# Financing Custom Boat Build



## Big Tex (Mar 30, 2016)

New to the forum, been looking around for a while and have gained a ton of knowledge from this site. I have searched around but couldn't quite find an answer to the question I have. What are the options for financing the build of a custom boat ordered from a manufacturer? I have never had a new boat built, so I'm not positive on how the process works. The way I understand it, there are deposits required along the way. I plan to pay those, as well as a large portion of the boat's cost, in cash. But if I'd like to finance a portion of the boat, is that possible on a boat that is under construction?

I know financing threads can sometimes get a little out of hand. I'm not interested in discussing whether financing a boat is a prudent decision; I fully understand the pros and cons. Just want to understand the mechanics of financing a boat under construction. Appreciate any insight you guys can offer!


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## permitchaser (Aug 26, 2013)

Try a private bank and see what they say. If your putting money down and funding a lot on your own the bank should be friendly. Don't go to a national chain


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## DBStoots (Jul 9, 2011)

Check with the boat builders also. They'll let you know the specific downpayment required, with the balance due upon completion. They may also be able to provide some advice regarding financing.


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## el9surf (Dec 23, 2008)

If you have a vehicle paid in full as collateral a car loan can easily be 5 - 10% less in interest rate depending on the age of the vehicle. 

I believe sun trust does boat construction loans. Rates on boats loans are usually high even with good credit. Talk to the builder, they usually have a handle on the lenders that can make a build happen.


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## el9surf (Dec 23, 2008)

Also check with credit unions, they usually have better rates.


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## tomahawk (Mar 9, 2012)

If your credit is good enough, 750 ish, try Lending Club. My buddy got a personal loan through them at 5% interest to buy a skiff. You keep the title and there is no penalty for early payoff. 
The time frame from application to money in the bank was about a week.


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## Big Tex (Mar 30, 2016)

Thanks for the advice guys. Sounds like I need to call a couple of the boat builders I'm interested in to find out how their specific processes work with regard to deposits, etc. 

tomahawk, funny you mention lending club. Thats part of the reason I am considering financing. I have invested in lending club, and from what I can tell reviewing loan rates initially, I can get a lower loan rate than the return I get investing there.


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## tomahawk (Mar 9, 2012)

Yeah, I was considering investing as well.


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## Ant_Legal_Hookers (Aug 16, 2015)

I used litestream... 3% online, a division of SunTrust I believe... Filled out the application online, they deposit the money right into your account.24hrs later.. I gave my manufacturer $1,000 down and I actually bought my motor two months before the build was finished, which was on sale, saved money there and they automatically take out of your bank account every month.. so no fuss no muss done deal


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## brett.nextlevel (Feb 12, 2014)

Ant_Legal_Hookers said:


> I used litestream... 3% online, a division of SunTrust I believe... Filled out the application online, they deposit the money right into your account.24hrs later.. I gave my manufacturer $1,000 down and I actually bought my motor two months before the build was finished, which was on sale, saved money there and they automatically take out of your bank account every month.. so no fuss no muss done deal


Yep..Lightstream is the best and they dont hold title's..


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## Whiskey Angler (Mar 20, 2015)

Ant_Legal_Hookers said:


> I used litestream... 3% online, a division of SunTrust I believe... Filled out the application online, they deposit the money right into your account.24hrs later.. I gave my manufacturer $1,000 down and I actually bought my motor two months before the build was finished, which was on sale, saved money there and they automatically take out of your bank account every month.. so no fuss no muss done deal


Same here...It was almost unbelievable how easy the Lightstream loan process was. I ended up at just over 4% on an unsecured loan, and had funds the next day.


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