Boat financing help - may lose a deal

Discussion in 'Ask the Broker' started by Steve S, Sep 14, 2017.

  1. Steve S

    Steve S Member SILVER Sponsor GOLD Sponsor

    506
    Jun 5, 2007
    Northern IL.
    2000 400 Sedan Bridge with twin CAT 3116's

    2000 340 Sundancer - SOLD!
    210 Monaco 1987 - SOLD!
    Twin Caterpillar 3116's 350 HP straight drives
    Any recommendations on yacht financing?

    I have an offer accepted on a used 400DB. Got approved for financing BUT at very unfavorable terms. Makes me shake my head as I planned on 30% down and financing the balance. They offered me a loan with 42.5% down, 64% higher interest rate and shorter term then I planned on.
    May blow the deal up.

    I have excellent FICO credit well above 750 so that is not an issue.

    Any recommendations on a lender? I am in Northern Illinois.

    Thanks!

    Steve
     
  2. Little Ducky

    Little Ducky Active Member

    365
    Jun 5, 2017
    Chattanooga TN/Dickson TN
    1998 SeaRay 290 Sundancer
    Twin 5.0L w/Alpha 1 drives
    Don't know how long they can push a loan out to but try "Lightstream" (SunTrust)

    Edit:
    Just looked..... It looks like they only go out 7 years.
     
  3. Strecker25

    Strecker25 Well-Known Member SILVER Sponsor

    Nov 20, 2014
    Rochester, NY
    1998 290 Sundancer
    Twin 5.7EFI/Alphas, Kohler 4kw
    I got preapproved from essex credit. Terms were 15 year @ 4.94% (for a 2001 model) with minimum 10% down. Closing costs of up to $899.00 but they said it's often much cheaper. I can't speak to their customer service after closing as we haven't made the deal but might be worth checking out.

    https://www.essexcredit.com/home/boat/rates/
     
  4. importmonkey

    importmonkey Member SILVER Sponsor GOLD Sponsor

    497
    Jul 9, 2015
    Middle River, MD
    2007 44 Sundancer
    QSC 500s
  5. The Bill Collector

    The Bill Collector Well-Known Member SILVER Sponsor

    Jun 2, 2008
    Tacoma, WA
    450 Sundancer
    3126 Cat's
    Take the 2nd on your house and pay cash....
     
  6. Gofirstclass

    Gofirstclass Well-Known Member GOLD Sponsor

    Apr 20, 2010
    Tri Cities, WA
    1995 550 Sedan Bridge,
    2010 Boston Whaler 130 Super Sport,
    1981 Boston Whaler 130 Sport,
    CAT 3406C's, 580hp.
    Mark, I'd question that bit of advice. If times go bad like we've recently had experience with and you have to give back the boat, well so be it.

    But if the collateral on your loan is your home and you have to give your home to the bank, that's a whole different thing.
     
    HUMPH and Steve S like this.
  7. NotHerDecision

    NotHerDecision Active Member PLATINUM Sponsor GOLD Sponsor

    775
    Jun 28, 2016
    Houston, Texas
    2001 Sea Ray 460 Sundancer
    2014 Seadoo 155 LTD
    2105 Seadoo 130 SE
    2013 Mercury Dinghy
    Cummins 6CTA 8.3L
    I used Essex and am happy with them. They are one of the few who finance older boats. I will say this. They are not fast.

    Josh
     
  8. The Bill Collector

    The Bill Collector Well-Known Member SILVER Sponsor

    Jun 2, 2008
    Tacoma, WA
    450 Sundancer
    3126 Cat's
    Totally understood and it's going to vary with every individual... I went with 50% down and a 2nd on my home and I was quite comfortable with that.
     
  9. JC3

    JC3 Active Member

    Oct 6, 2006
    Kentucky
    N/A
    N/A
    I personally would never mortgage my home for a boat loan as stated by GFC above.
    Its not if but when a new crisis comes. Because I am old now my advice would be to by a boat that's maybe a little older and be extremely picky. Find the best boat that suits your needs that would not put you in a bad financial position if something unforeseen were to happen.
     
  10. Steve S

    Steve S Member SILVER Sponsor GOLD Sponsor

    506
    Jun 5, 2007
    Northern IL.
    2000 400 Sedan Bridge with twin CAT 3116's

    2000 340 Sundancer - SOLD!
    210 Monaco 1987 - SOLD!
    Twin Caterpillar 3116's 350 HP straight drives
    Thanks everyone for the advice. I got the problem solved by applying at my credit union, PenFed. Had to toss in a few more boat dollars on the down payment but got a 4.5% rate - 12 year note amortized as 20 years - so a balloon payment at the end. One phone call... asked a few questions... HIN, Dealer, etc. Boom! Check being mailed in the morning...
     
  11. Gofirstclass

    Gofirstclass Well-Known Member GOLD Sponsor

    Apr 20, 2010
    Tri Cities, WA
    1995 550 Sedan Bridge,
    2010 Boston Whaler 130 Super Sport,
    1981 Boston Whaler 130 Sport,
    CAT 3406C's, 580hp.
    Congrats. Now we can't wait to see photos of the new baby.
     
  12. The Bill Collector

    The Bill Collector Well-Known Member SILVER Sponsor

    Jun 2, 2008
    Tacoma, WA
    450 Sundancer
    3126 Cat's
    Congrat's !!!
     
  13. importmonkey

    importmonkey Member SILVER Sponsor GOLD Sponsor

    497
    Jul 9, 2015
    Middle River, MD
    2007 44 Sundancer
    QSC 500s

    That's great. Navy Fed wanted WAY more than last time, and depending on how much their rates suck. Good job!
     
  14. bbwhitejr

    bbwhitejr Active Member SILVER Sponsor

    Apr 14, 2013
    Lake Lanier GA
    2007 44DB
    Cummins QSC 8.3s
    Good for you!

    Bennett
     
  15. UnleashedBeast

    UnleashedBeast New Member

    6
    Nov 21, 2017
    Pensacola, Fl.
    Shopping for a Sundancer or Sedan Bridge with Cummins diesels.
    Boatless
    Navy Fed's rates are higher for sure. However, my wife works for them, so that gives her a 1% reduction in the rate AND they will finance up to 125% loan to value. That means, no huge down payment, and you can even finance in tax/registration. This would still land you with a 2% higher rate than a lender like Essex.

    Looking at this thread, that's still a better deal that posters above who had to pay massive down payments with rates higher than Navy Fed.
     
  16. Steve195

    Steve195 Member SILVER Sponsor

    314
    Jan 15, 2016
    Richmond, VA
    2017 Sweetwater 2286 WB Tri-toon
    Yamaha 150 Outboard
    That's so different than my experience at PenFed. When I was shopping for my new boat, I called them because they were the lender on my current boat. I figured it would be easy to stay with the same lender and they had good terms etc. on the current loan (which was originated by my dealer). Long story short, when I called, the guy who I got on the phone basically told me they really didn't do boat loans and really weren't competitive. He recommended I go somewhere else! I guess it just depends on who's on the other end of the line.
     
  17. Steve S

    Steve S Member SILVER Sponsor GOLD Sponsor

    506
    Jun 5, 2007
    Northern IL.
    2000 400 Sedan Bridge with twin CAT 3116's

    2000 340 Sundancer - SOLD!
    210 Monaco 1987 - SOLD!
    Twin Caterpillar 3116's 350 HP straight drives
    Depending when you spoke with them, that may have been true. Several years ago I was looking at a 44 Express Bridge and I was told the same thing - that they only had small boat loans (less than 30K) and didn't offer a loan like the one I already had. Deal fell thru so it was moot.

    That was why I originally went to the loan broker who specializes in boat and RV loans. After I got the ridiculous terms I decided to call PenFed and check and I was surprized when the women told me that she could help me...
     

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