It’s hard to attach a dollar amount to the feeling you get during your first time out in your new boat. Ultimately, though, we have to do exactly that. If you’re not paying in cash, you’ll have to find the right boat loan before you can go anchors aweigh. Know your options and understand the terms to make sure you’re getting the best possible deal before signing on the dotted line. 

Boat Loan Terms

Boat financing normally comes in the form of a personal loan. You can expect to make payments in fixed monthly installments until your debt is eliminated, and you own your boat free and clear. Boat loan terms can be as short as two years or as long as 15 years in some cases, and the average length is somewhere toward the middle of those two extremes. The term loan is a function of the total amount of your loan divided by the monthly payment you can afford.

Secured Vs. Unsecured Loans

Some boat owners choose to secure a loan against the purchased boat. In other words, the lender can claim your vessel if you default on your payments. Some take that risk in an effort to get larger loans and lower interest rates, especially if they don’t qualify for an unsecured loan. Buyers with high credit scores may qualify for an unsecured loan. There’s no collateral required for unsecured loans, but missing payments can lead to credit score woes and wage garnishment.

Used Boat Financing

The most common lenders offer to finance for used boats in addition to new boats. Terms and interest rates may change depending on whether the boat is new or used, so it’s important to make sure you get the appropriate loan for your specific boat.

Where to Get a Boat Loan

At Nautical Ventures, we offer to finance through our partnered banks. We make it easier by letting you know the best option for you based on your specific situation to make sure you walk out with the best deal. You have a lot of financing options, so work with someone you trust to make sure you’re getting the best deal on your boat loan. 
Some people look to online lenders or person to person loans, but most boat owners get their financing from one of these three options:

    1. Banks – You may even be able to get a loan through your current bank, but these lenders frequently insist upon secured loans.
    2. Credit Unions – Buyers with imperfect credit may be able to get lower interest rates here than they could through banks.
    3. Marine Lenders – Some buyers go through a boat loan specialist to broker an attractive marine financing deal.

Choosing the Best Boat Loan

Interest rates and payments are among the top considerations for some people. Understandably, buying a boat is a big financial decision– maybe that’s why some people say the best two days in a boat owner’s life are the day you buy your boat and the day you sell it. Make the most of those two days and each day in between by preparing for the additional costs of owning a vote. A manageable loan can help you reserve money for regular maintenance, aftermarket upgrades, and repairs that will maximize the resale value of your boat.

Finance a Boat South Florida

Here at Nautical Ventures, we pride ourselves on serving people throughout their entire journey of owning a boat. We’ll connect you with the best boat financing specialists in South Florida, then help you protect the value of your investment. Insurance and warranty services, storage, and marine detailing go a long way toward making each boat loan payment worth every penny. Contact us, and our team will happily answer all of your questions about buying a boat.

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