Boat age vs financing.

[matt167]

My wife and I were talking about what we really want from a boat while out on our paddle boat yesterday. I’ve wanted a boat to overnight in and adventure and fish in, because that is what my dad and I did growing up. We had a 21’ Chieftan. My wife loves camping. My dream boat is obviously a nice restored Chief but a late model Islander is probably a better option. I don’t really have the space for a full blown restoration now. I’m lucky my FIL lets me park my boat and work on it behind his shop. So this is a plan for next summer or the summer after to get a nice Islander or something like it, so for sure an older boat as they have not been in production since the mid 2000s.. can those be financed? I’d be selling off my other boats and parts and probably have $10k in cash or so, which is starting prices for late model islanders that aren’t total projects

 

[Scott Danforth]

you can get a personal loan, however lenders will not finance a 20 year old boat

 

[matt167]

you can get a personal loan, however lenders will not finance a 20 year old boat

How old will they finance?

 

[briangcc]

Talk to the lender as they're going to be the authoritative source of what they will and won't finance.

 

[racerone]

Likely no chance of financing anything older than 10 years.-----Doubt you will get financing on a project boat.

 

[Scott06]

How old will they finance?

As mentioned talk to a lender and look at it a couple different ways. One of my co workers could not get financing for a older car purchase (I think its more than 10 years old). He took a personal loan and is paying a ridiculous interest rate.

Would think you are better off doing a Heloc or home equity loan when rates go down a bit.

 

[matt167]

Likely no chance of financing anything older than 10 years.-----Doubt you will get financing on a project boat.

I wouldn’t finance a project. I’d be looking at something ready to go. I’ve thought about putting a cabin on the Offshore

 

[matt167]

As mentioned talk to a lender and look at it a couple different ways. One of my co workers could not get financing for a older car purchase (I think its more than 10 years old). He took a personal loan and is paying a ridiculous interest rate.

Would think you are better off doing a Heloc or home equity loan when rates go down a bit.

I’m 1-2 years off at this point. We were just talking yesterday because the boat i have isn’t 100% what I want. But I figured that if an Islander is what I would go for, they aren’t cheap boats due to their demand.

And used car rates is why I bought a brand new truck in ‘21. I was looking for a decent $20k truck that was 5-6 years old, but once you add 10% interest it stops making sense, so I spend $32k on brand new

 

[Scott06]

I’m 1-2 years off at this point. We were just talking yesterday because the boat i have isn’t 100% what I want. But I figured that if an Islander is what I would go for, they aren’t cheap boats due to their demand.

And used car rates is why I bought a brand new truck in ‘21. I was looking for a decent $20k truck that was 5-6 years old, but once you add 10% interest it stops making sense, so I spend $32k on brand new

No boat you will own will ever be 100% what you want, they all have some compromises.

Personally I would just save up some money and buy when you have funds. Its a personal choice, from my perspective no sense borrowing money on an older boat that you can only use 4-5 months out of the year.

How much do Islanders go for? maybe you can find one with a cracked block. We had a 17 ft BR/ 3.0 for years, was given to me by a family member. Was easy on the wallet but too small. Eventually through a friend of a friend found a 21 ft BR that the engine was cracked. Was the perfect step up for us. With a little sweat equity and selling the old boat for $3k was able to get into it inexpensively.

 

[matt167]

Late models start at $10k for stuff with no problems

 

[RGrew176]

A lot depends on who you obtain for any financing needs. In 2015 I purchased a 1981 Carver 3007 Aft Cabin model. I went to my credit union and asked if they would finance the boat.

The said yes but I had to have a survey report. Well I did get a survey done as part of the buying process. I gave them a copy of the survey and a couple days later they agreed to finance the boat.

The seller and I agreed on a $17000 purchase price. The survey came in at $21000 so that was good and I did put $8500 down and financed the balance for 4 years and I paid it off in 2.

Getting financing for an older boat is a challenge. If you belong to a credit union check with them you might be good to go. Worth at least a try.

 

[tpenfield]

My brother recently took a new job selling used (lightly used) boats. He told me that a lot of people finance their boats.

I've never been 'allowed' to do that.

Of course there are some options (personal loan, home equity, etc) if the boat itself is not 'eligible' for financing.

 

[matt167]

I have the option of putting a cabin on my Offshore. I’m not really sure about that yet but it’s an option

My wife is letting me entertain the idea of financing something, but I would be stuck with it for a while.. I could open up to something like a C Dory or a Bayliner trophy as well. We have a truck that’s big enough to tow those

 

[Sprig]

If you are a home owner look into a home equity loan.. Generally decent interest rates and you can deduct the interest from your income tax (If you have enough deductions to item). And with any loan plan to do what ever is necessary to pay it off early, as quickly as possible.

 

[film495]

interesting. I find myself working on boat projects thinking ahead already into use next year and beyond. nothing fancy, just want things set up to go. if I were you, I'd think a little about what you want to do and maybe read about options for how others do that. you may find some reasonable option that you never thought of before. I get the draw to have an old boat back again though.

 

[nola mike]

If you are a home owner look into a home equity loan.. .

Oof. Putting your home at risk to buy a project boat is a terrible idea imo. I've never financed any vehicle. If you can't pay cash, you can't afford it.

 

[rolmops]

I don't understand why you would want to finance a project boat. Over the past year I sold a 1984 19 foot Islander in very good condition but sort of crappy looking for $2500 and that included a fish hawk x4 and a furuno 628 fishfinder. I was lucky to get that money because the price for these old boats is not very high. Three months later I bought a 1989 project 22 foot Islander with trailer for $2000. We really are not talking big bucks that require loans.
These aluminum boats do not have stringer problems because they don't have stringers. There really is not much difference between a 20 year or a 30 year Islander unless you are looking for an Islander with an attached outboard bracket.

 

[matt167]

Oh I wouldn’t finance a project. I would finance something ready to go. Right now there are nice projects around, but I don’t want anything OMC powered even though I have a complete 3.0L Alpha setup that is a spare. But also, right now my lots full so to speak. 2 parts boats, my little StarCraft and my 18’ Offshore, which I’ve missed the boating season working bugs out of

 

[matt167]

If I was ready, this boat would be in my wheelhouse. Little older but checks all the boxes. https://www.boats.com/power-boats/1985-starcraft-191-islander-6323488/

And something like that I’d just pay cash

 

[FLATHEAD]

You say your two years out, and have other boats to sell. I would sell what I had and work on saving the needed money to get what you want. Financing an old boat is not a sound decision, especially if it needs work. Can’t imagine paying a loan with interest on something that potentially will sit and or develop other issues that will cost even more money.