What is the “norm” for buying a boat in the Great Lakes area in the winter?

[Angela]

I am asking for a friend. Seriously, I really am asking for a couple of friends who live in Minnesota. They are under contract to buy a boat located in Chicago that is in storage. They have had a preliminary survey done to the extent one can be done on a boat in winter storage. The current agreement is that is that after that survey, they are being asked to close on the boat later this month and conclude the survey of the systems that could not be tested and do a sea trial in May (meaning they would already own the boat by then) with the Seller having some amount of funds in escrow to remedy any new findings that need fixing, likely not nearly enough money in escrow is my guess. The final part of the survey and seatrial would include both engines all 3 AC units, bow/stern thrusters, and all water/plumbing systems. One thing that made me raise an eyebrow is that during the initial survey, there was not one working light in the engine room.

My friends are being told that “this is how boats are sold/purchased in the Great Lakes area.” I just cannot imagine buying a boat under those conditions. Is that really the NORM in the Great Lakes area?

My inclination is no f’ing way. For those of you who live up there, what say you?

[Pascal]

No way Jose... but what do I know about buying procedures up north
I think there is a boat here on pier 7 homeported in one of the frozen state... you may want to ask the owner. She must know.

it s too much of a gamble for my taste. How much money in escrow and who will arbitrate any disagreement ? It may be how it s done up there but I wouldn’t. I d rather wait till spring and do it right.

[Angela]

I think there is a boat here on pier 7 homeported in one of the frozen state... you may want to ask the owner. She must know.

No, I checked. That boat was never up there in the winter and was sold in Fort Myers the first time and in Key West the second time. It was only up there in the Great White North in the summer doing the Great Loop twice while running through the Canadian side of the Great Lakes.

[SKYCHENEY]

I've heard of it being done that way, but I would not do it. Not unless I was pretty confident in the boat based on my own observations and also I was comfortable with the escrow amount.

[Bugsy]

I sold a boat during early spring and I bought a boat in the same time period. The boat I purchased was through Jefferson Beach Yacht Sales. We did the out-of- water survey in storage and came back early April to do the seatrial in Lake Michigan. There was never a suggestion of doing a " conditional closing".

[carolinacoast]

I bought a Sabre sailboat that way, sort of. I escrowed the funds after a survey on dry land in January in MA. Deal was subject to sea trial after the thaw. I focused on the escrow agreement more than the contract.
yard was fantastic, and broker was paid. Delivered the boat from MA to GA after a shakedown to RI. Extra fuel filters..priceless.

[Toronto]

Good morning. I have bought and sold several boats "up North". NEVER have I paid, other than a refundable deposit,
for a boat until after the sea trial. Just don't do it. There has to be a reason and that reason will cost you.
If the boat is there, North, then the seller has to wait until the sea trial. Then the engines, then the survey.
If that isn't OK with the seller, come back when the boat is in the water, and start again.
When I bought my 52 in Mich. we staged the deposit which the broker held, until the sea trial. No monies released to the seller until all repairs were finished, then
monies were released, and I got title.
Something wrong with paying first, then checking things our.
My 2 cents.
Alex

[brettportzer]

We bought our boat in Baltimore area, deposit in Dec, and then we just renewed the contract every 6 wks or so until things aligned first week of April for sea trial and surveys etc...

[RichardM]

Boats can go in the water in early April in the Chicago area. That's 4 weeks from now and the guy can't wait for just a month? That seems unreasonable to me. Personally I wouldn't do it. If there is something wrong with shafts/props creating vibrations because they're slittely bent or un ballanced props, it can add up pretty fast and they won't see it in the initial survey. Probably more than whatever is left in the escrow account. Transmission problems? Engine problems? A lot can go wrong... just my thoughts ;-)

[Byresch]

No way Jose... but what do I know about buying procedures up north
I think there is a boat here on pier 7 homeported in one of the frozen state... you may want to ask the owner. She must know.

it s too much of a gamble for my taste. How much money in escrow and who will arbitrate any disagreement ? It may be how it s done up there but I wouldn’t. I d rather wait till spring and do it right.

I agree 100% with Pascal, I have bought 4 boats and never closed without a complete survey and sea trail. If they don't want to take it out of winter storage to facilate a sea trial and survey I'd wonder what they are trying to hide.