How Do you Guys Afford Your Boats?

[padon]

like some others have said ,buy what you can afford and make it work.i love to fish ,but I refuse to spend a fortune to do it. could I afford to spend 20k or more on a boat?yes but I couldn't live with mu conscience. so I bought a used 18 foot john with decks front and back and a 25 hp motor. cost me $3500. then I decked it out like I wanted added trolling motors and depth finder as I could afford them. its not a sexy boat or fancy but it gets me on the water and its reliable. I don't have the nicest boat at the ramp but I don't care I enjoy the hell out of fishing catch my share of fish and I can sleep at ight because I have money in the bank retirement plans and very little debt.

[Tennessee Boy]

16 hours ago, Gary William said:

How do you guys afford your boats?

The answer to your question for the great majority of people is simple.  They find their dream boat,  they take out a loan  and they regret the decision when they get to around age 55-60.  If you don't worry about financial security in your old age you can afford a lot of nice things.

[Ratherbfishing]

What KIND of boat are you talking about?  There is a huge difference between a 16 foot aluminum jon boat and a 24 foot (or whatever) cabin cruiser.  Do you want to float small bodies of water or do you want to take in out on the Ocean?  Do you want to putt around at a leisurely speed with a little 2-stroke motor or set the water on fire with twin-250 horse outboards?

 

MY experience has been this:  I purchased a 17.5 foot aluminum jon boat with a 25 horse motor.  It's wide and it's pretty stable and as long as I don't put it on the great lakes and I keep an eye on the weather, it will keep me safe and reasonably dry.  The motor is big enough to (usually) get me on plane and since I don't fish tourneys, it gets me where I want to go fast enough.  It will fit 3 people reasonably comfortably and as long as we aren't trying to cast big musky baits with 8 foot rods, we can stay out of each others way.  With the swing hitch, if I park it diagonally, it fits in my garage and I all I have to do is close the door after backing it in. I don't have to unload everything after a long day and all I really have to do (if I want it to last) is plug in the charger to the trolling motor battery.  I paid 3 grand for it (with a few later add-ons such as a modest trolling motor and a Helix 7 fish finder) so I never really missed the money that much.  I paid cash so there were no monthly payments to compete with other expenses.  I've had to buy 2 replacement tires for the trailer and do some maintenance on the motor (to replace the impeller) but I replaced the lower unit oil myself and the spark plugs (two).  I feel I'm blessed with this and am very happy with it.  

[Yumeya]

I fished the bank and rivers until I was 36 years old, my first boat was a 2001 fisher 14 avenger with a 25hp.

It worked fine and got me off the shoreline.

Once I got ahead a little I sold it and added that money to a 2014 tracker and have been very happy with it.

Its also paid for.

 

I would love to own a new Ranger but it just not gonna happen.

 

I say buy used and just make sure everything is nice and working properly, nothing is wrong with fishing 

on smaller aluminum boat.

 

My first boat-

[EGbassing]

You can get a really nice, big kayak with a motor for a couple thousand dollars. And the only maintenance would be for the motor.

[DogBone_384]

No boat here, even though I make a good living.  I have a Feelfree Lure 11.5 w/Overdrive.  It cost me soap and water to maintain.

[NHBull]

I am a male prostitute and use fishing to launder the money. ?

 

 

 

......and I will likely  be dead before I retire.

[Tizi]

It is all about priorities.  I also own a 2nd home (on a lake).  Because of that, I have a 14 foot aluminum V-hull boat with electric motor.  I can fit 3 people in it comfortably.  The boat cost me $400 used and the electric motor and battery another $250.  At some point, I will get a 10 HP outboard for it and open up my range.  Of course I paid cash for these items, but if I wanted a bass boat for example, I would figure out a way to get that done.  What I haven't heard, and I know people do it, is take equity out of their homes to purchase expensive boats.  Leverage.

[Wurming67]

I paid cash for mine I know guys that take out second mortgage and pay for a boat for 30 years that's insane to me,my dad told me at a young age if you can't pay cash you can't afford it.

[slonezp]

1 hour ago, NHBull said:

I am a male prostitute and use fishing to launder the money. ?

 

 

 

......and I will likely  be dead before I retire.

Business must be slow for as much time as you spend here

[haggard]

Quote

How do you guys afford your boats?

 

"Afford" says to me "saved and bought for cash."  If you need go into debt to buy it, you can't afford it.

 

In the past I saved and paid cash for relatively cheap boats ($3,600 or less). Now I've got two boats on a home equity line of credit (HELOC) with a reasonable but climbing interest rate. Not saying that's the right way to go but not saying it's wrong either.

 

If you want to buy a boat that you need to borrow money for:

 

1) shop for a loan that will let you pay down principal each month, not just interest. My HELOC lets me "over pay" each month and the overpayment all goes towards principal. Try privately held banks or credit unions.

 

2) be realistic about budgeting, even if you don't have a formal budget: how much can you afford to put towards the debt each month. Don't let your desire for a nice boat cloud your judgement about how much you can realistically put towards it each month.

 

[Janderson45]

11 hours ago, Logan S said:

If you are financially responsible and really want to make it happen it's not terribly difficult.  Just make a plan and execute it.  Different ways of doing it, most notably cash -vs- finance...But at the end of the day it's just a math problem.

 

If you have a lot of other expenses, like an extra house, it will probably be more difficult.  Most of my buddies with bass boats are very similar to me...Our boats and fishing are pretty much the only things we spend disposable income on.

 

This is spot on and describes my situation to a T.  Being young and single with few expenses and a decent income goes a long way.  I just bought a brand new boat, financed it, but with a good plan to pay it off over the next 3 years - if not sooner.  

[TOXIC]

You stated that you need a rig that will handle the Ocean.  All of the small tins/jons/v-bottoms that everyone lists as their choices are more than likely out of consideration.  First you need to determine what size and type of boat you need to be safe on the water you plan to boat on.  Second you need to look at your finances and see what you can afford.  I am not anti-financing, if I had to pay cash on everything, I would not have a nice house, newer cars/truck, boat, etc.  I financed a good chunk of my 21 foot bassboat at 1.99% through my Credit union.  I had the loan set up for 10 years and paid it off in 3.  It was nice to know that I could make a normal payment if something else came up in my finances.  Your budget is what will tell you what you can spend and factors like financing are part of your budget.  I am talking about a good budget not just $$ Earned minus $$ owed = disposable income.  There are a LOT of things that go into a good budget.  There are a LOT of extra costs that go into boat ownership after the purchase.  In the end, if owning a second home is eating a major part of your discretionary spending then you have your answer.  Sometimes we just can't have it all on the amount of income we make.  A financial planner can be your best friend and help you achieve your goals with money.   I would suggest you get one, if you haven't already.    

[WVU-SCPA]

Being able to walk into a dealer and saying give me "X,Y, and Z" isn't in the cards for everyone, and that's OK as there are plenty of other options.  Start spending an hour a week on craigslist, fbook market place, ect..  Eventually you will see something to fit your wants and possibly budget.

 

As for financing debate,  that comes down to a decision for you and your family.  30 year old me currently hates 20 year old me for using disposable income on financing items 20 year old me thought he needed.  A $550 dollar car payment could have been a double payment on student loans.  Sure I could go finance a new boat today,  but I know better to not disappoint 40 year old me as life can change a lot in a few years.  I now see having the assets to purchase something rather then finance is very valuable.

 

Toxic has a good point with see a financial adviser,   they can help you manage money and goals so you can get where you want to be.  You can always have a 5 year plan on winning the lottery, or save that money each week (lottery, beer, eating out, new hot lure) for 5 years.  It all adds up. 

[roadwarrior]

On 12/4/2018 at 10:52 PM, riverbasser said:

No idea what the market is like in Canada but there are plenty of really nice used boats in the 6-12k range in my area.

I suggest renting boats for a year to find out if you really "need" one.

 

[Tennessee Boy]

 

There are ALWAYS low cost options!

[fishwizzard]

Forget affording a boat, I can't find an affordable indoor place to even store one!  Actual storage unites are like $250 a month for one big enough for a boat and despite living in horse country, it seems like no one has a structurally sound barn sitting empty.  I could afford a little jon boat and my wife is a welding wiz, so we could add a deck and all the trimmings with ease, but it has proved impossible to find a spot to park the darn thing.  I know in my heart I am not the kind of guy who could keep up with storing one outside.  

[padon]

2 hours ago, fishwizzard said:

Forget affording a boat, I can't find an affordable indoor place to even store one!  Actual storage unites are like $250 a month for one big enough for a boat and despite living in horse country, it seems like no one has a structurally sound barn sitting empty.  I could afford a little jon boat and my wife is a welding wiz, so we could add a deck and all the trimmings with ease, but it has proved impossible to find a spot to park the darn thing.  I know in my heart I am not the kind of guy who could keep up with storing one outside.  

I don't know I live in south central pa, and I store my john outside in winter. in the summer I keep it all rigged and in the garage in the winter I just take all electronics and seats out pull the drain plug make sure it is tilted up a little and park it outside. sure it rains and snows in it bit it doesn't hurt anything. one of the things I like about owning a simple aluminum rig.

[Way2slow]

Normally, renting  seems like a large chunk of money for weekend of fun, but for most people, if they did the math for a 12 month period owning a boat and the number of times you would use it, vs what it would cost to rent a boat for those same number of times, renting it is a lot cheaper.  Granted the first year of ownership, the boat gets used a lot because it's your new toy, but after about the second or third year, the new wears off and the reality of what it cost to go play sets in, the fun wears off and they sit a lot. 

Then just before Christmas those people that financed them for half a life time are trying to sell them to get additional holiday money, just to find out because of the high interest and those low payments they wanted,  they owe thousands  more than they could every hope to sell it for.

[haggard]

7 hours ago, fishwizzard said:

Forget affording a boat, I can't find an affordable indoor place to even store one!  Actual storage unites are like $250 a month for one big enough for a boat and despite living in horse country, it seems like no one has a structurally sound barn sitting empty.  I could afford a little jon boat and my wife is a welding wiz, so we could add a deck and all the trimmings with ease, but it has proved impossible to find a spot to park the darn thing.  I know in my heart I am not the kind of guy who could keep up with storing one outside.  

 

I had a 2016 Tracker Jon 1448 MVX that was $3,500 out the door including trailer, comes with study casting deck and front/rear pedestal seat bases. Exposure to weather didn't bother it a bit (motor may be another story but that's easier to cover). Just saying there are options. If you have no off-street parking then yeah that can be a little trickier.

[22RangerZ520R]

My first rig, a 1989 Ford Festiva with a plastic BassTender 2 man boat with a trolling motor...  I started at the bottom......  

 

 

I saved money like crazy, lived well below my means and upgraded rigs over time to my current 100% paid for rig.  I'd rather live in my current modest paid for home than to "keep up with the Joneses'" and live in a $500k+ house in a swanky part of Louisville that isn't paid for with a fat mortgage payment every month.  I haven't been given a dime or inherited a large sum of money, all from extreme money discipline...

 

Keeping your debts in check or even getting 100% debt free (which is an unbelievable feeling by the way ) opens many doors in the future and is a huge weight off of your shoulders!

 

Proverbs 22:7     

[gnappi]

Good question(s) OP, good answers too.

 

I'm on my what sixth boat and with most of them, like any financial decision I bought what I thought I could afford for the purpose I intended, and finances just merged with the cost. Much like having a second kid, the money just sorts itself out.

 

Of my six boats, half were new including my most recent 10' Lowe tinny, the rest were used.

 

A well cared for used boat for your purposes is likely a good idea, a friend who is an experienced boater / tinkerer who likes beer is invaluable ? Learn to use google proficiently

 

 

 

 

 

 

[kjfishman]

As others said buy what you can afford and pay cash.

[Further North]

Tough topic, and it's awesome that it's gone this far without any lectures about "financial responsibility".

 

That's what makes BR great, IMO.

 

Here's my take:  It's all about choices.  Our choice, a long time ago, was to seek out gently used, two to three year old vehicles and thing like boats so that someone else took the huge depreciation hit for the first few years of ownership.  We keep on eye on what's going on in those markets so we can time our buys, and make our choices quickly when opportunities present themselves.  That's been important more than once.  We wind up paying about half what new vehicles cost, loan terms are shorter and interest paid on those loans is a fraction of what happens if you go new.

 

I bought my current boat four seasons ago for a bit more than $16K.  It is a 2005 Crestliner CMV 1850, and fits what I do, really, really well.  Unless something bad happens, or I do something stupid, with it/to it, I'll die with this boat.

 

My boat was sold new as new/old stock in 2008 from a bankrupt dealer, to a guy who put less than 3 1/2 hours on the big motor over the next 6 years.  The carpet still sparkled like new when I picked it up.  The motor wasn't through break in yet.  The motor is a Johnson branded Suzuki DF 140, the same motor I had on my old boat, but white.  It was the aquatic version of the "Corvette in a barn" stories you hear now and then.

 

It was the right boat at the right time, so I grabbed a short term personal loan to bridge the time until I could sell the boat I had at the time because letting it go because I couldn't write a check for the full amount on the spot woulda been stupid.  That personal loan cost me $67 for the short time I needed it and saved me thousands against buying a newer, more expensive boat.

 

I swapped my top level electronics onto the CMV, put the "Dealer Special" electronics on my old boat, priced it right and it was gone in less than a month.  I'd worked my way to that boat with a series of buy-right/sell-right deals so it was paid for...so...all done.

 

I've worked in the corrugated business in a technical role for 35 years.  Not a glamorous, high paying job, but good enough, and crazy stable...other businesses always need boxes, regardless of what the economy is doing...we've always lived within our means, and own our home at my age of 56, my wife's age of 52.  We saved like crazy starting before we got married, and it's paying off: I'll retire next June a few days past my 57th birthday.

 

It's amazing what the cumulative impact of a few decades of good decisions can be as you're looking back at them.

Edited December 9, 2018 by Further North
Musiałem coś dodać.

[gim]

On ‎12‎/‎4‎/‎2018 at 7:26 PM, slonezp said:

Get rid of your kids and the money starts to flow like water

LOL that was a pretty good response and there is a lot of truth to it.

 

I bought my first and only boat in 2015 brand new.  Paid half right away, paid off the rest within a year.  This was BEFORE I had any children.  Buy the boat and then have a child, not vice versa.  Lets be realistic: a boat is far less costly than having children.