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How do you transition to a liveaboard financially?

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    How do you transition to a liveaboard financially?

    My wife and I are retired and living in Florida. We are planning on purchasing a liveaboard trawler in the 45 foot range (used). We own a home. Can anyone give us some advice on how to purchase a boat? Do we sell the house first then buy the boat? Do we buy the boat first as the house would be equity against the loan? Any information would be appreciated.

    Larry Warehime

    #2
    Hi, I am in the beginning phases of purchasing a 39 foot trawler. Although I will not be living aboard immediately, I was told by my lender that they don't do boat loans if you don't have a primary residence. After you have your loan however, you can do as you please. I would check into the loan process before selling your house. Of course, if your paying for the boat without a loan, then this doesn't matter.

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      #3
      Thanks for that-we originally were looking at an RV and the RV dealer gave us the same information. Buy first then sell house. Appreciate the feedback.

      Larry

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        #4
        I have seen people do it both ways. What you don’t want to do is end up with a storage unit full of furniture and keep sakes.
        Azzurra
        Seattle, WA
        Ocean Alexander 54

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          #5
          As others have indicated from a financial prospective it will be easer to buy your boat and then sell your house.

          If it were me I would rather keep the house for a time period to make sure that liveaboard life works for you. Perhaps you could rent it out.

          KEVIN SANDERS
          4788 LISAS WAY - SEWARD ALASKA
          where are we right now​​​​​​???​

          https://share.findmespot.com/shared/...j23OquWOj2N3Xe

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            #6
            I wish I could say that most successful liveaboards did it X way. The reality is most liveaboards used to be men who had just gotten divorced and already owned a boat. However there were always a few retired couples living on the dock that just never went home after their last vacation. Today I find the liveaboard community made up of all kinds who got here all different ways. Meaning there is no right or wrong answer.

            If you will be financing the boat, don’t let the bank know that you are going to live on it. It’s also easier to put a boat in a slip and then 6 months later becoming a full time cruiser instead of a liveaboard. I know it’s just word games but it works for some reason.

            i still see 20% of those attempting to be liveaboards move off the boat in less than one year. In most cases it appears to be a case of buying too few amenities. Living on a boat can be cheap if you don’t mind showering at a gym and you are happy being a microwave cook. Then again you never really know why people do what they do.
            Azzurra
            Seattle, WA
            Ocean Alexander 54

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              #7
              I started living aboard in 1961. From a guy that always had big boats, I see most people that fail as liveaboards because they buy a boat too small, too uncomfortable, too lively in the ocean, etc. Life aboard is harder, but you can make it worse. Having no laundry aboard is one more big chore to haul across docks. If you cooked in a nice house kitchen with lots of labor saving appliances and now cook in a shoe box galley, the cook won't be happy trying to make the same meals. Storage for clothes and all the things you can't live without is another issue. And then you need to solve the dampness issue. In the PNW it also means walking in the rain.
              A single guy can live in a 25' sailboat, but a couple needs more room. It's better if the shower isn't over the toilet. It a lot better if the clothes and bedding stay dry. You really need a couple places for solitude unless you're newlyweds. And then you'll need the space in a couple years.

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                #8
                From a person in the process. I always keep tabs of boats I am interested in. Option 1 and Option 2. Try to visit all boats on list. Our house is going on the market and we will sell it before buying the boat. It may mean we live in a hotel for some weeks, but we will pay cash for the boat and be able to move aboard quickly.

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                  #9
                  As a followup. We are leaving a 3700 sq. ft. house and have been downsizing big time. Easy for me, hard for the wife.

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                    #10
                    As a liveaboard it is not easy to upgrade boats. I bought the second boat before I sold the first boat. This made me a two boat owner for 6 months. Boats don’t show well when they are jammed full of liveaboard stuff. It’s also not easy owning two boats at the same time.
                    Azzurra
                    Seattle, WA
                    Ocean Alexander 54

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                      #11
                      Yes, purchase the boat first before you sell the house.
                      Also, you need to find the lender before you put down the requirements for the boat. Every lender has different requirements and limitations. They may indicate that the boat has to be a certain age and may have other restrictions. These restrictions can prevent you from getting the loan or vary the interest rate, and term of the loan. So do you home work first on the financial end before you go shopping for a boat.
                      Also insurance is critical, you need to get Yacht Insurance not boat insurance.
                      I would recommend you go to a boat show. Visit the different lending insitutions and insurance groups booths. They can help you narrow the field down. Also, contact several reputable Yacht Brokers and find out who they recommend for lenders that are open to older boats, easier to work with, etc.
                      Finally, when you go to look at boats, it is very hard to shed the rose colored glasses. But if you are thinking about a boat as a live aboard, then you have to think about how you will live on aboard. Is there sufficient room in the galley to prepare the daily meals. Not the short recreational trips where it is ok to be difficult because you have a nice home to go back to. No this is your home and not boat. That is something that you have to take into consideration. Make sure it has a washer and dryer onboard. This can be a combo unit or stackable. I converted mine to stackable. Works so much better. These units don't do anything fast so having two units instead of a combo can make life easier.
                      Think about the layout, will it work for you. Do you spend time on the computer, where will you use it. What about the seating, built ins are handy but are not comfortable for long periods of time. Does the salon have room for comfortable seating?
                      Good luck in your search and don't be in a hurry. It took us 1.5 years if searching to find our 4588. Well worth the search.

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