MONEY
We have a Consumer Credit Licence and are happy to assist you in finding a marine mortgage for your boat.
None of the following is in any way intended to be advice. Whether or not to borrow money, and if so, how you choose to borrow it, is entirely your decision.
How you fund the cost of buying your boat depends upon whether you intend to borrow to pay for part of the price.
If you do intend to borrow then there are a number of ways you might choose to raise the money. You could borrow against another asset such as your house, if you have one. You could borrow a certain amount by means of a personal loan. Many people go the route of a marine mortgage.
There are two main players in the Inland Waterways Finance market - RoyScot Larch and Barclays Marine Finance. Both will lend you up to 80% of the boat's value. The value will usually be determined by an independent surveyor or recognised valuer. Unless the boat is brand new they will want a full out of water survey report, at the buyer's expense. Rates of interest are generally higher than home mortgages, and the repayment term with a second hand boat is normally a maximum of 10 years.
Unlike other loans, the mortgage is secured against the boat, and the finance house hold all the paperwork relating to the purchase of the vessel as security. Once the loan is redeemed they then release that paperwork.
They will require you to supply evidence of a permanent mooring and also fully comprehensive insurance.