boat slip questions?

stackz

Master Chief Petty Officer
Joined
May 29, 2008
Messages
830
dont have time today but I will be calling tomorrow about possibly buying a boat slip. my girl gave me the ok the other day to get one :D

anyway, are they considered property so you can get that type of loan or is it the same type of loan as a vehicle?

also, do you pay property taxes on them and HOA fees to the marina, etc? just trying to figure out some basics before I get in over my head.
 

shrew

Lieutenant
Joined
Dec 29, 2006
Messages
1,309
Re: boat slip questions?

Technically, property loans, Auto loans and Boat Loans are all 'secured loans' in that the equity of the 'good' is used a collateral. A Boat slip is similar to a condo and is considered property. Unlike an auto/motorcycle loan, interest on the propety loan, like a docominium is deductible. The best person to ask would actually be your bank. Discuss it with them how they handle these types of property.
 

Home Cookin'

Fleet Admiral
Joined
May 26, 2009
Messages
9,715
Re: boat slip questions?

the rules will vary from state to state. In Virginia, for example, on tidal water you won't own the bottom as real estate, and neither does the marina, typically. Your "ownership" is technically a license. Another state, or a lake, may be different.

Then as to deductions of interest, refer to the IRS and whether this is a primary residence.

Get the lay-out from the marina and if you don't understand everything in the agreement, spend a little $ for a lawyer to look it over and 'splain it to you. Watch out for fees that vary and how much overhead the owner can put in there.
 

Tahorover

Chief Petty Officer
Joined
Mar 7, 2011
Messages
572
Re: boat slip questions?

I'd rent a slip for a few months before I bought a condo slip. Plenty of poorly managed marinas and bad slip neighbors.
 

stackz

Master Chief Petty Officer
Joined
May 29, 2008
Messages
830
Re: boat slip questions?

what exactly is a bad slip neighbor? I mean are we talking about things like them stealing your water hookup or throwing stuff onto your boat or leaving dead rotting fish on the dock or something?

I honestly have no clue.

going to call in a few hours but really want to know things like restrictions to ask about etc as I have no experience with this at this point.
 

Home Cookin'

Fleet Admiral
Joined
May 26, 2009
Messages
9,715
Re: boat slip questions?

you got it. And if you have a large boat and like to sit on it at the slip, a bunch of rednecks next door can get old fast. or if you're the redneck, so do the glares and complaints from Thurston Howell III.
 

stackz

Master Chief Petty Officer
Joined
May 29, 2008
Messages
830
Re: boat slip questions?

ok, talked with the marina owners...really wished I did this back in october when they had slips in the mid-20's...I can still deal with mid-30's though lol. apparently my bank just had never done a boat slip loan before which is why they told me they didnt do them. the marina though has two banks (both I'm familiar with) that do this all the time.

anyway, here's the details, sounds decent to me.

$300/quarterly regime fees (include water, dump station, dock master, maintenance, marina insurance, lighting) only thing not included is shore power usage. They let you rent the slip if you want as well. minimum $250/boat/month up to 25', then $9/ft on top of that on a monthly basis and they dont let people make outside contracts to prevent "shady people" lol. They have quiet hours after 9pm as its considered residential so they dont have late night shindigs on people's boats unless they keep it indoors or quiet so thats good too.

it would get set up as a condo loan so my monthly payment would be dirt cheap. just waiting on an email detailing slips available/pricing as well as the individuals to contact at either bank. I think I just might do this.

anyone think of any other information I may need to know ahead of time before diving into something like this?

I'm going to get low tide depth information and I dont want an outer slip either. she mentioned "T" type slips are more expensive so I'll probably be looking at a slip right in the middle of the marina actually.
 

Tahorover

Chief Petty Officer
Joined
Mar 7, 2011
Messages
572
Re: boat slip questions?

what exactly is a bad slip neighbor? I mean are we talking about things like them stealing your water hookup or throwing stuff onto your boat or leaving dead rotting fish on the dock or something?

That is a few, but using automotive battery chargers that eat your zincs away in a month, stealing your shore power cord, borrowing your fenders,feeding the ducks, storing crap the shared finger dock.....
 

Home Cookin'

Fleet Admiral
Joined
May 26, 2009
Messages
9,715
Re: boat slip questions?

are you allowed to add lifts? If you can but you don't want to, does it matter to you if both boats on either side are hovering 10' above you? My point is--and I know nothing about your boat or your objectives--if aethetics are important, know in advance what can change.

Also look at assessments and how capital improvements are assessed to owners. Fro example, if "they" decide to build a pool, or a restaurant, or another pier, how is that assessed? What if they dredge? What if they don't?

And this is a question for a South Carolina lawyer: what happens to your "ownership" if the marina gets foreclosed? Can you get a SNDA?
 

Brewman61

Ensign
Joined
Jun 10, 2010
Messages
996
Re: boat slip questions?

All of your questions could be answered by the marina selling the slips. No doubt they'd have arrangements with possible lenders as well.
 

stackz

Master Chief Petty Officer
Joined
May 29, 2008
Messages
830
Re: boat slip questions?

And this is a question for a South Carolina lawyer: what happens to your "ownership" if the marina gets foreclosed? Can you get a SNDA?

what is SNDA? a good friend of mine is a lawyer, county lawyer actually, and I'll be at his kid's birthday party this weekend so I can ask him about that then.
 

Beefer

Lieutenant Commander
Joined
Aug 4, 2008
Messages
1,737
Re: boat slip questions?

anyone think of any other information I may need to know ahead of time before diving into something like this?

How long will it be before you get 2-footitis, or bigger? Will the slip you're looking at today be big enough for you down the road if you upsize? That would be my concern.
 

roscoe

Supreme Mariner
Joined
Oct 30, 2002
Messages
21,859
Re: boat slip questions?

rent for at least a year.
 

stackz

Master Chief Petty Officer
Joined
May 29, 2008
Messages
830
Re: boat slip questions?

How long will it be before you get 2-footitis, or bigger? Will the slip you're looking at today be big enough for you down the road if you upsize? That would be my concern.

slip is 40x20 and can dock up to a 55' boat. I would love to be at the point where I have a boat that big but if it got to that point I'd probably have a house on the water and the slip would be sold lol!
 

Home Cookin'

Fleet Admiral
Joined
May 26, 2009
Messages
9,715
Re: boat slip questions?

which brings up another question: can you sell it? do you have to sell it back to the marina? At what price? Can you assign your loan (probably not).

SNDA = subordination non-disturbance and attornment (agreement).

Don't ask your lawyer friend for advice during his kid's birthday party; ask him if he does that type of work and if you can make an appointment. If he were a mechanic, you wouldn't ask him to come outside and fix that exhaust leak around the manifold?
 

26aftcab454

Lieutenant Commander
Joined
May 12, 2009
Messages
1,510
Re: boat slip questions?

x2--- get to know the marina and the neibors before you sink $$ into it
I've leased a slip for a few years--like anywhere some neibors are better than others--
If you are a bad neighbor to me I'll pee on your boat!
But have made many friends as well.
 
Top