Fred and Tinman, Both made excellent points. I won't finance a boat neither for a sale or purchase for the reasons you two stated.
Walt
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Fred and Tinman, Both made excellent points. I won't finance a boat neither for a sale or purchase for the reasons you two stated.
Walt
Will Rogers said banks are institutions designed to loan money to people who don't need it. My father taught me that you either want to owe banks a lot or a very little because when you're in the middle, and the rubber meets the road, you'll find out what your banker is reaching for is not an equitable solution but that tube of grease they all keep. A good many people found out in 2009 that banks were poor partners.
I've rented, leased and sold properties for the last 35 years. Thankfully, I have no more residential properties and the attendant headaches. I look back in disbelief at the times when I frequently collected rent with a Winchester Model 12 in one hand and receipt book in the other. Properties do get trashed, even by people who have or had good credit and can pass a background check. I once concurrently rented to a doctor who became an alcoholic house painter and a guy paroled for murdering his girlfriend in a fit of passion. The later kept up his apartment and always paid on time; the former lived in filth and was forever in arreas. People change.
Robert you are correct, however as my mother always said; you can't change the spots on a leopard!
Jon
In the past five years I have done two owner finance deals. Both were + or - half million dollar boats. Both had large down payments, short terms and huge monthly payments (one was $10K/month) All went like clockwork and both are now paid off. It can work. It helps when buyer and seller are both millionaires.
Not must be a pos, just something to question and a point to negotiateIt's like if a seller can't show me that the boats been properly maintained, I'd assume (at least for the purpose of negotiation) that it hasn't been maintained. And no question the boat could sink and the loan would no longer be secured, but you would still be able to collect on the noteBottom line is I risk my life every time I cross the street, but I take steps to mitigate that risk, I don't not cross the street. There is a risk buyingor selling an old boat whether it's financed or not. I will pay more for my toys if they come with financing. Even if I have the cash,
Or, your new buyer agrees to make payments to you and as soon as he takes possession of your nice boat, he takes the boat strait down to French Guiana were he sells the boat to a local tribal leader for some pretty beads, his oldest daughter and US dollars....lots of them. He always wanted a Hatteras.
This happens everyday!!!
That would not surprise me. LOL
The point is not whether you would finance the boat, but would the selling price be positively affected by the option.Also, if u were the loss payee secured by your note, u would have a stated value policy.Maybe it's good u guys are all retired, cause even a little risk taking is clearly too much. I risk capital every day conducting business, i consider the risk against the gain and make a judgement. If the note represents proceeds I would never have gotten in a cash deal, the risk is minimal cause I got in the first the value of a cash only deal. Of course it would be safer to stuff it in my mattress