Preparation: Is Your Paperwork In Order
Whether youre opting to enlist the services of a broker or dealer to sell your boat, or aiming for a private sale, youll need to spend some time gathering all the relevant documents that will help impress potential buyers. This will also make life easy at the point of handing over the vessel.
The main documents you need are the Builders Certificate and Bills of Sale evidence the boat is VAT paid such as the original invoice registration documentation, evidence of RCD compliance, where applicable service information for the engine, generator, sails, water heater Owners Manual and further manuals for all the equipment on the boat and financial records and receipts of any large repair bills.
Its also worth sorting out the boat insurance situation. Paul Birch, Managing Director of boat insurance specialist Bishop Skinner says that if youre selling the boat you need to advise your insurers what the sale price is. This should be reflected in the sum insured in order to make sure the boat isnt under, or over, insured. You should also confirm the boat is still being used in the same way. For instance a boat might be laid up while up for sale, but the broker might need to sea trial it and the insurance will need to be extended in order for cover to use the vessel afloat.
Can I Trade In A Boat I Still Owe Money On
Yes, you can trade in a boat you still owe money on. If your boat has a trade-in value of $20,000 and you still owe $10,000 on the boat, when you trade in the boat, the dealer is purchasing the boat from you for $20,000. $10,000 will go to the bank to pay off the loan and the remaining $10,000 balance will go to you.
In the case of a trade-in, that $10,000 that is coming to you will be applied to the purchase price of the new boat.
Another scenario that I hope you dont find yourself in, but many people do is referred to as being upside down in your boat. This is when you owe more than your current boat is worth.
If you are trading in a boat that you are upside down on the payments, then you can assign the additional debt to the purchase price of your new boat.
The debt does not go away, but it is tied to the new boat so you have the benefit and enjoyment of the new boat, but the responsibility to repay your debts in full.
With this said, all of this is based on your credit score and the ability and willingness of the lender to work with you when you are trading in a boat you are financial upside down in.
How To Sell A Boat That You Owe On
If you want to sell your boat but you still owe money on the loan, you don’t have to pay off the loan before you can put your boat up for sale. Investigate your options. It’s possible to sell your boat and pay off the loan at approximately the same time. As long as you and the buyer agree on the circumstances of the sale, selling a boat you owe on is acceptable.
Determine the current value of your boat via the NADA Marine Guide or a similar reference. Set a selling price based on the current value. Try to set the price as close to the loan payoff amount as possible. You may want to set the price a bit higher than what you’re willing to accept to leave you some negotiating room.
Advertise your boat for sale online and in print. Meet with interested parties. Negotiate and agree on a selling price with a serious buyer. Present the buyer with a bill of sale to provide him with documentation of the sale, which will prove helpful when the buyer transfers ownership of the boat into his name.
Request that the buyer write a payoff check in the correct amount directly to your lender. If possible, conduct this transaction at your lender, so the funds can be verified. If the amount the buyer is paying equals more than what you owe on the loan, ask the buyer to write two separate checks: One to the lender for the payoff, and one to you for the remaining amount of the purchase price.
Tips
Warnings
References
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As Soon As Youve Listed Your Boat
It is loaded onto our intranet system Ancanet and immediately available to all brokers across our network, who in turn, will offer details of your boat to all potential buyers. While still being managed by your local broker, your boat will be represented by our busy marina offices all over Europe. Your boat details will also be fed to all the major portals worldwide including:
Preparing A Boat For Sale
The amount of prep work you do to your boat will have a dramatic impact on how much someones willing to pay for it. Remember, no one needs to buy a boat and its usually an emotional purchase. So youre hoping for someone to fall in love with the boat at first sight.
That means cleaning the boat inside and out, and washing and waxing every inch of it. Even clean out those areas that are out of sight and out of mind, like stowage compartments under seats or the inside of a fishbox. If someone looks inside as they inspect the boat, you want them to see a neat, clean interior. Also remove any extra gear that amounts to clutter. This will help the boats deck, cabin, and/or stowage compartments seem larger at first glance.
Naturally, a potential buyer will also be interested in a boat that functions properly. Fix any broken or malfunctioning equipmentespecially powerplants prior to attempting to sell the boat, or you cant expect to get top dollar.
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What’s Your Best Price
I cringe every time I hear this, and you should too. Whether innocently or intentionally, its a method of getting you to discount your boat twice!
First, you accept the idea of taking less, and then when they show up and Find something you didnt put in your description, magically- They want more money off because you left that out And with a boat, people will find something you missed in your description!
Offer to gladly negotiate prices AFTER they inspect the boat.
Lights Camera Action: Make Your Boat Stand Out
Once your boat is spotless, its time to take high-quality, detailed photos and video. Remember, the more photos the better! If you choose to sell your boat privately and own a smartphone, like an iPhone, you can shoot professional-quality photos without the need to hire a pro.
When shooting photos, find an attractive, uncluttered spot in order to capture the best possible imagery. Direct sunlight can be harsh and may create glares and strange shadows that end up making the boat look worse than it actually is. Try to shoot your photos during Golden Hourin the eveningor in the morning when the sun rises.
In addition, try to photograph your boat on the water. While trailer shots will suffice, there is no better place to show your boat to potential buyers than on the water. While youre there, dont be afraid to shoot a short walk-around video describing different aspects of the boat. Hold the camera horizontally, click record and show the boat off by walking through the vessel, showing a cold start, and talking about different options and features.
Above: Be sure the lighting is right when shooting photos or video of your boat. Photo: Ryan McVinney for Boat Trader.
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Determine The Market Value Of The Boat
The biggest mistake that can make or mar the sale of your boat is to either price is too high or too low. And the reason many boaters fall into this trap is that they dont do basic market research.
Too low, you will lose money and too high you will drive prospective buyers away.
Thankfully, there is a wealth of resources online and offline to help you identify the best price for your boat.
Use the following resources when pricing your boat:
How Do I Sell My Boat 9 Important Steps
What is the fastest and easiest way to sell a boat?
This is a common question boaters ask when they need to upgrade, downgrade their watercraft or stop keeping one altogether.
In this article, we dive deep into everything you need to know about selling your boat. To get top dollar for your prized possession, you need high-level attention to detail and preparations.
This article will show you exactly how to go about it!
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Boat Restoration And Upgrade Costs
In case you skimmed over it just before this section, I want to highlight again the importance of understanding that upgrades or restoration costs to a boat do not pass on directly to a buyer. You may have loved that new Garmin Electronics upgrade, but your buyer is a Raymarine fan. Why should they pay full price for your favorite gear? They wont They just wont!
What Is The Best Time Of Year To Sell A Boat
What most people is that the best time of year to sell a boat is between February and June. You can probably expect 3 times the amount of action in this time period as opposed to waiting to get into the heart of Summer. And in case you live in a perpetual boating season, such as in Florida, this time period still holds up!
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Top Tips For Great Boat Photos
- Take yet another moment to look around for places you forgot to clean while also keeping an eye out for random items you may have left lying around
- Take both Wide Angles & Close Up Photos. The top boat dealers in the county know that people want to see details, but that they also want to feel the space of the boat, so their photographers will often use lenses as wide as 14mm to give people the sensation of having a lot of space. Taking a picture with a regular lens may make your boat FEEL smaller, and thats rarely ever something boat buyers are shopping for!
- Make sure to capture all of those areas you meticulously cleaned up. Focus and highlight them! You want people to look at your listing and think, Man, this person was crazy about their boat.
- Always wait for the best lighting- It may be cloudy today, it may be cloudy tomorrow, but you must wait for good lighting unless of course, you are selling a commercial fishing boat in the Grand Banks. When people are thinking about being on the water its probably a sunny day they are imagining, and thats what pictures of your boat should line up with so they can see themselves driving it on that perfect day. Another good reason to make sure you get great sunlight is so that your listings stand out on websites next to someone else who may have been in a hurry to take their pictures.
Selling Your Boat: Closing Paperwork
There are a few forms that need to be filled out and submitted. Then the handshake and its off to enjoy your next boat.
Whether youre selling your family dinghy, a large powerboat, or something in between, finalising the transfer of ownership will require some paperwork. Know the requirements and have your files organised ahead of time so you dont hold up the final sale. The requirements are spelled out under Transfer of Ownership on the Transport Canada website.Having all your paperwork notarized is not always required, but its always a good idea.
No matter what boat you’re selling, finalising the transfer of ownership will require some paperwork.
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What Information Do I Need To List My Boat For Sale Online
That means at a minimum you should ensure there are no typos, spelling or grammatical errors. As we in the journalism business like to say, If you couldnt be bothered to spell things correctly, people are going to wonder what else you got wrong. People will stop reading a sloppy news story. With a clunky classified boat listing, they might just move on to another ad.
Provide as much detail as possible within the allotted space on the website where youre listing your boat. Use exact builder specifications for the boats dimensions, including length , beam, draft and gross weight. Provide bullet points to highlight improvements, optional upgrades and aftermarket equipmentsuch as additional seating, electronics and navigational systems. Dont forget to include model numbers and brand names for any equipment onboard as well as details on the boats electrical system. Overall, make it easy to read and digest.
Include details about every feature on your boat including upgrades and equipment.
Also, for buyer and seller peace of mind, consider a Boat History Report for your vessel. For a while, buyers purchased the reports , but now sellers are providing the reports upfront too. You can purchase a report at boathistoryreport.com, a nationwide database that details boat histories by hull identification number . The site has roughly 100 million boat registration records on file. Obtaining a boat history report as a seller is another way to ensure a quick sale of your boat!
Selling Your Boat Yourself
If you cant get a broker or dealership to sell your boat, sell it yourself.
Selling a boat yourself is no fun as it is like a full-time job.
The main things you have to do when selling your boat is to advertise, show it and then sell it.
If your boat has flaws that buyers can use to negotiate a price reduction, beat them to it by saying upfront that you ask that price because of so and so.
You also have to organize sea trials and show the boats capabilities.
You need to learn to weed out time-wasters who are not serious about buying.
Some boaters feel uncomfortable showing their boat if it has shortcomings. But its better to be honest about the true state of the boat and hope you can find a buyer who can love it as you do.
When you find the ideal buyer, all that will matter is the joy and happiness they will derive from owning the boat.
Remember that the decision to buy a boat is emotional, not logical or economic. So do your best to portray your boat as worth the price and hope for the best.
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Canada’s Most Visited Marine Website
- Buyers contact sellers directly.
- The most serious buyers. Get the highest price for your boat.
- For private individuals only dealers / brokers must be members.
- One-time fee for no expiry listing.
- Unlimited photos with listing.
- High traffic from major search engines such as Google, Yahoo! and Bing.
- Full description with no length restrictions.
- Listings from Canada & U.S.A.
- Update your listing at anytime.
$149.95 + Applicable Taxes– One-time payment
Research The Market Price
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Pricing Your Boat Accurately
The next thing you need to do is come up with a reasonable price based on the boats value. The average value of a vessel may not necessarily dictate your asking priceespecially if you want to sell the boat fast. If youve made extensive modifications that may greatly increase the value of the boat, be sure to include those points within your listing description. But also remember that most accessories will not increase the price of your boat.
There is always a tendency among boat ownersor enthusiasts of any kindto harbor an overinflated sense of what their boat is worth. Its normal. It happens because boats are emotional purchases, which have often produced a lot of happy memories for an owner. This contributes to the exaggerated sense of value in many cases.
The goal is to get the highest price for your boat so you can have more money to spend on your next one. However, you want to be as realistic as possible about the price of the boat youre selling.
Boat Traders Emma Coady recommends to, Set your rock-bottom sales price in your head before listing your boat for sale. This will ensure you will not walk away from the deal disappointed. Knowing your rock-bottom price will give you a baseline for negotiating with potential buyers!
