In the market soon..newb questions

[Goldy3311]

I'm 22 and self-employed with a very flexible schedule so I want to get more serious about boarding. I inherited a 2003 Bayliner Capris 185 four years ago due to a death in the family so I'm no stranger to boat ownership, just to the whole buying a new/selling the old rig process. I'm hoping that's where you guys come in.

As I said, I want to get more serious than my current 150-200hr typical season so CCs look like the way to go. I'll be seriously ready to buy by the end of the year so I'll probably be looking at '08 210 or 220 SANs. I want something bigger than my 18' but I don't really need nor would I take full advantage of 230.

I've heard mixed responses (though I haven't spoken directly to any dealers) about financing options. As dumb as it may sound, are boats financed the same way as cars? Are we talking typical 5-6 year loans or can these be extended to drop monthly payments slightly? I suppose I should talk with a dealer to get specifics, but I'm hoping somebody has a little information just to give me an idea.

When is the best time to buy--Spring? Fall? Winter? I am planning a couple week Powell trip for next summer so I'd like to get some decent time on it before then. FWIW I live just outside of Denver and season usually starts around late March or so (at least for me..the water is too Fn cold before then!).

When buying, is it a better idea to go though individual seller or through a dealer? This might just be a matter of preference/money but I thought I'd ask anyway.

What about selling the current rig? Better to trade it in or sell it on my own? What I could get for it is probably the determining factor there but never hurts to double check, I guess. Is it difficult to find a CC dealer that will take non-CC trades?

I guess that's it for now, but any other information/guidance you guys could give would be excellent. I need all the help I can get!

[andyray]

Here's my two cents, others opinions may vary.

- Sell your boat yourself, and start as soon as possible. Most boat dealers will trade, but you can usually get (alot) more money yourself. In most states there is a tax advantage to a trade in, but I'm guessing your old boat is in the <10k range so it probably won't make that much of a difference. Plus, having your boat sold takes complication out of a deal, and makes it easier to negotiate a good price.

- Boats can be financed for very long terms, much longer than cars. I"ve heard people financing as long as 15 years. To me, that doesn't make good financial sense. My strategy is to always have it where if my life were to change for some reason, I could easily sell the boat for what I owe at any time. So my goal is always have the current value of the boat (or car for that matter) higher than the payoff amount by at least 20%. Basically, never be upside down. I can stomach being upside down a little bit the first year, but I try not to do it. To do this with a new Nautique, your best strategy is to get a great deal, put a hefty amount down, and finance for a reasonable term, something probably less than 6 years.

- Are you planning to flip the boat after each season, or how long do you plan on keeping it?

Good luck!

[mase9921]

just went through a lot of this, so I'll give you my opinion on your questions.

If you are a serious boarder, I'd go 210 over the 220. The wake is better in my opinion.

Financing can go up with 15 years if you really want to, it depends on your bank. I'd shop around a LOT. Boat loans differ from bank to bank. I looked for quite a while and got what I think is a great deal @ 5.75%. Most other banks were 7-9%. The more you can afford to put down, the better.

If you want an 08, I'd buy in the fall. Many dealers still have 08's and will be trying to get them out the door to make room for 09's. Spring time brings boat shows though, some people say the run boat show specials, but I dont know much about that.

Sell ur boat yourself rather than trade in. Boattrader is great for that. You will typically get more selling it yourself than trading it in.

[Goldy3311]

Great, thanks! I'll keep that in mind.

Another question, kind of off topic: I'm not really sure how this whole 'boat flipping' deal works. It seems like people buy new Nautiques for $80k or whatever, and they sell it for maybe $65k or $70k the next year. Doesn't seem like a very smart financial decision. Maybe I'm just ignorant/naive..can somebody explain how the whole thing works?

So to answer your question, given that I have no idea about flipping I would like to get something that I can keep for a while, but with my line of work and the quality of Nautiques these days, there's really no telling :razz:

Any/all other responses definitely welcome.

EDIT: Thank you as well, mase. Didn't see your response 'til just now.

[andyray]

Most people I know who flip boats yearly are doing so because either (a) they can afford it, and they want the newest thing each year, or (b) they put a massive amount of hours on it each season, so it actually is cheaper for them to sell it after one season than three or four. (think of ski schools, clubs, etc)

If you look at a boat as a depreciating item, and your true cost is the ((price paid) + (maintenance and insurance)) - (selling price). If you get a new Nautique for 80k, and sell it for 65k one year later, your cost of ownership was $15k+maintenance and insurance. So maybe $1300/month to run the boat for that year. Typically that monthly figure will decrease each year you hold the boat, so it gets cheaper over time. You want to get the best deal up front if your plan is to flip the boat, and probably get a lot more opinions.

I'll bet there are guys on here with 02-03 Super Air 210's whose monthly cost of ownership would work out to be in the <$200 range if they sold today since the boats have held their value so solidly.... that's definitely a plus with a Nautique.