Another banking problem!!!

Ok so I found the boat I like and I'm trying to take out a loan for it....The bank got back to me and said that the boat was only worth $4000 from a KBB type website and thats all they can loan me because thats all its worth, when its worth much more!!! Here is the one I'm looking at.... http://www.wakeworld.com/MB/Discus/messages/8/422228.html?1182226186

Is there something I can say or do for the bank to prove to them that it is worth more than that????!!!! What should I do!!??? Has anyone else had this problem?

Get a marine appraisal. Well worth the cash.

banks use Nada to get the loan value
http://www.nadaguides.com/default.aspx?LI=1-24-38-5697-0-0-0&l=1&w=24&p=38&f=5698&m=1640&d=1600180992&y=1985& ml=S&gc=MR&gtc=MR

some things could be added but its not going to be a lot more

Jay...How do I go about getting a marine appraisal???

Do all banks use this method for loan value?

Where I live there is a retired guy that everyone uses. I've used him for a houseboat appraisal and an appraisal of my old '85 Malibu Skier. He will document all the features and condition of the boat as well as a replacement value and MARKET value for the boat. The guy stamps it and also has it notorized.

personal loan?

Your problem is it's a 22yr old boat. I underwrite boat and RV loans for a living and there aren't a whole lot of lenders that are going to give a securitzed loan on this age of a unit. Normally anything older than 10yrs for either a boat or RV the lender is going to use the base wholesale value in NADA or Kelley to determine loan to value and will usually only lend this amount. You're better off trying to get a personal loan for that amount if your credit and employment history are solid enough.

Don't waste your time or money on a marine appraisal/survey unless your trying to determine the condition of the boat. It's highly unlikely a lender would use this value as they tend to come in overvalued anyway.

Dennis, I feel your pain bro. I just went through the whole boat buying process myself, and at times, it can be a pain in the ass. It finally worked out for me, picking up my '05 Malibu tomorrow, can't wait. Anyways, here's the little knowledge that I've picked up the last 5 months. First off, Kevin R was right on with what he said. Most boat loan companies look at what the NADA value is when deciding how much to loan. You can actually look it up too, if you want to get an idea of how much they will probably lend. With that said, it sounds like the main problem is your loan company. It sounds like they're one of the companies that aren't very generous with their lending amounts. If I were you, I would probably look to another company to get the loan. One that I found to be pretty fair (although I didn't end up using them) is Key Bank. I guess they do quite a few boat loans, so they generally will lend out a little more. If not them, maybe look at another company on the Net, or go seek a local credit union. Another idea is a unsecured, personal loan. You will have a higher interest rate, but if that's the only to get the dough, then it might be worth it. Other then that, I'd say offer less then 12.5 on that boat (although it was a great looking boat, especially for an '85) and if you end up looking for another boat to buy, I'd check out craigslist.com. If you are not familiar, it's a widely used classified ad website. It's a great place to look and it's where I found my boat. Either way, summer's here, so best of luck gettin one soon.

So is the moral of the story try a different bank or try for a personal loan?

This is just SO FRUSTRATING!!!!

banks will nto include any options on a used boat into the appraised value...tower/PP/ expensive stereo---all worth zero to any bank.

Not true adam. Your bank may not, but I will.

That being said, just because he throws a tower and a stereo on an old boat, doesn't make it new again. I would say he is a little high for a 1985.


(Message edited by psudy on June 29, 2007)

The price is not the issue rite know. I'm not going to say exactly what I intend to pay but this boat was relisted on onlyinboards.com and was listed for $10,500 and we have a tenitive agreement thats less than that. So I think the price is very fair for both of us. Still seem a little high?

Dennis, NADA is basically a guide to help you determine value. If you are ok paying more than that, then that is what the boat is worth to you. For that small of an amount, me, as a lender, would not be to worried about it as long as you were a solid borrower. Just keep in mind that if you do decide to sell it in a few years, you could be really upside down in it. If you plan to keep it until it dies, then it doesn't really matter. I would think a fair price on that boat would be around 8-9K, provided the interior and engine are in good shape. Don't forget to check for wood rot.

Paul, the interior, hull, engine and everyhting is in almost perfect shape no rips tears no fading or anything like that, I've looked at a lot of boats and this is in better shape then most much newer ones. Check out this website and see for yourself.... www.greenpave.com/supra

Look at boattraderonline.com and check with there boat loan companies that advertise on there website. Send out a few applications to them, they will be able to help you out better than the local banks. They do boat loans a lot and are used to them.

It does appear to be in very good shape. I am still thinking 8-9K. As I said earlier. Its too bad you live in ILL. I would give you the loan.

IMO, For 10k-12K, you can find a better boat. Keep looking...

Ok guys this is not about price....I didn't even tell you what the offer is and I'm not going to, but the price is not the problem here.

Byrd, I think you'd be hard-pressed to find about close to me that is an open bow, with a tower and speakers and with the hull and int. in such good condition.

I'm going to catch heat for this one for sure, but I don't think you should be financing a boat, period. Save your money, be a 3rd for a while longer, and then go buy something that you can afford to buy. That's my opinion. Your profile says you're an engineer. Cool. It shouldn't take too long, and when you're done, you can actually call it your boat.