Financing your boat
Buying from a Dealer or Broker
If you're buying through a Boat Builder, Dealer or Broker paying for your boat is comparatively straightforward but be prepared to be asked for a deposit, which may be non-refundable if you back out of the transaction. So be sure that you want to buy and have the funds available from whatever source before you commit.
If you require finance, they may be able to introduce you to alternative sources of borrowing (for which they may receive a generous commission for the introduction, so bear this in mind when negotiating) and will deal with the transaction professionally, in liaison with any lending company that you may choose.
Money has rarely been so cheap or easy to obtain. Unsecured loans are available from many lending sources for sums of up to £20,000 but often more competitive rates can be obtained by choosing to go for a marine mortgage.
A marine mortgage is secured against the vessel, with the upper limit usually being 80% of the purchase price. Before granting a marine mortgage the finance house will require a full, out of water survey and valuation on boats other than brand new commissions. There is a degree of security in choosing this route as the mortgage lender will also ascertain that the boat is free of financial burden.
Also a marine mortgage company will probably want the boat registered on the official register – Ships Register: Part One or possibly the Small Ships Register. At the time of going to press the cost for a 'Part One' registration can be approximately £200 to register a ship and mortgage, compared to £12 on the Small Ships Register.
Buying from a private individual
Dealing with a private individual is slightly more complex, but not onerous. They will have no interest in how you obtain your funds, just as long as they receive settlement in full. Also they are not professional sellers and will not necessarily know how to formalise the transaction to help protect not only yourself but them as well. So it is as much up to you and in your interests to sort this out, as it is them.
What boat to buy
Where to buy
How to buy
- Checking the boat
- Price Guide
- Financing your boat
- FRAUD WARNING

