New (Used) Yamaha Purchase

[tf92658]

I am looking at buying a 2015 AR-190 from a private party for $22k. The boat currently has a loan on it. Normally it wouldn't be an issue because my credit union would handle everything with the lender. I am not financing this one, I will paying cash. I am looking at a wire transfer to the lender for the payoff. Any ideas on how I can ensure I get the title? That is my one hang up right now and the only reason I haven't closed on it. I can get the same boat through a dealer for $28k, obviously I'd prefer to keep the $6k in my bank account. Located in California. Any ideas?

 

[captainhook]

The best way to do this is go with the seller to the financial institution holding the lien or have a conference call and wire the money directly to them to ensure all is smooth. Usually the seller is trustworthy if he’s letting you take the boat, but you don’t want to be in a situation where you have a boat with no title you can’t register. You never know what can happen—accidents, he wins the lottery, divorce (my seller’s wife tried to block me from taking the boat with her Cayenne ).

For six grand I’d deal with the extra steps in buying from a private seller. Good luck!

 

[tf92658]

Unfortunately this one didn't work out. The seller owed $30k on the boat and had originally said they would be paying the difference. When it came time they didn't have the money and thought the bank would still release the title with a short pay. Have to keep looking...

 

[biffdotorg]

It always blows me away how upside down folks can get on a new boat purchase. WOW, $30K! Heck $22K was the high end of retail as it was. I guess for time of year, that price is fair. That seller is in tough shape.

Good luck in finding your new ride though, there are more out there.

 

[Scottintexas]

Unfortunately this one didn't work out. The seller owed $30k on the boat and had originally said they would be paying the difference. When it came time they didn't have the money and thought the bank would still release the title with a short pay. Have to keep looking...

that stinks, I hate it when people are unrealistic, wasted your time and effort for a maybe but didn't tell you that up front,

good luck with the search,

.

 

[HangOutdoors]

Some people just aren't too smart........ It definitely bewilders me. That a bank would typically just forgive part of a loan of real money that they gave on your behalf to the dealer..... Honestly where do these people come from. These type of people are the same ones who keep rolling in the negative equity of vehicles and wonder why their payments are so high.

I had a neighbor who was going to move and the year before they rolled in 80k of debt off of all their credit cards and loans into the house, now they are complaining that they can't sell their home because they are 20k upside down because they really didn't maintain their property and it needs updates. The were convinced the bank would just let them off the difference AND they then wanted to go buy a more expensive house. They are still there of course.......... Now that they have seen my boat they want to buy a boat. Each to their own but very unrealistic.

 

[biffdotorg]

At least these folks were asking market value for the boat. But they needed to come up with the rest of the loan. wow.

I saw a post for a 242 on one of the Yamaha facebook groups this morning. They were asking $2000 off of MSRP for their 5 year old used boat! Heck, if it were a carry over purchase of the model year, it probably sold for $2000 below MSRP when new (not counting tax, license etc) But still, no boat holds it's value that well. Very odd market, good luck to them. If there is such a shortage of boats, they may find a sucker with more money than financial brains.

 

[HangOutdoors]

I guess if you want to buy a boat and you can afford it, then by all means do so. Life is short. But when I bought ours I factored in paying down the note with at least $300 - $500 more a month minimum to principal on top of a down payment. That way if one of life's challenges come upon us I could make a decision to off the boat if needed. Or possibly upgrade if that is what we wanted to do in the near or long term. People taking out a 15yr + note with little down and not paying extra could find themselves in a bad way if needed.

 

[Robconn]

When I purchased my AR192, 6/16, it was explained that Yamaha was willing to trade up boat after 5 years. However, that really was never going to happen on the part of Yamaha. I had inquired about trading up earlier than 5 years. With the step loan that was offered, I was making payments that primarily went toward the interest. So I have very little principle paid. Flip side was I got into boating for cheap. In order for me to get into any other boat, I would have to come up with $12,000. I have heard of others paying $10,000. That’s before down payment of new boat. If Yamaha wants to revisit/ revise a trade program that is reasonable than I’m in. I can’t see anyone who would buy a used boat for what they can purchase brand new. With the sales of boats booming since covid and lack of inventory I was hoping Yamaha would be interested in doing so.

 

[HangOutdoors]

Almost like a Boat Lease or trade up Cellular Phone Program, pay for 3-5 years on then turn it, or pay more on a subscription and trade up every 3 years or so. You never really own the boat though, but that may not be a bad thing as needs and lifestyles change. I like it a lot, and that would be awesome. Would give an individual an out in a fixed period of time if they need it. It would also allow people who couldn't financially do the long haul of owning one and the payment to experience boating for a more affordable price point. Also they could offer different packaged warranties, etc. So the boat would be turn key and maintained for them so the people who are unable to maintain them can buy that coverage and have the shops take care of it completely, like an auto lease. Also would guarantee more revenue and increased boat sales for the MFG's. It would although flood the Market with used boats and possible increase depreciation and depress residual value.

I think there is something there though if structured correctly.

 

[BigBlueJeep]

I'm struggling with private party transactions right now and people thinking I'm going to hand them a check and buy them out of a bad financing deal and wait for them to magically send me the title. I do think if you have evidence of a loan payoff, you submit the payment to the lender, and you have a good sales agreement signed and notarized, then you're covered; however, any issue with seller sending the title because bank won't send to you and you'll have to get an attorney. You could hire an escrow agent but would really need the bank to agree to send title to them to make it work.

It's a seller's market right now, even with inflated prices I'm amazed (I guess not really) of how many people are so upside down on their boats. I think there were a lot of $0 down, 15yrs, 5+% loans out there that someone thinks they will get bought out of. Finance is pretty simple, you have to pay the piper at some point, either upfront or at the end.

I have cash in hand but loosing hope of getting a boat this Summer, I think when the dealers get new models and getting ready to go back to school the market will get back to normal.

 

[Robconn]

I agree, the supply of boats is not meeting current demand. I am optimistic that is a temporary situation. Most likely, at the end of the boating season you may find more available. Another place to find deals are at boat shows. My local one occurs in January in Atlanta, GA. Finding a boat during the height of boating season compounded with the effects from temporary business closures due to covid is frustrating to say the least. Be persistent, you may have to widen your search area.

 

[Chevyguy2021]

A private party purchase shouldn't be that hard. And to be honest, a smart seller should never share how much payoff is.
If I have a boat valued at $10k and I want to sell it for $10k. I might list it at $11,500. Then we negotiate and it sells for $10k. I may owe $12k to the bank so I know that I gotta send the $10k the buyer just paid me AND $2k from the checking account because I just sold the boat and it has to be paid off.
OR
It works the opposite. I don't tell the buyer how much I owe, and I sell it for $10k and I actually owe $8k. I just made $2k. Easy peasy.

We will never buy a boat new, have no desire too. Its a recreational item and is fairly bullet proof if maintained well. However we do buy our vehicles new. They are driven much more often and we rely on them to commute to work. So prepaid maintenance and warranty PLUS updated safety features/tech are important.

In a perfect world, buying a used boat with a lien is easy. You and the seller agree on a price. You get a bill of sale notarized and a written doc agreeing that you can be a third party to get info from the current lean holder. You wire the lien holder the money from your bank to theirs (our seller went to our bank with us to watch this transaction), they pay off the loan (if they need to make an extra payment) and receive the title in the mail (2 weeks), they sign the title as the seller and then mail it to you. You take the boat home the day you wire the money to the lien holder.

 

[HangOutdoors]

The problem is it isn't a perfect world and sellers can be not too swift at times. It happens.

@BigBlueJeep 0% down payment on a decent depreciating item is a can of worms. People should use it to get in to the market and enjoy their boat, but as you mentioned they will pay the piper sooner or later. I guess not understanding or wanting to understand the effect of the choice and what is going to occur and what you need to do is the challenge. I always try to leave myself an out with everything that I do no matter how difficult. That way I have a choice if shit hits the fan for some unforeseen circumstance.

 

[biffdotorg]

In a perfect world, buying a used boat with a lien is easy. You and the seller agree on a price. You get a bill of sale notarized and a written doc agreeing that you can be a third party to get info from the current lean holder. You wire the lien holder the money from your bank to theirs (our seller went to our bank with us to watch this transaction), they pay off the loan (if they need to make an extra payment) and receive the title in the mail (2 weeks), they sign the title as the seller and then mail it to you. You take the boat home the day you wire the money to the lien holder.

That's how ours worked. The seller of our boat had a payoff amount. The financial institutions requested what they needed to prove how the funds should be allocated with signed intent to purchase. I drove 1500 miles, did a water trial, and notified my Credit Union that the funds could transfer and the two of us then signed bills of sale. His FU, got the funds, took his personal transfer for the balance and signed away the title. It was in their hands, so they had no reason not to mail them to us after the sale. We towed the boat home that day.

The intent to purchase was needed, as I was driving so far. It was a matter of, "if this is exactly as you say it is, I will pay this much" Negotiation was off the table unless something was glaringly wrong. It did come up as we took it from the rack storage to his under-used trailer that all four tires were nearly rotting off the wheels. He did pony up for four tires. Which was a very respectful gesture. Since he never used the trailer, he had no real idea that they would rot when just sitting dormant. He could only assume they would be in near new condition as the trailer had no real use.

Sometimes a guy gets lucky. And for me, I got the chance to do business with a member here. It just so happens that the provenance of the boat lead to two prior members. And that is money in the bank, as the history of the boat from new is all documented here. I wish all of you shoppers could find your next ride from a member here. There is really nothing to hide.

 

[tf92658]

This is where we are right now. We may just put it off until after the boating season and see if we can pick one up. Will definitely keep our eye open in the meantime.

 

[AuburnVFR]

I've been considering purchasing for a while, but just recently got serious. I know spring is not a usually a buyers market, but I figured there might be some deals out there. Unfortunately, everyone else had the same idea. I finally found the right deal on a 240, but deal fell through since seller had an open title (boat flipper) and lender required title to be in the seller's name since it was not a bank or licensed business. Still looking, but likely will wait until the end of the season.

 

[14SX190]

I know of a 2010 SX 240
I went to look at it for other forum member.
I checked compression for him and both 1.8 are at 180 all 8 cylinders. Installed new plugs for owner as old ones were shot.
Cosmetic ally its good but has items addressed.
1. Steering is locked
2. She owes 20300 to bank
3. Radio was not functioning and gauge buttons were tacky.

The set back was getting title as she didn't want to do PO and no water test with steering locked.
She is coming to terms she needs owner to take it as is but she will not get PO. She was texting JB member she would take 19k. I think she could down to 17.