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What they don't tell you about boat loans. Our experience financing our boat.

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How did we afford our boat? What loan(s) did we use and how did we qualify? We answer all of these things and more. The process has a ton of pitfalls and if you're not careful it can be an unpleasant surprise as your trying to buy your boat. We're sharing the most important of the things that we learned along the way here. We hope this helps people who are in the dreaming planning phase. This is the stuff we wish we had known two years ago. Let us know if you have any questions! Support us on Patreon?!: http://bit.ly/jandr-patreon Get a t-shirt(or 3!): http://bit.ly/HonuBrandTeeSpring Free floorplan tool: http://bit.ly/floorplantool Our Instagram: @jessicaandryanadventures Arya's Instagram: @arya.samoyed Our facebook page: https://www.facebook.com/jessicaandryanadventures Feel free to send us any questions to: [email protected]
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Text Comments (173)
Dean Allen (6 days ago)
Excellent information, even though my personal situation will be different from yours. Most people want to keep such things close to the vest if they do not know you well. That makes your story very valuable to anyone thinking about financing a boat.
slandshark (14 days ago)
Hm, might just be me, but I feel if you are wanting to take out $150,000 USD loan to buy a boat and don't have at least $20k in cash...you probably shouldn't be taking $200k loan on a boat. Boat's depreciate in value, not appreciate. It's not like a house. I would never in my life consider taking out a 6 figure loan for a boat if I didn't have significant cash reserves or was putting down a huge downpayment (like 50% or more). $150k at current rates is just over $1k a month for the loan. That doesn't include insurance, moorage fees, boat repairs, maintenance, etc. With that kind of boat loan amount you had better be making a LOT of money and/or be living on the boat for a very long time. You will never get that money back when you sell the boat.
mrjl barrett (1 month ago)
I told my kids its time for me to live
mrjl barrett (1 month ago)
Being a full time RV er i new some of the process .
mrjl barrett (1 month ago)
I bought a Leopard 51 Power Cat out right it wad 2015. Before i could get it insured i had to attend a Sailing school and get a captain sign off i can handle my boat .Thats what my wife and i are doing along with our friends . The capitain and prior owner is going out with us for a month long sail . We have the captain sign off . Plus the school Were fully insured with everything
cmvelo1 (1 month ago)
Thanks much for the detail video — very much appreciated! 👍💯🙌
Triwing 002 (1 month ago)
Like always, great video Ryan!
Jim Couzens (1 month ago)
great job explaining boat loans.
Weasel Fartood (2 months ago)
Unless your making 80k a year and she's making fifty k a year owning that boats gonna sink u your buying something that's not gonna have any value by the time you're sixty and ready to retire
Brian David (2 months ago)
All you needed to do was take out a secured loan on the 100k most banks lend on 100% (some to 95%) you had already in the bank, plus the 75K personal line of credit and you would have been done.
Darrin Lons (2 months ago)
Geez Ryan, if only you had an uncle that has been in banking 25 years that could have answered some of these questions....lol.....crazy kids.
Willco5114 (3 months ago)
Super helpful. Many thanks.
tyler robertson (4 months ago)
all of this loans and credit building information is great and you should do all of that stuff to help build your credit and understand the process right up to the part where u take a loan for a boat. thats where you should stop and just buy something that's within the cash on hand that u have.
Matthew Millner (4 months ago)
Very informative. Where does your income come from now?
Giant Killer (4 months ago)
Great info! I'm guna start looking at Condos now...
Janna Moran (5 months ago)
Just what I needed to hear! Plan B in action. Thank you young Jedi, Be Blessed. Love you.
Sarah Mc (5 months ago)
I guess I could get a boat loan. but still conflicted about weather to finance or save for a year. humm....
Wayne McPhail (5 months ago)
You did a great job in helping people understand the financial side of boating.  Good luck.
smiley britton (6 months ago)
Sounds too complicated, save up and pay cash, the borrower is slave to the lender.
lonewolf031 (6 months ago)
I wonder if USAA would hassle me too much for it.
Michael Rouse (4 months ago)
USAA is awesome with boat loans. Have one now and used them for a previous boat. They finance up to 100% of the value which a lot of times is more than the agreed upon price which means little to no down payment. We’ll use them when we buy our Leopard 44 for sure.
Alan K (5 months ago)
lonewolf031 Been wondering my self...
Nunya Bizness (6 months ago)
Love you two! Living the dream! Please definitely check out Eleuthera in the Bahamas and document what flora and fauna you see...would love to hear someone also tell some of the history and pirate lore of each area you travel to. Please get in touch with Tula's Endless Summer! They are another young and attractive, happy and upbeat positive couple and I bet your videos together would increase your subs! Thank you again! <3
krazytrinisteve (6 months ago)
Thank you for being so transparent.
Judd S-Nguyen (6 months ago)
This video is extremely beneficial in that I am just going to keep saving to purchase the boat we want in cash, no matter if it takes another 3-5 years, etc. All your jumping through hoops for multiple loans just to purchase a toy is ridiculous and even tho I was thinking about getting a loan for my toy too, I no longer fine it worthwhile. You let emotions get the best of you and it took you down a path of multiple loans for one thing. Crazy
Lissette Ferrer (6 months ago)
This was so helpful.  Thank you for sharing all of the details around boat loans and your personal experience.
ferod04 (7 months ago)
I really wish you guys the best, I've been watching your videos and you guys have helped me quite a bit in my search for a boat. best of luck!.
notanxiousanxiety (8 months ago)
Excellent video
Josef (8 months ago)
Hard to believe anything you said is a surprise to anyone.
Lissette Ferrer (8 months ago)
This was extremely helpful. Thank you.
fuckyuashol (9 months ago)
Great explanation of the process. I’ll subscribe. Good luck with your adventures
Simon Forrester (9 months ago)
What bank did you use for the personal line of credit?
Angela Siegfried (9 months ago)
Thank you so much for sharing. With regards to purchasing a home to show credit worthiness, there are many fees that go with buying and especially selling a home to the tune of thousands of dollars. For instance if you use a real estate agent when you sell a home you will pay 6% of the home's sale price as a commission to the agent. Typically when buying a home the seller pays some of the buyers closing costs but not all and not the real estates buyer's agent's fee of 3% commission on the sale price of the home. The only way to get around these fees is to buy For Sale By Owner homes only which really isn't that feasible or at the very least is quite limiting. Then there are other fees, such as tax stamps, surveyor fees, real estate lawyer's closing costs, mortgage fees, etc., etc.  For that reason I would consider a car purchase before a home purchase. Again, this is only if you're using the purchase simply to prove credit worthiness.  Cheers!
Med Sailing Couple (9 months ago)
great detail, really well explained, thanks
Fredrik Wallinder (9 months ago)
1. Start your own company with good cash flow. 2. Let the company buy the boat and rent it to yourself. The system is rigged against individuals apart from the 0.0001%.
j3ah0o (9 months ago)
I guess it'll be a very long time before I ever get a super expensive boat....
Tandem Trucking (9 months ago)
They are the example of what NOT to do
Benjamin Wiles (9 months ago)
Damn. Saved 100k over two years? You should do a budgeting video!
TRAIN CLIPS (3 months ago)
Benjamin Wiles , Ryan should run for POTUS with skills like that!
Steve Holett (9 months ago)
Excellent info
Tim Cory (10 months ago)
The less you NEED a loan, the more willing they are to give you a loan.
H. V (10 months ago)
Thanks for the information, but it’s crazy to be that much in debt with property that depreciates and requires more money to maintain. I wish you guys much success and look forward to how things pan out.
DWTV (10 months ago)
there is no links ?
drx1 xym (11 months ago)
a few questions, maybe I missed in the video or in the comments  -- if your boat is your home and you have a "boat loan" - could you deduct the boat loan interest for State or Federal income tax?  -- I know you have touched on this before - but was there a requirement to be a "certified" boat captain to obtain the load?  I have heard you may not need to be captain, if you keep the boat docked (while learning/earning the captains license).  -- also, what are the insurance requirements to obtain the loan?  to stay in the marina?  I have hear insurance can cost around 2% of the boat "value" ... I would figure that into any boat mortgage costs. -- I do love your detailed videos on the "not so fun side" of boating/sailing!
- not sure about the take stuff. Interesting question that I'll have to do more research on as tax season approaches. - There was no captains requirements with regard to getting the loan. We don't have a captains license (yet) but if you feel like your experience may be view as being "insufficient" by the bank, then make that part of your story that you tell them. Tell them how you're planning on getting training from instructors before you take the boat out yourself. Tell them how you plan on doing small day or weekend sails to get familiar with the boat. - Insurance for us was just right at 2% of the value of the boat for the year. I theory it'll go down in a year or two as we build experience. Though we got some quotes that were literally 3 times that amount, so shop around. Ultimately we went with Progressive, because the actually had better boat insurance that some of the dedicated marine insurance companies. Hope that helps!
Andre Marais (11 months ago)
Boats need cash payment and lots of spare cash to fix/maintain. Taking a loan = working to pay and not getting to the boat. That is where derelict boats begin life. Walk down any marina......
Bradshaw TX (11 months ago)
Thanks for the video, very helpful.
Rich Gizzie (11 months ago)
Hey I have a question. I am getting ready to sell everything and head out there with you guys. As far as the loan goes, do you think I should secure one before I sell my house or wait til after when I can put a bigger deposit down.? What looks better to the banks? In your opinion.
Personally, I'd say it's a better bet to keep the house until after you've bought the boat. "Stability" is a big consideration for the banks, and selling your house make you look way less "stable." The caveat there is your DTI. If your mortgage payment + your future boat payment take too large a chunk of your income, then you might have some issues there. But still, I think having the house is more attractive to banks than not.
Allan Kirch (11 months ago)
Previously you had some great video interviews with Gary Fretz. Did you use him as your broker for this purchase?
Yup, Gary helped out a ton with the purchase. We have a video coming up soon with him where we talk about it some.
Kia E. Gardner (11 months ago)
Thank you so much for sharing this information. I’m going to change my strategy based on your recommendations. You guys give the best, most useful info. Peace & fair winds
Glad it could help!
Steve Kopcial (11 months ago)
I have been out of boating for a while, when we received a loan for our boat the interest was a tax deduction since the boat qualified as a second home, I wonder if thats still true.
That would be nice. We'll take a look into that.
freebird1ification (11 months ago)
basically if you dont need to borrow money to buy the boat every one is happy to lend you money to buy a boat and they dont want you to use the boat to much but would like you to keep a close eye on it so they will be able to sell it if they need to makes perfect sense to me lol
yeah, pretty much sums it up. lol
Douglas Montgomery (11 months ago)
Ryan, great video and thanks. Just wanted to add my recent process (last month). I'm in the Army and currently deployed to the Middle East. I saw a boat on Yachtworld (20 year old catamaran) and was going to look into purchasing it for when I return. I called USAA, asked for a $150,000 pre-approval letter (as I did for my previous house..... brokers LIKE when buyer have them :) ). They asked me a few questions and asked for some of my financials. Within, thirty minutes I had the approval letter in my inbox. They were GREAT to work with.
S/V ESCAPADES (9 months ago)
We also used usaa and were approved within minutes. We were only required to close in USVI instead of BVI where the boat was located.
Thanks for sharing. Good to hear another real work account! Sounds a fair bit less complicated too.
Salemdar (11 months ago)
Thanks for the nice info bro.You guys are awesome!
10bbremer (11 months ago)
I had a good experience with Essex. I’m in South Carolina but worked with one of their California reps. Wound up placing the loan with Bank of the West.
Cool, thanks for sharing. Yeah, might have had the same rep as us in that case. At very least the CA reps are nicer and more responsive.
Clayton Boyd (11 months ago)
This guy says boat loans are different......But nothing he said was ANY different than any SFR loan.
SV Amandolin (11 months ago)
for me a loan takes away from the freedom part integral for cruising. With that said SV Delos is out there going around the globe instead of waiting a few years to save. Could have derailed him.
crazyg74 (11 months ago)
indeed and true. Brian has been very clever about it though, turning what started as an unsustainable fantasy into a great lifestyle 'business'. It's still work for them, but a better form of work than most of us have to endure! :-)
vppnbrent (11 months ago)
That was very thorough. Thanks.
clidiere (11 months ago)
Thanks for this. Very educational.
Mark H (11 months ago)
thank you for all the info.
Pezled (11 months ago)
I follow one hard and fast rule: Don't take loans to buy toys.
ScottDLR (1 month ago)
That's has always been our moto as well and it has served us VERY well. It put us in a position where we were totally free of any dept much sooner than most.
Jason Burns (5 months ago)
I follow the same advice. A boat is a depreciating asset, which means it’s a toy. Regardless if you live aboard or not.
sweetbrandigirl (5 months ago)
when buying a cruising boat its NOT a toy its your home!!!
Brian McClellan (7 months ago)
drx1 xym homes can fall in value and was the main reason for our last recession. And actually, unless you are at this time doing home improvement then your house is always depreciating physically. Your house can appreciate economically due to increased demand and supply; however, in most populated areas with good employmebt your home is depreciating while your land (of which God is not currently making more of making a limited supply) is appreciating
k bob (9 months ago)
+crazyg74 - people say boats are money pits. i understand and agree if you have a house, live on land, and they're basically a hobby you do on the side. But, if you're living aboard then you're spending the money you would normally spend on house items, car expenses, clothing, fancy entertainment, vacations etc. Don't know from experience but i can see where boat living could be cheaper while still "living life".
Jason Koslow (11 months ago)
So where are you guys now, and how are you going to pay the loan payments??
In Charleston SC at the moment starting the refit. I (Ryan) still have a full time job programming. But because we live on the boat I spend at least 4hrs a day every day working on it.
oceannavagator (11 months ago)
Surprise surprise, they want to get their money back. Boat repo's especially sailboat repossessions are a money loosing proposition. Don't even think that they won't want a survey or a proof of insurance or a copy of the marina's insurance either. Your experience can also be a factor, do you have a previous claim on your marine insurance?
Tori Beaver (11 months ago)
One thing you can feel good about - no more rent on an apartment!
Sailing Serenity (11 months ago)
Wow! Lots of good info! Thanks! This video makes me squeamish. I've owned two houses and a lake cabin, had school loans larger than my mortgage, along with small debt like vehicles and such, and I'm probably close to your age. After reading some Suze Orman books, I realized, I desperately wanted to be out of debt! Unfortunately the quickest way to end the rat race is usually to win it. We are fortunate to have two very well paying jobs, and plan to buy a nice cat for cash when the time is right, but for now, I can't afford a boat and I know I can't afford a boat, and being nearly out of debt, the last thing I'd do is a loan. The issue these days is entitlement. We want what we want now, and few are willing to put in the long term effort. When I'm on that cat of mine,,, I'm going to answer to no one! It will take me longer to achieve that, but I have a lake cabin and day sailor in the meantime, so I should survive. First world problems, right? I guess each to their own. We all have to pick a path and no two are alike. But my general rule of thumb is,,, if it's difficult to get a loan, there's a very good reason! Your operation reminds me of arms on houses before the bubble. And you have an interest only LOC for 75k! 😲 A boat is a depreciating vehicle, not an appreciating investment like a home. You better pay it down faster than it depreciates or plan to live on it for a while. I think it's going to come down to how much income you have. If you have enough income to make this happen, you are fortunate. For those who don't, start small, pay cash and work your way up. Debt is the opposite of freedom...
A Conneely (10 months ago)
Sailing Serenity So how long have you been a Captain ?
NatersTheGamer (11 months ago)
crazyg74 thanks! Yeah it is pretty important. In the end it's a learning experience for all of us :)
crazyg74 (11 months ago)
@NatersTheGamer that was to Sailing Serenity's first post. I very rarely comment at all but I feel that this is an important topic and just wanted to express my agreement with their wise words! All the best with your goals! :-)
NatersTheGamer (11 months ago)
@crazyg74 Who was that in reference to? :)
crazyg74 (11 months ago)
spot on! I just removed my comment from the 'main line' because I didn't want to dissuade anyone from following their dream, but the facts can't be ignored and you have stated those facts quite well! :-)
S/V Adma (11 months ago)
In NL the last ship mortgage broker stopped a few years ago. No loans for a ship period. If buyers can not get to money you can figure out what happend to the prices. You can get a lot of boat for almost no money.
2-BIT RASPUTIN (11 months ago)
The only problem with personal line of credit, is the bank can call them at any time, and you have to pay it all back (which happened during the financial crisis 2007, banks called everyone's lines of credit). Or you have to negotiate converting it to an installment loans.
John Anderson (11 months ago)
I had all the right things going for me, except having previously purchased a large boat. The loan company capped my loan at $500k. Didn't matter that everything else was in line, excellent credit, more than 25% down, excess cash in the bank, way more than enough income, etc etc. Doesn't matter. The bank has a maximum loan amount in mind for new buyers and you're not getting more no matter what. Fortunately I only needed $300K.
Irmin Wehmeier (11 months ago)
Great info. Thanks for taking the time.
S/V ESCAPADES (11 months ago)
Great info, when we bought our boat we tried to use a broker. We got fed up really quickly. We decided to talk to our credit union and were approved within 24hrs for 15yr loan with very low interest rate. If you bank with a credit union, I highly suggest checking with them on loans under 200,000
SenatorPerry (11 months ago)
Great information. Thanks for sharing. I have always found that the hassle of dealing with the banks/paperwork is so much that even your greatest excitements are darkened slightly by general fatigue of process. I could see that in Jessica's face in the previous video. It is normal. I will offer up that you should consider paying off secured debt first, then unsecured debt. At some point I would also recommend piling the boat and other assets as well as some cash into an LLC with you and Jessica as owners. Or getting an umbrella insurance policy. Looking forward to sailing videos. You two should hook up with Tula's Endless Summer and partner up some doing boat repairs together.
Allan Kirch (11 months ago)
Very informative video. I have a few questions on the purchase numbers: What was the list price? What was your initial offer price? Did you use any of the items from the survey to negotiate the offer price lower?
Another reason to save and pay cash.
Aerin Lena (4 months ago)
Craig and Terri's Adventures Alone that complicated process will keep us away from loans! I would go mad by all those requierments and paperwork! At the end there are further "problems" hidden away in the small prints.
Sailing Serenity (11 months ago)
Ditto
Riding The USA (11 months ago)
Great info but I'm also curious, how much was the boat being advertised for?
Jesse Reed S/V Matador (11 months ago)
It's crazy isn't it ? I had banks falling all over themselves trying to give me a 300,000 mortgage but when I tried to get 75k for a boat they laughed at me. I bought my boat for 4000 and used credit cards to refit her and within a month and a half I was sailing, keep the dream alive and never quit ! Cheers and Fairwinds !
slandshark (14 days ago)
It's because boats pretty much only depreciate in value, unlike a house.
Nunya Bizness (6 months ago)
Love hearing your tips and experience, Jesse Reed! Wishing you and the Matador Fair Winds!
Angela Siegfried (9 months ago)
Good to know! Thanks for the information.
TheMusicrox4 (11 months ago)
Is that the 146 bridge in back of you? Let me know if it is so I can stop by & say, "Hi".
Nixon (11 months ago)
Well done, patience and perseverance works.
onthebeaches1 (11 months ago)
Loan broker? REALLY? More like LOAN SHARK! HA! Ryan...I learn so much from your vids. You're so methodical. Thanks for sharing all this great info. Our plan is...my first mate will drive the getaway car while I rob the bank for our first loan. HEE HEE! PEACE OUT!
T.J. Mills (11 months ago)
Really good information on this video. Thank you for putting it together. Curious what back gave you the line of credit.
Clay Farnet (11 months ago)
Thanks Ryan...now go sailing already. Fair winds!
k bob (11 months ago)
We were naive in the same "boat" as you about 4 yrs ago. No debt, own business, we thought they would be lining up to give us money. Ha, ended up buying the house we were renting and now we're like "remember that crazy dream we had about sailing away on a boat?"
Christopher M (3 months ago)
I believe what "No Public Name" is referring to is that the US is now on a fiat system. Previously, all our money was backed by gold so it had an actual *real* value associated with the paper bills, so they were just a convenient way to exchange "value" with others. Since we're on a fiat system now, we in fact do NOT have nearly the amount of gold in reserves that would be required to cover the dollars, so they lose value every year (aka inflation). They're basically nothing more than "IOU"s, and fluctuate wildly in perceived value based on a million different factors and voodoo.
Angela Siegfried (9 months ago)
Aww, sorry to hear that you couldn't follow your dreams. I don't know how old you are but things were a lot different back when we were their age. Now people can be a lot more mobile and still make a good living.  Cheers!
crazyg74 (11 months ago)
we actually agree on most of this, but there is no 'trick'. Participation in the monetary system that 'society' has adopted is of course optional. 'money' is just a convenient way to trade 'value'. We can of course trade without money, but one must have something of value to offer in order to trade that for something else. If you want something NOW and don't have the money or other means of exchange, then that's where the banks come in. They don't have to do it, nobody is forcing banks to lend money. They exist because there is a demand for credit and they do it for profit. They have employees to pay, and shareholders to keep happy. Whilst it can seem unfair or harsh, we all have the choice whether to play that game or not. :-)
crazyg74 (11 months ago)
it's definitely better that most don't understand the monetary system, for if they did revolt, they would soon find themselves without any convenient way of exchanging their efforts for even the simplest of things such as food. There's no revolution to be had. The monetary system is based entirely on mutual trust and the only reason the banks are in business is to facilitate people's dreams and ambitions for profit. It's not sinister, it's just simple business and it transcends anything that can be revolted against, such as government. :-)
crazyg74 (11 months ago)
your first sentence was sound but unfortunately it spiraled downhill very quickly after that!
Troll Master (11 months ago)
Excellent video and great information! Have you ever thought about doing seminar's on boat loans? Cheers!
David Cote (11 months ago)
Excellent Information. Thank You Guys For All This info!!
Todd Boley (11 months ago)
Good information to show how the process works. Makes me wonder...a few more months of saving and debt free. The debtor is always a servant to the lender.
Roger K. Davis (11 months ago)
Good info. I would be interested on your options and plans on where to register the boat.
John Swanson (11 months ago)
It’s so cool to see young people living their dreams. All the best to you both.
k bob (11 months ago)
More like achieving their desires. Having over $100k in debt, other than a house, is far from a dream. But we get what you meant.
Michael Pace (11 months ago)
Thank you! This is exactly what I needed to hear.
Roger Kerkmann (11 months ago)
Banks, insurance Co, lawers, that's why I want a boat, to get away from the rat race! DOH
Sailing Man (11 months ago)
I went through Essex (Bank of the West)  too and highly recommend them. I got a loan for 60k and got approved right away. They are hard to deal with and could leave you hanging for a while, but at the end, if you have good financials and good credit, the process should work for you.
Phil and Lyra (11 months ago)
I've always used a rule if you have to ask how much, you can't afford it. Tentatively
bill4nier (11 months ago)
Great info, thanks for sharing! Looking forward toward your sailing trips, and any repairs and upgrades you did (will do). 👍👍👍👍 😊 ⛵⛵⛵⛵⛵⛵
Scott Gregory (11 months ago)
I found a great broker with a relationship with US Bank. He took care of everything including the USCG documentation. My boat was $85,900 or so including tax. I was able to just to a down payment of $5,900 with a 12 year loan (highest term I could go). It was a great process for me!
Scott Gregory (11 months ago)
Evvy Thomas great glad to hear it. I am working on my own channel, feel free to follow my FB page https://www.facebook.com/myhappinessyacht Good luck!! Scott
Thomas Red (11 months ago)
Scott Gregory right up the road from me, good deal!
Scott Gregory (11 months ago)
I used Coastal Financial, 194 S. River Ave, Ste. 1, Holland, MI My broker was Chris Hungerink Coastal Financial Corp. 194 S. River Ave., Suite 1 Holland, MI 49423 ph: (616) 494-2628 fax: (616) 494-2629 email: [email protected] He made the whole process so easy for me. I hope I will be able to use them for my next purchase.
Thomas Red (11 months ago)
Scott Gregory well don’t keep it a secret, who’s the broker?
xcalabers (11 months ago)
Good video and information. I wish you all the best. I am concerned though that interest payments will crush your dreams. Really hope I'm wrong.
drx1 xym (11 months ago)
I would be more concerned that they are not (yet) paying down principle, yet they seem like a smart and resourceful couple.  I would typically get a loan to pay back at a certain rate and then generally increase this as long as my incoming money allows - to pay off quicker and ultimately save money.
Reset Your Dream (11 months ago)
Great information
David Reed (11 months ago)
Great info. That will be really helpful to a lot of people. Keep up the great work!!!
Ben Dixon (11 months ago)
Goodonyah guys.
John Girouard (11 months ago)
I did just like you. I called and checked on boat loans, plus the insurance quotes . All I wanted was some quotes to hash the numbers to see what size and type boat was feasible, while still being within my budget. I got such a runaround on the loan and insurance quotes that I gave up my dream. For now I will just consider chartering a boat. I must say I'm so glad you guys prevailed and achieved your dream boat. Thank you for sharing this information. Cheers Mates!!!
homie789 (11 months ago)
Does your loan with Essex not have reevaluation periods? If so did the personal loans not change your DTI ratio to a point where they wanted to call in the loan? Those are things that you have to watch for as some lenders do just that. Here in Canada what i did was got a line of credit based on the equity built up in my house, once i was qualified for the line of credit and it was attached to my bank account i sold the house and still had the line of credit which gave me super low interest payments. I have since paid off the boat and the line of credit is still on my account for rainy days or emergencies, I am sure if I called my bank and told them I no longer have the house they would rescind the line of credit. The mortgage on the house was not through my bank. Good info here Ryan thanks for the update. Can't wait to see some sailing vids now.
Ronald Reed (6 months ago)
homie789 its actually fraud but if you borrow very little and quickly repay things should be fine, if you maxed everything then filed bankruptcy, thatd be baaad. You dont sound that way at all, just keep using that to improve credit rating.
A Conneely (11 months ago)
homie789 The Title Insurance Company did not do their job and the new owner of the House may have to file a claim because of the lien that is against their house . Either that or the bank will close the LOC after they do an audit . Alternatively you could be just full of shit
homie789 (11 months ago)
It is up to the financial institution to remove it from use and they didn't. All debts were settled upon sale, the lawyer looks after that and when there was no used portion of the LOC there was nothing to pay out to the bank. The mortgage company was paid what was owed, legal expenses were removed and the rest plus taxes were paid to me. The Bank had the obligation to remove the LOC but did not and like i said it is still attached to the account as a "Linked Line of Credit". I just went to check to make sure it was actually still there and it is.
A Conneely (11 months ago)
homie789 It does not matter whether you used it or not, the Financial Institution is using the Property as collateral on the Heloc using a Deed of Trust .
homie789 (11 months ago)
because it was only a line of credit not a loan against the house. When I sold the house I had not used the line of credit yet but after i sold the house i used the LOC to buy the boat, since it was the bank who extended the line of credit and was a mortgage company who held the loan they looked at leins at time of sale, which was only the mortgage. As i never defaulted on the line of credit and paid it off the bank never looked into it and the LOC is still attached to my bank account but I have never needed it since. As i said if I mention it to my bank I am sure they will remove the LOC as it far more than anyone would get for a personal loan.
999LAX (11 months ago)
Great video! Your channel is unique and very informative. Thank you.
huey hoolihan (11 months ago)
although you're talking really, really fast, your explanations were clear and concise. very good job on a very important subject.kudos.
NICCAT (11 months ago)
The definition of B.O.A.T. is “ break out another thousand “ debt and boat shouldn’t be in the same sentence!!!
A MacPherson (2 months ago)
I would say the exception about going into debt for a boat would be purchasing as a live aboard.
Penfold Smith (11 months ago)
Crikey....Maybe best to sell everything and go cash buy and feck the loan folk
RealityIsTheNow (11 months ago)
Yep. Start saving, pay no interest.
Gregory Lyles (11 months ago)
WoW!
Loans aren't for everyone, but they did allow us to get out on the water sooner. Hope this helps those of you considering the same route! :)
Grant Marshall (2 months ago)
This was very good information. You are very thorough in going over all angles concerning the boat loan.
NatersTheGamer (11 months ago)
Yeah, we're looking into some that need bright work done since it's not something that will really affect you other than the look, and it's something you can do one your own over the weekends. One step at a time :)
Bobby Sue (11 months ago)
NatersTheGamer, trawlers are nice. If I was into motorboats I'd go that route. Good luck. Walk the docks and start talking with people. A lady I know just bought an older one for 15k. Needs about 5-10k put into it. Mostly bright work and modern updates. But deals are out there. Have fun man. That's what it's all about.
NatersTheGamer (11 months ago)
Well, I have pretty good credit, so I'm not worry about it there, but I will be changing jobs soon here so that could harm my chances. We'll see. I do have a bank that we have a great relationship with. My family has used it and interacted with some of the folks there for 30 years. Hopefully that'll up our chances :) Thank-you for the advice though! We're looking to get a trawler which typically costs a bit more than 5-10k. We'l figure it out. We always do :P
Bobby Sue (11 months ago)
We shopped around a little. All the banks said no to what we wanted. We tried two credit unions. One said yes, we had history with that one already so we were hoping to go with them anyways. We thought about the larger line of credit but we didn't have enough established credit and then the interest would have been to high. If your worried about credit, don't let that stop you. You can get many boats with good bones for around 5k to 10k.. A little sweat equity goes along way in this world. Plus just about everyone I talk to is willing to help or give advice.

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