How to Reduce the Costs of Financing Your New Boat

Business Yacht Ownership®Fountaine-PajotLearning Center

Financing your new boat

This doesn’t have to be a daunting experience, and arranging to get pre-approved for financing can help you with budget planning and, especially if you’re considering a used boat, the negotiating for the best price. Those with pre-approval financing move to the top of the list when an owner is considering offers.

We can arrange everything, and guarantee the best price on the boat, and your complete satisfaction with all follow up services–more follows.

Finance, Insurance, and Resale

  • We offer superior financing services. This includes the most competitive rates. We will provide a
    comparison of home financing vs marine financing. We will give you a complete amortization table which gives a break down of principal and interest and shows you applicable tax deductions if you qualify for a second home deduction or business tax advantages. (We haven’t found marine lenders that generally offer this amortization table. With it, you can save literally $100’s of dollars a month by adjusting your with holding or tax payments—we’ll show you how.)

Example of how you can use this financing information:

You purchase a $470,000 boat with 20% downpayment. Financing $376,000. Your, nominal, monthly payment is=$2,278.49. this is as far as most dealers go in their offering. Now, see your actual out of pocket costs below with the additional information ACY offers.

  1. If you’re in a 39.6% tax bracket, your second home interest deduction reduces this to $1,823.30.
  2. If you’re in a 33% tax bracket, your second home interest deduction, still, reduces this to $1,899.16
  3. If you place your boat in our Business Yacht Ownership® program, you get more tax advantages and income and your cost is reduced to $0. Find out how this works: LIVE OR RECORDED
    WEBINAR
    . “How to sail for less!”
  • We help with arranging insurance, documentation or incorporation, slips and any other support you need. We have information and help set up LLC’s and other types of Corporations and/or Trusts that might offer you tax advantaged situations. Just one example: Did you know that you can avoid capital gains tax on a real estate sale when you buy a boat—even though this is not considered a like-kind exchange? If you have over $1M in net worth and want to preserve your net worth, while owning a boat, keep your investments working without cashing them in for a downpayment, or any other reason–find out about our collateralized loan program.

Contact us any time to learn more.


Eric Smith

Senior Sales Consultant, Partner
410-703-5655
More from Eric >> Boat Business Webinars, Videos, Blogs, Learning center and more.

DisclaimerThe information, viewsopinions, and conclusions expressed in any article, blog, video, or other form of media posted or linked herein are those of the authors and do not necessarily reflect the views of Atlantic Cruising Yachts, LLC.  Nothing contained herein has been approved or otherwise endorsed by Atlantic Cruising Yachts, LLC and such company shall have no liability for any content.

ESE, LLC is totally responsible for the content of this article. We are not tax advisers. You should obtain tax advice from a professional tax adviser for any matters relating to setting up a business, or tax implications.