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

[Angela]

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

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]

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

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]

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

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]

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

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]

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

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]

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

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]

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

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]

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

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]

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

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]

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

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.

 

[oscarvan]

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

It's like the moment you think to yourself: "Should I put on a life vest?" The answer is "Yes". Right now.

If you're not comfortable with the way the seller and broker are trying to stack the deck and you ask yourself "Should I walk?" "Yes".

"How it's done" is not gonna pull your chestnuts out of the fire when it gets too hot.

 

[spartonboat1]

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

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.

Ditto on "No way, Jose". Two Sea Trials approaches:
Me, rookie buyer, in 1997 of my '72 43'DCFB, bought sight unseen, after driver to Wisc from Mich:
"Well, the engines started and Diesels sound nice. She floats, but we never got above Hull Speed" Hatts are big, even the "little" 43, and going aboard and getting underway, made me nervous first few years!
Thankfully it was a very reputable broker and we ran across Lk Mich to Mack City, no issues, in nice June seas.

Me, now old grizzled 25 year boater: Splash the boat. Sits in the Slings.
Observe: Heads down in every cranny, pull all the hatches over everything, bright flashlight in hand, check for water leaks, rudder stocks, shaft stuffing boxes, etc. Checking all fluid levels and oils.
Pre-Sea Trial: Check all controls, all stations.
Start engines, observe all gauges and pressures. Note: Engines should be at ambient temperature, not pre-run. Re-check electricals that were checked on the hard.
Sea Trial: Pull out, no more that Hull Speed, until engines are fairly warm; oil pressure never under 50, after 900 rpm or so. Bring up on plane (Hatt def- big hole in water, but faster). Run at cruise, set the tabs (do they work), observe water temps and exhausts for smoke and water flow. Run on the pins for a few minutes and observe oil pressures and esp. water temps, rising or not. Make turns and observe response to helm.

Anyway, I sure support the "deposit and no pay", until address issues!

My 2cw...

 

[edward]

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

What escrow company would you use ?

 

[Bob Quinn]

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

I'm from Michigan and as to the original question... That is NOT how its done up here. what you have is a pushy selling broker, and a bull shitter. it would make me suspicious.

 

[Angela]

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

My friends took note of the advice, and decided to wait until May to continue with the purchase process and decided not to be pushed into closing in a “backwards” fashion. I was so happy to hear they had pushed back and will do it the right way, now.