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Do you own your boat?

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I'm curious to know how prevalent it is to finance a boat or whether people tend to buy their boats with cash? I'm adding a poll and I'm going to set it such that you can't see who voted for what.
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Do you own your boat?

  • I have a boat for pleasure and I own it outright.

  • I have a boat for pleasure and I finance it.

  • I have a boat for business and I own it outright.

  • I have a boat for business and I finance it.

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I've owned several boats, one kayak through the years and bought each one out right. BUT, I never spent over $3500 for any one of them. And when I sold or traded I took only a negligible loss.
 

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How was your boat stolen? That's an interesting subject and could be a thread on it's own.

I own my skiff because it was pretty cheap so I just paid cash. I think tho if I was buying one over 30k I would finance some of it depending on the rates offered.
Not to derail the thread but the short story is I think it was stolen by maintenance guys at my sisters apartment complex. It had been parked in her carport for several months and was stolen the weekend we moved her out. We did most of the work on Saturday and when I returned to finish on Sunday it was gone.

I theorize it was a maintenance guy is A-timing and B- I had a Master lock through the coupler, a log chain with a Master lock around the trailer frame to a carport support post and a bicycle Kryptonite U bolt lock through the spokes in a wheel and around a leaf spring. I noticed it was stolen when I got there because there was a long tire skid mark in the parking lot coming out of the space where the boat had been. The maintenance guy theory is who else would show up to cut a couple pad locks then have the necessary tools to cut the U bolt?

Just so you know it sucks to have your shit stolen.
 

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Don’t do it @paulrad, I’ll tell ya my reasoning when you’re sitting in a treestand lol! Just trust a brother on this!!!🤙🏻
 

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Don’t get me wrong, I’m not “totally” against financing a toy. If one has the funds up front and the loan terms are right and one’s money will do better invested than said loan terms are costing then that’s a no brainer. While it’s a far reach, I know many that do that very thing! But I am pretty much a cash only guy myself having felt the effects of financing and losing big in 2008. Other than a few CC’s, and random small personal loan to keep my FICO up so if I ever do really need a loan I at least have a payment history and credit rating. Other wise, I hate credit lol!
 
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Don’t get me wrong, I’m not “totally” against financing a toy. If one has the funds up front and the loan terms are right and one’s money will do better invested than said loan terms are costing then that’s a no brainer. While it’s a far reach, I know many that do that very thing! But I am pretty much a cash only guy myself having felt the effects of financing and losing big in 2008. Other than a few CC’s, and random small personal loan to keep my FICO up so if I ever do really need a loan I at least have a payment history and credit rating. Other wise, I hate credit lol!
That’s fantastic if you can go that route but depending on your situation it’s not always possible. I finished school at age 27 with $300k in student debt, South Florida mortgage, a few years later a $500k business loan if I wait until all those pennies are paid off I’d start fishing into my 50’s. Fortunately I make a decent living and can save pay down debt and provide for my family. At the same time I need a little “me time” and realistically the only way to do that is to pay to play. It’s totally worth it for me. Just my 2 not arguing or trying to say I’m right at all just that we all have unique situations 👍
 

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Really depending on what boat you have a debt payment on a boat can be a pretty affordable means of entertainment anyway. I remember wondering how everyone had a boat when I went to Florida, and when I bought my Beavertail they gave me a loan option and it was only like 240 bucks a month or something.
 
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That’s fantastic if you can go that route but depending on your situation it’s not always possible. I finished school at age 27 with $300k in student debt, South Florida mortgage, a few years later a $500k business loan if I wait until all those pennies are paid off I’d start fishing into my 50’s. Fortunately I make a decent living and can save pay down debt and provide for my family. At the same time I need a little “me time” and realistically the only way to do that is to pay to play. It’s totally worth it for me. Just my 2 not arguing or trying to say I’m right at all just that we all have unique situations 👍
It’s hell that people have debt all their lives
 

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So what I was gonna tell my brother @paulrad was this… and many of ya’ll will blame my tin foil hat but that’s ok… The nation as a whole is in a drought, economy is bad, and history repeats itself. We have only just begun to feel the effects of what’s coming but if you want a little look inside the crystal ball…

1918-1920: spanish flu
1929’ish-1939’ish: the great depression
1930’s dust bowl and severe drought

All of these caused a massive collapse to the point folks were selling their own children just so they could buy a few groceries! Many lost everything,

2019 Plandemic
2020/21/22…economic “situation”😉
2022 drought
2022 large companies still using the plandemic as excuse for not manufacturing goods/parts/supplies

It WILL get worse before it gets better ya’ll. Buy ammo, gold, silver, flour, beans, and rice! Best investments one can make right now.
 

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That’s fantastic if you can go that route but depending on your situation it’s not always possible. I finished school at age 27 with $300k in student debt, South Florida mortgage, a few years later a $500k business loan if I wait until all those pennies are paid off I’d start fishing into my 50’s. Fortunately I make a decent living and can save pay down debt and provide for my family. At the same time I need a little “me time” and realistically the only way to do that is to pay to play. It’s totally worth it for me. Just my 2 not arguing or trying to say I’m right at all just that we all have unique situations 👍
Teach me how to write that business model so I can get a $500k note for my company and I’ll build you a skiff at cost! All kidding aside, I totally understand your side of the “argument” and sometimes wish I wasn’t so bull headed about taking out a note because that cash would certainly kickstart my company into the next level!
 

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You have to be careful with general statements and applying a one-size-fits-all to every situation.

Using other people's money can be great if you don't HAVE to use other people's money, thus the real question is do you have the discipline to invest the cash that you would spend on the boat, or are over-extending yourself and going to spend that money supporting your everday life?

The "asset" is depreciating at the same rate no matter if you paid cash or financed it for 20 years. The only difference is the interest you are paying.

2015: ... I took out a little over $150K in loans.
- 5-year loan at 1.5% w/ zero down to buy a new truck
- 5-year loan at 1.75% w/ zero down to buy the wife a new SUV
- 20-year loan at 4% with zero down to buy a new Egret

2018: I paid them all off for "peace of mind" which was pretty dumb. It felt great until I looked at what I would have made on that money.

However, with current rates for boats running 8%+, cars running 4.5%, everyone predicting doom and gloom for 2023... I may be more inclined to pay more in cash today.

You also have to figure in job security and how comfortable you are with risk.
 

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My wife and I married in 1980, Jimmy Carter era. In 1979 & 1980 interest rates were through the roof. We borrowed $5000 to purchase a used single wide, get it moved and set up, and get established as a couple. I think that first loan was about 18%. We dug a hole at the start and had a heckuva time getting out. We will be debt-free except for mortgage in Jan. '23. "Toys" and vacations have been on a pay as you go. I'd love to have a newer skiff, but 'til I'm totally debt free and have more disposal income and a need for a newer boat, I'll still be pay as you go.
Nothing against anyone who finances and pays off their debt, I just didn't have the income to do that. Peace and Happy Thanksgiving!!
 

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Not to derail the thread but the short story is I think it was stolen by maintenance guys at my sisters apartment complex. It had been parked in her carport for several months and was stolen the weekend we moved her out. We did most of the work on Saturday and when I returned to finish on Sunday it was gone.

I theorize it was a maintenance guy is A-timing and B- I had a Master lock through the coupler, a log chain with a Master lock around the trailer frame to a carport support post and a bicycle Kryptonite U bolt lock through the spokes in a wheel and around a leaf spring. I noticed it was stolen when I got there because there was a long tire skid mark in the parking lot coming out of the space where the boat had been. The maintenance guy theory is who else would show up to cut a couple pad locks then have the necessary tools to cut the U bolt?

Just so you know it sucks to have your shit stolen.
X 2 I had one stolen out of my driveway of a house I lived in about 15 years ago they stripped it and the Sherrif found the hull and trailer later that evening and I agree that shit sucks.
 

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@Half Shell I agree with that, but as a pessimist I always think tomorrow might not look like today. So I have always been one not to borrow even if I can get a higher return elsewhere.

@fishnpreacher It so crazy to think that people would pay 18 percent for a home loan, younger people(me) see anything over 4 percent as high!
 

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@fishnpreacher It so crazy to think that people would pay 18 percent for a home loan, younger people(me) see anything over 4 percent as high!
Larger loans could be had for less interest, but $5000 was a lot of money to us. We had an option to buy a house, 30 yr loan with a balloon payoff was $515/month, or $185,000+ payoff over 30 yr. The selling price of the house was $33,000.
 

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Teach me how to write that business model so I can get a $500k note for my company and I’ll build you a skiff at cost! All kidding aside, I totally understand your side of the “argument” and sometimes wish I wasn’t so bull headed about taking out a note because that cash would certainly kickstart my company into the next level!
I wish but like I said I’m in a unique situation. I’m a Dentist hence the huge student loan debt and that $500k business loan was to purchase a practice so it’s a very specific and unique situation. Most people in my situation manage debt (unless mommy and daddy paid for school and pass down a family practice). I’ll likely be debt free in my mid 50s because I started with a mountain of debt. All the while I’ve been conservative with my spending while still enjoying a “good life” for me and my family. We live a pretty modest lifestyle, shit most if not all of my employees drive nicer cars than I do, LOL!
 

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@fishnpreacher It so crazy to think that people would pay 18 percent for a home loan, younger people(me) see anything over 4 percent as high!
[/QUOTE]

My mom and dad built a house in ‘72 and their note was 17% I think. My ex and I bought a house in ‘87 and our note was 13% and I thought that was a good deal. I forgot what the rate was on our current home when we bought it in ’96 but I think around 7%. After two or three rounds of refinancing it was under 3%.

You gotta pay what the market is.
 
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