Buying a boat is a huge investment of time, money and resources. What’s more, if you are going to purchase a boat for sale, you must take care of the storage, management, and maintenance of your boat. With this in mind, it’s easy to see that you would need the right financing when purchasing a boat. As experts in the industry, boat lenders allow you to get the proper boat loan that covers certain fees and they often finance boat models that are not usually covered by banks or other financial institutions.
Once you have found your dream boat, finding the best boat loans is the next step. Vessel Vendor works with worldwide marine lenders that can offer competitive rates for your new boat purchase.
WHAT DO BOAT LENDERS DO?
Boat lenders are experienced professionals in both the boating and financial industries. They are able to help you choose the right boat based on your preferences and further help you get just the right financing for your boat. Working with different financial institutions or providing the financing themselves, boat lenders are a great boat loan financing option you should definitely consider.
Boat loan rates vary depending on the year, make, model, and condition of the boat. Boat loan amounts range from $5,000 to $5,000,000 and typically do not exceed 20 years.
SHOULD YOU CHOOSE A BOAT LENDER FOR YOUR BOAT LOAN?
Boat lenders are considered the better option for a boat loan compared to banks and other financial institutions for a multitude of reasons. One of the main reasons is the fact that most banks don’t cover all the different boat types and may usually have a higher interest rate due to their perceived uncertainty of the boating industry. Boat lenders can also help you get the right financing for your boat if you have a lower credit score.
HOW TO PREPARE FOR A BOAT LOAN
When shopping for a boat loan, your boat lender will ask you for the following items when you submit a boat loan application:
- Employment information
- Financial records and statements
- Basic information about your boat
Once you have begun the initial boat loan application process, your boat lender will require additional information for underwriting. Like applying for a mortgage, items such as tax returns, bank statements, employment verification, and a bill of sale will be required for your loan approval.
A marine survey is required for used boats or boat refinancing. Vessel Vendor recommends confirming that the boat of interest is in the NADA guide, as many boat loans will not be approved if they are not listed in the NADA or if they are a charter, airboat, commercial boat, performance craft, personal watercraft, inflatable, or houseboat. It’s important to emphasize the boat type when applying for a boat loan to ensure that the boat lender covers the make/model.
*Post updated on November 27, 2019*