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View Full Version : Sad Day - Boat is for Sale


TayMC197
04-02-2013, 04:59 PM
Hate to do it but with my new offer to transfer with my company I am forced to sale my boat. When I figured up the numbers before I took the offer, I knew this is what I'd have to do. I was pissed to say the least but I have to do what got to do.

psychobilly
04-02-2013, 05:06 PM
OK, I'll bite, you transfering to a place with no wader or Overseas?

02ProstarSammyD
04-02-2013, 05:07 PM
sounds like this thread is a day late

thatsmrmastercraft
04-02-2013, 05:09 PM
OK, I'll bite, you transfering to a place with no wader or Overseas?

Maybe just to Minnesota where everything is frozen.

TayMC197
04-02-2013, 05:21 PM
East, Tx to Dallas. Plenty of water here but problem is I went from making crap to making a little more than crap in a way more expensive area. With the housing restrictions on buying these days you basically can't have anything financed to get approved. I had a 832 rating, and the finacial people were saying I basically had to sell my truck or boat to be approved. So one had to go. I would sell the truck but boat has a harder time getting to the lake.

Double D
04-02-2013, 05:22 PM
OK, I'll bite, you transfering to a place with no wader or Overseas?

Inquiring minds want to know!! We gosta know!! :D

Double D
04-02-2013, 05:23 PM
East, Tx to Dallas. Plenty of water here but problem is I went from making crap to making a little more than crap in a way more expensive area. With the housing restrictions on buying these days you basically can't have anything financed to get approved. I had a 832 rating, and the finacial people were saying I basically had to sell my truck or boat to be approved. So one had to go. I would sell the truck but boat has a harder time getting to the lake.

F&%@# Banks!! With that credit score and they hose you like that? Find another bank, credit union, loan shark!! Come on man!!

east tx skier
04-02-2013, 05:27 PM
I thought you had already moved to Dallas?

TayMC197
04-02-2013, 05:37 PM
I was but I was TDY, now I perminate. I knew the offer sucked before I took it but I was low on options.

jakethebt
04-02-2013, 05:48 PM
Maybe you can sell it to someone who will sell it back after all the house stuff is done.

TxsRiverRat
04-02-2013, 05:50 PM
Say it aint so taylor..... Ughhh...

You are always welcome on my boat....

east tx skier
04-02-2013, 06:06 PM
Perhaps you could create a nonprofit corporation dedicated to teaching people about ski boats, then roll your 197 into the corporation. Get someone to act as secretary. You be the president. Hold one meeting a year, file a no earnings report with the State, depreciate the asset.

I have no idea whether this would get you around the problem. But it wouldn't cost but about $25.

thatsmrmastercraft
04-02-2013, 06:11 PM
Perhaps you could create a nonprofit corporation dedicated to teaching people about ski boats, then roll your 197 into the corporation. Get someone to act as secretary. You be the president. Hold one meeting a year, file a no earnings report with the State, depreciate the asset.

I have no idea whether this would get you around the problem. But it wouldn't cost but about $25.

The non-profit corporation would then assume the note?

drschemel
04-02-2013, 06:16 PM
Perhaps you could create a nonprofit corporation dedicated to teaching people about ski boats, then roll your 197 into the corporation. Get someone to act as secretary. You be the president. Hold one meeting a year, file a no earnings report with the State, depreciate the asset.

I have no idea whether this would get you around the problem. But it wouldn't cost but about $25.

I'll bet the IRS just loves you!
But really, should you be buying a house when you have significant debt? Probably a fast way to bankruptcy when Mr. Murphey comes around. Boats are much more fun when you don't have payments. So, either pay off the boat and rent until you can save some money or sell the boat and buy a house. I bet that the boat will be a lot more fun than home ownership. Keeping a house up sucks! There's plenty of cheap places to live around Dallas.:toast: Oh yeah, and make yourself a 401C nonprofit so you don't have to pay taxes. :)

east tx skier
04-02-2013, 06:17 PM
The non-profit corporation would then assume the note?

The boat is the property of the corporation. So, yes. I assume there would be some sort of dues structure set up for Taylor to cover that. Just spit balling. He would also have to file a Form 1120 each year with the IRS. But he would not end up owing anything.

Seems like an awful lot of trouble. But I do this every year for our ski club and it's not particularly complicated.

east tx skier
04-02-2013, 06:21 PM
I'll bet the IRS just loves you!
But really, should you be buying a house when you have significant debt? Probably a fast way to bankruptcy when Mr. Murphey comes around. Boats are much more fun when you don't have payments. So, either pay off the boat and rent until you can save some money or sell the boat and buy a house. I bet that the boat will be a lot more fun than home ownership. Keeping a house up sucks! There's plenty of cheap places to live around Dallas.:toast: Oh yeah, and make yourself a 401C nonprofit so you don't have to pay taxes. :)

I know it's the internet, but my post was made with tongue firmly planted in cheek. What I am suggesting (in jest) is way more trouble than it's worth.

The IRS does love me. I pay taxes. And I don't get overly creative about things.

I don't know why he would need to be a 501c(x) corp. That status is going to run him $400, and he's not going to be bringing in enough money to owe much, if anything in taxes. Better to file an 1120 and pay a bit, if anything.

/tongue firmly in cheek.
//agree with you on home ownership. Way cheaper to rent and have fun on the boat.
///get a vasectomy while you're at it, Taylor. It'll save you a fortune.

JohnE
04-02-2013, 06:21 PM
That seems ridiculous unless your income to debt ratio doesn't work. Who cares if you have two loans? Sell the truck for a beater then buy a new(er) truck after the home loan.

east tx skier
04-02-2013, 06:27 PM
That seems ridiculous unless your income to debt ratio doesn't work. Who cares if you have two loans? Sell the truck for a beater then buy a new(er) truck after the home loan.

Exactly. Supposedly, it's a lot tighter getting loans these days since I took out (and later refinanced) my home. No trouble getting the boat loan a couple of years later. There has been a car or two in the meantime. Currently, it's just the car and the house. In seven or so years, the note on the house will be history. That will be a good day.

But, in the end, if you can't afford something, don't buy it. I'm not suggesting paying cash for everything, particularly with as low as interest rates are. But if you can't afford it, you can't afford it. If you can, figure out how to make it happen.

TxsRiverRat
04-02-2013, 06:28 PM
Boats are much more fun when you don't have payments.

:worthy::worthy::worthy::worthy:

east tx skier
04-02-2013, 06:31 PM
:worthy::worthy::worthy::worthy:

Boats are equally fun, whether you have payments or not. Payday is more fun when you don't have a boat payment.

CruisinGA
04-02-2013, 07:49 PM
Rent a place.
Sell your truck and downgrade to one that doesn't require payments.

TayMC197
04-02-2013, 07:50 PM
That seems ridiculous unless your income to debt ratio doesn't work. Who cares if you have two loans? Sell the truck for a beater then buy a new(er) truck after the home loan.

A few people on the forum will contest my truck is pretty bad. I'd hate to lose it. I think I might have my dad talked into buying the boat and selling it back to me post home purchase.

TayMC197
04-02-2013, 07:52 PM
Rent a place.
Sell your truck and downgrade to one that doesn't require payments.

Harder to build equity and save renting. I need a place with a big garage for a boat. I sold my BMW and dirtbike... helped a little

JohnE
04-02-2013, 07:56 PM
Boats are equally fun, whether you have payments or not. Payday is more fun when you don't have a boat payment.

Absolutely Eastie. I had a boat payment for years and have no regrets. No payment on the recently purchased 190. I 'downgraded' mostly due to the lesser use these days, but also to free up some cash and get the payment off my docket as I was/ am building a house. I don't know if I will ever go back to a boat payment, but it is tempting. My damn cable and cell phone bills (combined) total way over my boat payment. As does my monthly "dinner out" payments, and a whole lot of other monthly expenses that are avoidable. Heck my 17 yo stepdaughter's insurance is about the same as my boat payment was. (Which she is about to take over...no need to go there) My point is that I spend so much money each month on discretionary expenses I can't stand it when someone tells me that I "shouldn't" have a boat payment. I had 2 older ones that were paid for, then 3 with payments, and now one without payment. Who's to say that if a boat is one of my top priorities that I can't finance it? If I had a boat that was paid for cash and was renting an apartment I probably wouldn't have anyone correcting me. "Toys should be paid for cash" is an ignorant statement IMO. We aren't all from the UP.

JohnE
04-02-2013, 08:03 PM
Harder to build equity and save renting. I need a place with a big garage for a boat. I sold my BMW and dirtbike... helped a little

I don't advocate renting. If you have the credit that you say ( I don't doubt you) and can meet the debt to income ratio (Not sure what it is these days, but it was 28/ 34 years ago, but is more lenient these days i believe) then I can't see why 2 loans hurt. So if you have a truck loan for 100/ month and a boat loan for 100/ month who cares? How is that different from a $200 truck payment? (Numbers just for illustration) But it may affect your DTI ratio....(Which isn't exactly a sound determination of whether you can afford the house you are financing, JMO)

Taylor if you think you can make the payments I'd look at getting your Dad (or anyone) to buy the boat from you and then buy it back. (Just be sure that you can qualify for the loan to buy back.) Maybe you need your dad to buy for inflated value so that when you buy back you are financing lower LTV ratio.

FWIW, now that my house situation is all played out (almost) it turns out I could have pulled it all off without selling the X14. I'm 50/50 on whether or not I regret it. And the swing is shifting towards regretting it.

GoneBoatN
04-02-2013, 08:17 PM
Absolutely Eastie. I had a boat payment for years and have no regrets. No payment on the recently purchased 190. I 'downgraded' mostly due to the lesser use these days, but also to free up some cash and get the payment off my docket as I was/ am building a house. I don't know if I will ever go back to a boat payment, but it is tempting. My damn cable and cell phone bills (combined) total way over my boat payment. As does my monthly "dinner out" payments, and a whole lot of other monthly expenses that are avoidable. Heck my 17 yo stepdaughter's insurance is about the same as my boat payment was. (Which she is about to take over...no need to go there) My point is that I spend so much money each month on discretionary expenses I can't stand it when someone tells me that I "shouldn't" have a boat payment. I had 2 older ones that were paid for, then 3 with payments, and now one without payment. Who's to say that if a boat is one of my top priorities that I can't finance it? If I had a boat that was paid for cash and was renting an apartment I probably wouldn't have anyone correcting me. "Toys should be paid for cash" is an ignorant statement IMO. We aren't all from the UP.

Yep. People who make such statements need to explain to me why I should take money out of investments that are making a yearly return on average (including the bad years) above 15% to pay off the boat loan that is costing me 4%. Pretty simple math. I just don't feel like screwing myself out of money. I'm not known for leaving money on the table. :D

JohnE
04-02-2013, 08:23 PM
Yep. People who make such statements need to explain to me why I should take money out of investments that are making a yearly return on average (including the bad years) above 15% to pay off the boat loan that is costing me 4%. Pretty simple math. I just don't feel like screwing myself out of money. I'm not known for leaving money on the table. :D

I'll go one step further. I am not making that exchange. I'm just spending the money (or was) on what I like. Last loan was 7% and I really didn't care about the expense.

GoneBoatN
04-02-2013, 08:26 PM
A few people on the forum will contest my truck is pretty bad. I'd hate to lose it. I think I might have my dad talked into buying the boat and selling it back to me post home purchase.

Hopefully, you might even get a lower rate on the boat.

88 PS190
04-02-2013, 08:44 PM
Have you looked into joining a ski club instead of owning a boat?

Might get you the option to have lots of free cash around for good downpayment, total savings, and more access than having both the boat and the truck in different places.

east tx skier
04-02-2013, 09:04 PM
Absolutely Eastie. I had a boat payment for years and have no regrets. No payment on the recently purchased 190. I 'downgraded' mostly due to the lesser use these days, but also to free up some cash and get the payment off my docket as I was/ am building a house. I don't know if I will ever go back to a boat payment, but it is tempting. My damn cable and cell phone bills (combined) total way over my boat payment. As does my monthly "dinner out" payments, and a whole lot of other monthly expenses that are avoidable. Heck my 17 yo stepdaughter's insurance is about the same as my boat payment was. (Which she is about to take over...no need to go there) My point is that I spend so much money each month on discretionary expenses I can't stand it when someone tells me that I "shouldn't" have a boat payment. I had 2 older ones that were paid for, then 3 with payments, and now one without payment. Who's to say that if a boat is one of my top priorities that I can't finance it? If I had a boat that was paid for cash and was renting an apartment I probably wouldn't have anyone correcting me. "Toys should be paid for cash" is an ignorant statement IMO. We aren't all from the UP.

Preach it!!!!! :)

east tx skier
04-02-2013, 09:05 PM
I don't advocate renting. If you have the credit that you say ( I don't doubt you) and can meet the debt to income ratio (Not sure what it is these days, but it was 28/ 34 years ago, but is more lenient these days i believe) then I can't see why 2 loans hurt. So if you have a truck loan for 100/ month and a boat loan for 100/ month who cares? How is that different from a $200 truck payment? (Numbers just for illustration) But it may affect your DTI ratio....(Which isn't exactly a sound determination of whether you can afford the house you are financing, JMO)


There's always squatting.

east tx skier
04-02-2013, 09:07 PM
Have you looked into joining a ski club instead of owning a boat?

Might get you the option to have lots of free cash around for good downpayment, total savings, and more access than having both the boat and the truck in different places.

A lot of the ski clubs with a club boat are more expensive than boat payments. I think Taylor is in Metroplex Ski Club. Plenty of guys there who won't mind letting him ski for gas money.

onewheat
04-02-2013, 09:15 PM
I have a boat loan and primary house loan - didn't have any problem building a second house and getting financing on that too. I have a loan on a piece of investment property too. A truck, boat and house loan should be nothing to accomplish these days as long as your debt ratio isn't out of line. It was a bit more complicated a few years back, but has eased considerably the last year or two.

TayMC197
04-02-2013, 09:47 PM
I don't advocate renting. If you have the credit that you say ( I don't doubt you) and can meet the debt to income ratio (Not sure what it is these days, but it was 28/ 34 years ago, but is more lenient these days i believe) then I can't see why 2 loans hurt. So if you have a truck loan for 100/ month and a boat loan for 100/ month who cares? How is that different from a $200 truck payment? (Numbers just for illustration) But it may affect your DTI ratio....(Which isn't exactly a sound determination of whether you can afford the house you are financing, JMO)

Taylor if you think you can make the payments I'd look at getting your Dad (or anyone) to buy the boat from you and then buy it back. (Just be sure that you can qualify for the loan to buy back.) Maybe you need your dad to buy for inflated value so that when you buy back you are financing lower LTV ratio.

FWIW, now that my house situation is all played out (almost) it turns out I could have pulled it all off without selling the X14. I'm 50/50 on whether or not I regret it. And the swing is shifting towards regretting it.

I can afford the payments. With the boat my best option is 20% down to get the rate I need. Without it I can put 10% down and have a low enough dti ration to achieve the good rate.

I'd buy another boat after the purchase but need to get into a good home first. My dad seems to be on board with buying the boat off me and letting my refinance after.

TayMC197
04-02-2013, 09:47 PM
My income is low, that's that root problem.

byronic
04-03-2013, 07:46 AM
Absolutely Eastie. I had a boat payment for years and have no regrets. No payment on the recently purchased 190. I 'downgraded' mostly due to the lesser use these days, but also to free up some cash and get the payment off my docket as I was/ am building a house. I don't know if I will ever go back to a boat payment, but it is tempting. My damn cable and cell phone bills (combined) total way over my boat payment. As does my monthly "dinner out" payments, and a whole lot of other monthly expenses that are avoidable. Heck my 17 yo stepdaughter's insurance is about the same as my boat payment was. (Which she is about to take over...no need to go there) My point is that I spend so much money each month on discretionary expenses I can't stand it when someone tells me that I "shouldn't" have a boat payment. I had 2 older ones that were paid for, then 3 with payments, and now one without payment. Who's to say that if a boat is one of my top priorities that I can't finance it? If I had a boat that was paid for cash and was renting an apartment I probably wouldn't have anyone correcting me. "Toys should be paid for cash" is an ignorant statement IMO. We aren't all from the UP.

Why did you have to bring the UP into this,what did I do?

JohnE
04-03-2013, 07:58 AM
Why did you have to bring the UP into this,what did I do?

Not you. Reference to our former post ho resident self proclaimed cheapskate.

wakeX2wake
04-03-2013, 08:58 AM
from my limited experience in this area... shop financing options... i mean shop the crap out of them!!! i went from thinking i'd never get my own house to having a great place that's well within my means... its far from my dream home but for a single guy with a car a truck a boat and a house i still have plenty of play money left over... there are financing options out there that'll keep you out of PMI... just shop and talk to as many financing companies as you can get ahold of (just remember to keep your documents that have your relative credit info on them so they don't all have to pull your credit info... then when one tells you what you want to hear they can be the second one to pull it... you'll find that the more lenders you talk to the more crap floats to the surface from conversations with others)... good luck and congrats on the new gig

TxsRiverRat
04-03-2013, 11:12 AM
Have you looked into joining a ski club instead of owning a boat?

A lot of the ski clubs with a club boat are more expensive than boat payments. I think Taylor is in Metroplex Ski Club. Plenty of guys there who won't mind letting him ski for gas money.

Yep, he's part of MSC, and like I said before, he'll always have a pull behind my boat...

scott023
04-03-2013, 11:23 AM
Sorry to hear this. Hopefully you'll be in a position to get another one, and quickly.

03 35th Anniversary
04-03-2013, 11:26 AM
Boats are equally fun, whether you have payments or not. Payday is more fun when you don't have a boat payment.

Agreed!!!!

But I find I have more money if I do not pay bills!

I also find I have more fun if I do not go to work!

east tx skier
04-03-2013, 12:10 PM
Agreed!!!!

But I find I have more money if I do not pay bills!

I also find I have more fun if I do not go to work!

http://i.qkme.me/3rfl5f.jpg

Sodar
04-03-2013, 12:23 PM
My income is low, that's that root problem.

Only you know your situation and only you can decided what is important to you and what trade offs must be made to make things happen. If selling the boat allows you to keep the truck and buy a house, do it.

Best of luck.

Thrall
04-03-2013, 12:28 PM
While selling the boat sucks, it's a great time to buy a house and I wouldn't pass on that opportunity. Prices and interest rates are still low.
Ideal situation would be if you could sell it off to your dad and then buy it back aslong as you were certain you could swing all the debt.
Not too many things these days piss me off as much as the gazillions of people who got in way over there heads with mortgages and equity loans. They are the primary reason I'm stuck with houses I can't sell unless I want to take a big hit on them.

GoneBoatN
04-03-2013, 03:22 PM
Yep, he's part of MSC, and like I said before, he'll always have a pull behind my boat...

Easy access to somebody else's boat - now that sounds like a deal! :D

GoneBoatN
04-03-2013, 03:29 PM
Only you know your situation and only you can decided what is important to you and what trade offs must be made to make things happen. If selling the boat allows you to keep the truck and buy a house, do it.

Best of luck.

Sound advice. Rates are low on housing. Although not likely to go up tomorrow, one does not know about a few months from now. Having a lower rate on your home makes a big difference. Much easier to do-over on the boat than to do-over on the home.

TxsRiverRat
04-03-2013, 03:41 PM
Easy access to somebody else's boat - now that sounds like a deal! :D

Funny, I think Kyle's the onle allowed to use it w/o my presence :)

TayMC197
04-03-2013, 04:11 PM
Sound advice. Rates are low on housing. Although not likely to go up tomorrow, one does not know about a few months from now. Having a lower rate on your home makes a big difference. Much easier to do-over on the boat than to do-over on the home.

I agree, I'd rather have the better rates on the house and just get another boat. It's not hard to find another boat like mine.

TayMC197
04-04-2013, 03:20 PM
Well I finally got an approval for a new home loan. I have to put 10% down and I was approved at 3.25%. This was approved with the agreement I had the boat paid for or sold.

My dad did say he would buy the boat off of me and let me buy it back after the home purchase. I'm putting money away like crazy at the moment. If things go right I might have enough to pay the boat off after the sale of my home and have the 10% down payment. Fingers Crossed.

Another issue that was hindering me is I'm a single signer. I didn't have anyone cosigning on the loan. Apparently that helps, I guess great credit doesn't do much for you anymore. It's easier to have terrible credit and get a home than perfect credit. Hell I think they will give you a house if you have no credit or crappy credit.

psychobilly
04-04-2013, 04:51 PM
3.25% is darn good too. My wife and I have great credit and they are sayin 3.65% right now on our new house that's being built... It started out at 3.35% in November but they still ain't got it built yet and the rate keeps going up...

2RLAKE
04-04-2013, 07:16 PM
We just refinanced our lake house .... 2.75% for the remaining 9.5 years