# How many years will they finance a new boat.



## Eugene Stinson (Feb 17, 2014)

How many years will they go and what is the average 
interest rate?

My want has gotten a bid bigger and my boat seems to have gotten smaller.


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## shadow2 (Feb 17, 2014)

Depends on how much you are financing.  I have seen any where from 3 to 15 years depending on what you are buying.   I have heard of interest rates as low as 1.99 an they go up from there based of length of loan and credit from what I have seen in my research.  

What are you looking at buying?


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## lagrangedave (Feb 17, 2014)

Tracker prefers a 12 year loan. Got mine at about 2%. $125 a month.No penalty for early pay-off.


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## Eugene Stinson (Feb 17, 2014)

last I looked the boat I want is a phoenix right @ $40,000.
Killing me trying to decide between 2 or 4 stroke though. Hey  time for a new thread.


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## sbroadwell (Feb 17, 2014)

You can't go wrong with a Phoenix! My son has one; best boat I've ever fished out of, and I've fished with a lot of guys in all kinds of boats.


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## Rgd (Feb 17, 2014)

Eugene Stinson said:


> last I looked the boat I want is a phoenix right @ $40,000.
> Killing me trying to decide between 2 or 4 stroke though. Hey  time for a new thread.



You must be looking at the 619.  I was told they have a 919 coming out at the classic this week.  I have a 618 and love it but I hope to have a 920 or 721 this time next year.


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## shadow2 (Feb 17, 2014)

Rgd said:


> You must be looking at the 619.  I was told they have a 919 coming out at the classic this week.  I have a 618 and love it but I hope to have a 920 or 721 this time next year.



That 920 is a bad boy.   It's on my short list for a new boat.


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## TroyBoy30 (Feb 18, 2014)

never finance toys


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## littlejon (Feb 18, 2014)

lagrangedave said:


> Tracker prefers a 12 year loan. Got mine at about 2%. $125 a month.No penalty for early pay-off.



12 years


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## Larry Young Jr (Feb 18, 2014)

lagrangedave said:


> Tracker prefers a 12 year loan. Got mine at about 2%. $125 a month.No penalty for early pay-off.



That is $31,221.90 That is a lot of money.   I do understand that you do what you can afford. 2% is a good rate.

Good luck and be safe
Larry


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## Dutch (Feb 18, 2014)

Tracker wanted me to go 10 years @ 6%  on a boat loan when I bought my PT175 TF...I said no thank you and financed the loan through the Credit Union @ 2% for 5 years with no down payment...Bass Pro wanted 10-20% down payment.

But to finance a boat for longer than 5 years...


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## carolinagreenhead (Feb 18, 2014)

I was told by a Ranger dealer that they would finance up 20 yrs with 6% down using their finance companies. The APR depends on too many things. Worse part is he said that 20 yrs is not uncommon.


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## Dutch (Feb 18, 2014)

carolinagreenhead said:


> I was told by a Ranger dealer that they would finance up 20 yrs with 6% down using their finance companies. The APR depends on too many things. Worse part is he said that 20 yrs is not uncommon.



20 years for a BOAT!

My house was financed for 15 years. A house or land I could see financing 20 or 30 years, a boat no way.


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## 2degrees (Feb 18, 2014)

My sea Hunt  was $40,000.  12 years on financing.   Pay it off early no penalty.   

If you stress over paying it off in 5 years you may not have the money left over to enjoy it.  also if you have a financial glitch you still have to pay the higher payment.


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## Dutch (Feb 18, 2014)

My payment is $300 a month...if someone stresses over that amount, than maybe a boat isn't what they need. But then again I didn't need a $50000 boat to fish in. 

YMMV


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## tree cutter 08 (Feb 18, 2014)

I'd finance one for about 2 seconds. I'd rather fish out of a trash can.


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## Eugene Stinson (Feb 18, 2014)

yeah it is kinda crazy. I was told 20 years but could not believe it. But yes they will go 20 years. I was told today the average interest rate is about 4%. SO if you bought a 40,000 boat at that rate you would pay over 18,000 in interest LOL


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## panfried0419 (Feb 19, 2014)

After listening to Dave Ramsey on about financing any type of boat I quickly changed my mind and began saving instead. He said the depreciation of a boat will cost the buyer double if not triple the MSRP in the long run.


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## Troutman3000 (Feb 19, 2014)

panfried0419 said:


> After listening to Dave Ramsey on about financing any type of boat I quickly changed my mind and began saving instead. He said the depreciation of a boat will cost the buyer double if not triple the MSRP in the long run.



Plus you can find a used boat where someone else had paid the depreciation for you.


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## shadow2 (Feb 19, 2014)

A boat is never a "good” money move. It is something that brings enjoyment and if the monthly payment is affordable where you can still save for the future and you get that amount of enjoyment out of it then have at it.  Most guys don’t keep a boat more than 5 to 7 years before trading anyway.


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## poolecw (Feb 19, 2014)

ding ding ding.  we have a winner.



TroyBoy30 said:


> never finance toys


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## nickel back (Feb 19, 2014)

shadow2 said:


> A boat is never a "good” money move. It is something that brings enjoyment and if the monthly payment is affordable where you can still save for the future and you get that amount of enjoyment out of it then have at it.  Most guys don’t keep a boat more than 5 to 7 years before trading anyway.



^^^^this^^^^


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## robertjl (Feb 19, 2014)

I proudly went 15 years on my Phoenix. You can't take money with you. If $350.00 per month makes me happy and it does not take away from my family all is good. There’s no price tag for the stress relief fishing brings me. No different than someone paying 6k a year to be part of a hunting club or 100 per round of golf. Do what make you happy life is too short?


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## littlejon (Feb 19, 2014)

robertjl said:


> I proudly went 15 years on my Phoenix. You can't take money with you. If $350.00 per month makes me happy and it does not take away from my family all is good. There’s no price tag for the stress relief fishing brings me. No different than someone paying 6k a year to be part of a hunting club or 100 per round of golf. Do what make you happy life is too short?



I agree, I know people who spend more in beer,  cigarette's, movies or going out to diner in a months time.  As they say, do what floats your boat.


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## Atlanta Dawg (Feb 19, 2014)

*Happy...Happy...Happy*



shadow2 said:


> A boat is never a "good” money move. It is something that brings enjoyment and if the monthly payment is affordable where you can still save for the future and you get that amount of enjoyment out of it then have at it.  Most guys don’t keep a boat more than 5 to 7 years before trading anyway.



Happiest days:  Day I bought it, Year I first used it, and The Day I SOLD it !!!


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## pbmang (Feb 19, 2014)

TroyBoy30 said:


> never finance toys



I agree with this as well, even though I know it is not a popular opinion.

The problem with payments is if something major happens, all the "easy monthly payments" can quickly become not so easy.  My wife and I were talking about it the other day, and how nice the feeling was knowing everything in the driveway actually belongs to us, and not a bank.  That also made the decision for her to stay home full time and take over our small business a very easy one.  If we had the typical 2 car payments and a boat payment, that would not have been an option.  I'm happy to fish out of my 12 year old boat, since it still floats just as well as a new one (usually)...lol

Everyone is different though, and what works for some doesn't work for others.  But I will say, life is much easier when the only bills you have are the house and utilities.


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## Atlanta Dawg (Feb 19, 2014)

*Amen....*



pbmang said:


> I agree with this as well, even though I know it is not a popular opinion.
> 
> The problem with payments is if something major happens, all the "easy monthly payments" can quickly become not so easy.  My wife and I were talking about it the other day, and how nice the feeling was knowing everything is the driveway actually belongs to us, and not a bank.  That also made the decision for her to stay home full time and take over our small business a very easy one.  If we had the typical 2 car payments and a boat payment, that would not have been an option.  I'm happy to fish out of my 12 year old boat, since it still floats just as well as a new one (usually)...lol
> 
> Everyone is different though, and what works for some doesn't work for others.  But I will say, life is much easier when the only bills you have are the house and utilities.



AMEN to that !!


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## PappyHoel (Feb 19, 2014)

I got a 30 yr loan on my Grady White.  Payments are only $2200 a month.


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## Dr. Strangelove (Feb 19, 2014)

My personal goal is to never finance anything again, with the exception of a home. I've financed cars, boats, etc. and have come to the conclusion that if I can't pay cash for it, I can't afford it.

That said, it depends on the individual.  I don't see anything wrong with financing a boat, as long as you go into it with eyes wide open knowing what you're getting into.


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## shadow2 (Feb 19, 2014)

pbmang said:


> I agree with this as well, even though I know it is not a popular opinion.
> 
> The problem with payments is if something major happens, all the "easy monthly payments" can quickly become not so easy.  My wife and I were talking about it the other day, and how nice the feeling was knowing everything in the driveway actually belongs to us, and not a bank.  That also made the decision for her to stay home full time and take over our small business a very easy one.  If we had the typical 2 car payments and a boat payment, that would not have been an option.  I'm happy to fish out of my 12 year old boat, since it still floats just as well as a new one (usually)...lol
> 
> ...



A good compromise between the cash up front (where there is a good argument against) and full financing is to put enough down so that when you drive it off the lot you are still in the green and remain that way with each monthly payment.  That way if something does happen you can sell the boat and have cash in hand.

We all have had life experiences that shape us in our decisions.  I have seen and known to many people who have had  their lives cut way short or altered to to point where they will never be able to realy enjoy the things they liked to do again.  For me its worth the money to be able to get as much out of life as I can.  Knowing that each day I go to work could be my last one where I am able to fully function as a human.


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## F.A.R.R. (Feb 19, 2014)

We all have had life experiences that shape us in our decisions.  I have seen and known to many people who have had  their lives cut way short or altered to to point where they will never be able to realy enjoy the things they liked to do again.  For me its worth the money to be able to get as much out of life as I can.  Knowing that each day I go to work could be my last one where I am able to fully function as a human.[/QUOTE]

I'm not going to even attempt to offer advise or an opinion on how somebody should spend their money here...............but couldn't agree more with what your saying  as far as make decisions that make you happy when the future is entirely uncertain and unpredictable.


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## tree cutter 08 (Feb 19, 2014)

Also nice to say hey it's 70 degrees all week in February and I think ill fish all week, instead of dang I got to work to pay for my boat.


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## LTZ25 (Feb 19, 2014)

I have finnanced a lot of things in my days but I can say I no longer make payments of any kind , and it's a great feeling to have but for a young family it's almost impossible , just be smart on the boat deal . ( I would buy a used boat for about half the cost of a new boat ) about a month after you get it you'll forget it was used .


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## sinclair1 (Feb 20, 2014)

I bought new, financed for 5 years and paid off in 3 years. It's 11 years old now and I couldn't imagine still owing 9 more years.
A little double wide on the lake with a boathouse could be had for close to the same money per month.......just something to think about.


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## jkaviation (Feb 20, 2014)

I buy boats all the time but I never buy new, I have bought many peoples boats that they were going to lose because of default or just plain don't use and no longer want that payment. Don't ever expect retail on selling your used boat and it doesn't matter if you paid 50k for  new bass boat 2 years ago, you will be lucky to sell it for half that. so unless you're paying 12,500 a year principal (not interest) your in a loosing battle. My 2 cents and I see it all the time. Great deals on used boats everyday. If you can afford it then by all means pay cash, you'll get a better deal.

Look at a boat loan like this: You gave them your 10% down on a 50k boat= $5000
TAX x 7%= 3500
boat registration and tag fee=approx =150
so 45k for 12 years is approx $400/mo at 4%
same loan no interest is      $300/mo= $100.00 a month interest
(do you own it at this point or are they charging you $100 a month to use it after you pay your principal????) Just a thought.

so right off the bat you've spent $9050 and never even wet the boat yet.(down payment,taxes,tag, 1st payment plus interest )

so you're paying approx $1200 interest /yr x 12 years =14400 in interest alone+ 50k purchase price =$64,400

I don't know about you but if I had and extra $1200 cash each year I saved on interest After a few years I could pay cash for a nice used boat that somebody else financed for several years, don't get caught up in the payment game. 

first thing a salesman will ask is how much of a monthly payment can you afford, they will make it happen if it takes 10 yrs or 20 yr if a payment is what you seek a payment you will find.


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## Lawnmowerman (Feb 20, 2014)

Eugene, Larry Young,,,, yall need to go to math school before you do ANYTHING,,!!!


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## doomtrpr_z71 (Feb 20, 2014)

What does it matter? You're not guaranteed tomorrow and paper money don't do to well in a pine box 6ft under. Just because its financed for 12 doesn't mean it can't be paid for quicker. Can you really place a price tag on happiness? Besides buying a boat has never been a wise investment any way.


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## Larry Young Jr (Feb 20, 2014)

Lawnmowerman said:


> Eugene, Larry Young,,,, yall need to go to math school before you do ANYTHING,,!!!



Your are right. Not math school, Brain school that is what happens when you try to take a brake from doing your taxes. 
It should have been $125 X 12 = $1500 X 12 = $ 18000.00.

Thank God my CPA checks all my Numbers......


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## firebreather (Feb 21, 2014)

Well I enjoy my 86  15.5' glasstream n  its newly rebuilt motor  n it gets me any where I wanna go .just slower than others .but im not a tourney  man . Just saving some money for a nice si  finder . N im happy .


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## StriperrHunterr (Feb 21, 2014)

Y'all happy with your boat and your choices to finance or not? I know I am!

Let's go fishing, just give me and my 25hp 2 stroke a half hour head start to the next hole, please.


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## Randy (Feb 21, 2014)

Man I am glad I fish from a kayak!


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## panfried0419 (Feb 25, 2014)

Randy said:


> Man I am glad I fish from a kayak!



X2...not to mention the 6" or less we can clear in the flats


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## bowandgun (Feb 25, 2014)

The biggest detriment to financing a boat is depreciation.  Try to find boats that are forsale and buy them under book value.  If you do finance go for a longer term and then pay off early.  I used to own a brokerage company and the worse scenario was when someone paid retail with no down pmnt and financed for 15 years making only the required pmnt.  When they went to sell they were so upside down some had to take out loans to be able to sell.  Crazy what people will do to buy a boat.  Good time to shop is winter.


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## pbmang (Feb 25, 2014)

LTZ25 said:


> I have finnanced a lot of things in my days but I can say I no longer make payments of any kind , and it's a great feeling to have but for a young family it's almost impossible , just be smart on the boat deal . ( I would buy a used boat for about half the cost of a new boat ) about a month after you get it you'll forget it was used .



It all comes down to priorities.  My wife and I were totally debt free, except for our house, in our 20's.  I don't make much money, but it has allowed us to live comfortably enough while I work on getting my income up, and has also allowed up to save a few dollars.  It is tough sometimes though, when we see our friends getting new toys.  But, we just remind each other why we are doing what we are doing.   



doomtrpr_z71 said:


> What does it matter? You're not guaranteed tomorrow and paper money don't do to well in a pine box 6ft under. Just because its financed for 12 doesn't mean it can't be paid for quicker. Can you really place a price tag on happiness? Besides buying a boat has never been a wise investment any way.




It doesn't matter to me what others do, but I'm not just trying save money for myself.  My wife and I are trying to fundamentally change the way we handle money, so if something does happen to one of us, there won't be a financial mess that needs to be cleaned up by our kids (when that time comes).  Plus, the odds are we both have quite a few years left, so why not try and retire young and loaded?  

I saw this a year or two ago, and you may or may not agree with all the numbers, but it does a good job illustrating how much a monthly payment really costs:

http://www.daveramsey.com/media/flash/elearning/drive-free/player.html

Again, my wife and I chose this lifestyle because it best fits where we are, and where we want to be.  It's not for everyone, but we are very happy now that we are on the "other side" of the debt, and would never consider going back.


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## whchunter (Apr 4, 2014)

*Crazy*

It is crazy what some people will not only pay for boats but crazy the amount they are willing to go in dept for. You never know what might happen in those years you have commited to paying payments over. Have I ever done it? Yes I did when I was young and foolish. However the amount I borrowed was small and paid off in 2 years. 

I can't imagine borrowing some of the prices now being charged for outfits now being sold. IMO it is also amazing that lending institutions even consider loaning money for a boat. When you consider what's happened to the housing market and the security of the loan, I'd rather loan someone $40 - $60 on a house than a boat. If someone defaults on a boat loan, the lending institution is guaranteed to take a major loss. 
Wish I had invested the money I spent on boats in land.


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## Basslife (Apr 4, 2014)

I have no problem financing a boat I never have but im upgrading in the next couple of years n will be financing I just won't finance n be upside down on the loan the depreciation n interest + taxes n fees will be my down payment or I will buy slightly used which may not make since because then my interest rate would be higher


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## GASLAYER (Apr 4, 2014)

pbmang said:


> I agree with this as well, even though I know it is not a popular opinion.
> 
> The problem with payments is if something major happens, all the "easy monthly payments" can quickly become not so easy.  My wife and I were talking about it the other day, and how nice the feeling was knowing everything in the driveway actually belongs to us, and not a bank.  That also made the decision for her to stay home full time and take over our small business a very easy one.  If we had the typical 2 car payments and a boat payment, that would not have been an option.  I'm happy to fish out of my 12 year old boat, since it still floats just as well as a new one (usually)...lol
> 
> Everyone is different though, and what works for some doesn't work for others.  But I will say, life is much easier when the only bills you have are the house and utilities.



12 years old he**. my boat is 23 years old. 1991 stratos 274 17'9" Johnson trolling motor (55lb thrust) Johnson 150 outboard. Plugs changed twice a year, ethanol free gas, and garage kept. Runs just as good as the new ones. Had the foot rebuilt one time, but thats it.


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## StriperrHunterr (Apr 4, 2014)

GASLAYER said:


> 12 years old he**. my boat is 23 years old. 1991 startos 274 17'9" Johnson trolling motor (55lb thrust) Johnson 150 outboard. Plugs changed twice a year, ethanol free gas, and garage kept. Runs just as good as the new ones. Had the foot rebuilt one time, but thats it.



Likewise, '93 Pro 17 here. I'm still going to trade it in in a little while, but I've drawn a plan on how to pay cash for it and will hold on to it for a very, very long time. 

The little tracker just isn't built for what my needs for a boat are.


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## suuntov (Apr 4, 2014)

I would rather not have electricity or have my cell phone canceled before I miss my boat payment.  Best 133.00 a month I have ever spent.  All this boat talk is making me want a new one.


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## shadow2 (Apr 4, 2014)

Basslife said:


> I have no problem financing a boat I never have but im upgrading in the next couple of years n will be financing I just won't finance n be upside down on the loan the depreciation n interest + taxes n fees will be my down payment or I will buy slightly used which may not make since because then my interest rate would be higher



While searching for my most recent loan.  I saw where some lenders have the same price for a brand new and one or two year old boats.


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## JigNchunk (Apr 4, 2014)

I usually finance about 50% of the price of the boat when I buy one. I could pay cash but don't want to put that much money out there. By doing this the boat is always worth a good bit more than I owe and I can always sell the boat if money gets tight. Alot of people say don't finance toys but I say if you are going to finance anything it should be the toys rather than necessities like cars or trucks.


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## LTZ25 (Apr 6, 2014)

JigNchunk said:


> I usually finance about 50% of the price of the boat when I buy one. I could pay cash but don't want to put that much money out there. By doing this the boat is always worth a good bit more than I owe and I can always sell the boat if money gets tight. Alot of people say don't finance toys but I say if you are going to finance anything it should be the toys rather than necessities like cars or trucks.



That's also a good policy , I don't finance anymore , but I have many times in the past , like you said paying 50 percent down will cover your rear end .


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## 2degrees (Apr 6, 2014)

I have had 3 boats so far.  The first (1976 proline) was used and it did well.  However when I went to use it there was usually something small to fix.  Also the gas millage was about 2 miles to the gallon at best.  We kept it for about 7.  Next was a 02 186 Sea Hunt and we purchased it new,  It was great to get in the boat and go.  however it was getting dated and needed some minor repairs.  So we traded it for a 21 foot new Sea Hunt.  New electronics and great MPG.  I say this because sometimes time is a valuable thing.  If you buy used and spend 3 weekends a month fixing what I I sold then that figures in to the cost of a used boat.  With salt water boats it is easy to buy a headache.


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## 2degrees (Apr 6, 2014)

Check and see what the difference in interest rates are between new and used.  Sometime used is a lot higher negating what you saved.


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## Big Foot (Apr 6, 2014)

I like beer


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## NCummins (Apr 6, 2014)

Nothing wrong with financing if you put enough money down that you can sell it at anytime and at least break even. I've known too many people that owe much more than its worth and then get pregnant/hurt/laid off/divorced or whatever and end up in trouble. My $2500 Lund fishes pretty dang good for me.


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