windlass
VHF
Compass
Small Garmin
Pacific Galvanized trailer
tandem axle / rear axle disc brakes /spare tire

A family friend is selling her and although I haven't seen her in a couple of years she was in great shape and from pictures she appears to still look nearly brand new.

What do you folks think is a fair asking price?

That leads me to part 2... financing and taxes.

1. Some of the threads folks were saying that you can deduct the interest on the boat because it has cooking facilities and a "head", as such it gets categorized as a second home? Is this true? Is it straightforward or do I need to engage a tax professional at that point? I itemize now... curious to hear how you folks are dealing with this.

2. What rates have folks been getting lately? What lenders do you suggest here in the PNW? I am trying to avoid the credit hit of multiple hard credit pulls even if it is just a few points and so would like to focus on a Financial Institution that has good rates, hopefully has dealt with these boats before and make this an easy process. Hopefully with my excellent credit and good financials I qualify.

This is my first rodeo of sorts. My last few boats were smaller, simpler, and cash purchases. I can pay cash here, but I would rather not liquidate assets to do it.

Any help and input you folks can provide would be very helpful!
 
Yeah, I've checked things out there, but that only gives me an idea of what asking price was, not what people actually end up paying. I assume they are relatively close, but figured I would ask the question.
 
When I bought my boat, I dealt with Mike Jenkins of Trident Funding in Seattle. They will shop your loan out to different lenders and get you the best rate available. They also handled all of the coordination with the title company as well as getting the boat documented with the Coast Guard (not applicable for a CD22). I was very impressed with his service and would highly recommend him. He's also very low pressure and was always on top of things. I'll PM you specifics of my particular deal.

As far as the interest deduction, definitely talk with a tax adviser. I've seen quite a bit of debate on whether or not a portable head qualifies. The tax code states the term "toilet facilities", so it's open to interpretation.
 
Fair price, without seeing the boat or photos would be mid to high 30's. The boat seems a bit weak on electronics, but usually you want the most up to date ones, so you may replace what is there. Otherwise the standard equipment that many of us want. Some would want camper canvass.

You want to be sure that the carburetors are OK, with the E 10 fuel, they should be either run often or run out of fuel after use and any storage more than a few weeks. Then the carbs drained.

Some states require that you have brakes on both axels--not sure that anyone would check....unless there were an accident.

Yes, folks do deduct the interest in a boat which has full living facilities, and the C Dory 22 should qualify.
 
If you are military try USAA for a loan. Did it all on line, a bit over the phone. 6.24%. Best I could find at the time and I looked alot. That was back in December of last year.
 
Bob, that was sort of where I was at price wise too after going through yachtworld, the forums, boat trader, craigslist, etc. Wanted to make sure there wasn't anything I was missing.
 
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