When Is The Best Time to Buy a Boat?

When Is The Best Time to Buy a Boat?

Timing is everything when it comes to purchasing a boat. In most cases, a boat is a huge investment that typically requires financing. Knowing the best time to buy a boat can help you get the best deal possible as well as better loan terms.


So, when is the best time to buy a boat? Here’s some advice to help you make an informed decision for your upcoming boat purchase.


Make Your Purchase Off-Season

The ideal time to buy a boat is in the off-season. This is typically in the fall and winter months when the weather is colder and boating activities are less frequent.


Spring is usually when dealers are trying to get rid of leftover inventory from the previous year, but you can also do your boat shopping in autumn and winter. During this time, dealerships offer excellent incentives for helping them make room for the newer models coming in. The only downside to this is that the dealership may not have the boat you want in stock. You can certainly get an excellent deal, but the boat may not fully satisfy your wants and needs.


Do your best not to purchase a boat during the summer when boating activities are at their peak. The latest models have just be unveiled, and the price tags on these vessels is at an all-time high. If you want something that has been newly released, it is best to wait until winter or late spring of the following year.


Do You Want a New or Used Boat?

As with anything that comes with a price attached, the principles of supply and demand are highly influential. For example, in 2008, during the recession, boat production dropped. Boat owners looking to trade-in or upgrade their boat had to wait years before the vessel they wanted became available.


The demand for a specific boat model will most definitely impact the price you pay. Even if the boat is used, the number of models available, as well as how many others are searching for it, could elevate the price beyond your budget. The question is whether you want to wait or search for something else.


Fortunately, many used boats hit the market in autumn and winter, when they have been traded-in at the beginning of the year for something newer.


Snag a Deal at a Boat Show

The boat show season typically goes from late winter to early spring, and it’s when manufacturers unveil their newest models. Many boat dealerships and sellers use this time to showcase their inventory, and they may offer incentives and promotions to lure buyers. However, the prices of the latest models are often inflated, so if you’re not set on purchasing the latest model, it may be best to wait until the off-season.


Boat shows also give you the advantage of looking at hundreds of models at once. You can do some market research on competing models, manufacturers, and technology. You may also find that there are lenders at boat shows offering special pre-qualification deals, meaning that there are plenty of options within your budget.


Keep Interest Rates in Mind

If you’re planning to finance your boat purchase, interest rates may fluctuate throughout the year. Interest rates are influenced by the overall economy, and they may increase during peak boating season when demand is high. Therefore, financing your boat purchase during the off-season may result in lower interest rates, saving you money on the overall cost of the boat.


On the other hand, waiting too long to purchase a boat may result in limited inventory, as many boats may have already been sold. If you wait too long, you may miss out on the best deals and dealership incentives.


Open up a conversation with a reputable lender to see if they offer more flexible options throughout the year. That way, you can get the boat you want when you want it.


Finance Your New Boat with Atlantic Horizon Capital

If you are looking to purchase a new boat, the best time to buy it is off-season, which is typically fall or winter, though it depends on your location. During the off-season, boat dealerships and sellers are more motivated to sell boats, and you may find reduced prices, additional incentives, and the opportunity to inspect and survey the vessel before the peak boating season. However, it’s important to keep in mind that waiting too long may result in limited inventory and missed opportunities. Ultimately, the timing of your boat purchase should depend on your specific needs and circumstances.


Looking to finance the boat of your dreams? Atlantic Horizon Capital can make your dream of boat ownership come true. We offer flexible boat loans for a variety of vessels. Apply today or contact our experienced team with your questions.

What is a Boat Loan?

What is a Boat Loan?

If you live anywhere near the water, the idea of having a boat probably sounds great. Even if you don’t like to swim, dive, or fish, there is something relaxing about cruising the waters and enjoying a nice day on the water. Most of us simply cannot afford the high cost of most vessels. Fortunately, boats can be affordable and accessible to everyone, this is where financing your boat purchase is helpful.

How Does A Boat Loan Work?

Boat loans are available through a number of different channels, but specialty lenders are often the better choice as this is a very specialized type of loan. Banks and traditional lenders are fine for car and home equity loans, but boat financing is a little more purpose-specific.

Obviously, there will be an application/evaluation process, as with any other type of loan, which will include a credit check. Before this begins, you will need to decide what sort of boat you want and how much you want to borrow. Then, you will have to provide all the required information and wait for the lender to review that information.

If you are approved for a boat loan, the lender purchases the boat on your behalf. You will probably have to make a down payment, usually 20% of the purchase price. So let’s say your boat costs $100,000: Your down payment would be $20,000 (20%).

Once you sign the loan documents you are responsible for repaying the loan under the terms of the agreement. This will typically be done by using a set monthly payment for the negotiated term. In most cases, while there are no prepayment penalties, you are required to make 6 monthly payments before you can consider paying off your loan in full.

How Much Will I Have To Pay Per Month?

How Much Will I Have To Pay Per Month?

There are several things that will affect your repayment rate. First of all, the lender will consider the size of your loan. If you’re just borrowing a few hundred to buy a canoe, those monthly payments can be quite small. Of course, if you’re buying something larger like a yacht, those monthly payments are going to be much larger.

Secondly, your financial qualifications will also play a role. People with better credit can generally be expected to make payments more reliably. As such, they are considered to be less of a risk and will likely get a better interest rate.

The term of repayment will also be important. When you get a boat loan, you will need to choose the length of the repayment term, usually from 5 to 20 years. If you go with a shorter repayment term, your monthly payment will be larger since you are paying the loan back sooner. If you choose a longer repayment term, your monthly payment is smaller but over time you are paying more interest.

Understanding Interest Rates

The Federal Reserve sets the Interest Rates that they charge banks to borrow money from them and what they can charge other banks to borrow from each other. The Banks themselves set their own Interest Rates for consumers based on several factors including demand, the economy, and risk. This applies to mortgages, car loans, and boat loans. Loans traditionally have been either a fixed rate or variable rate over the term of the loan. For boat loans, the rates are fixed for the term you choose. This allows you to have a fixed payment every month for the term of your loan, which makes your ability to plan for the future easier.


Boat loans are pretty self-explanatory: You get a loan to purchase a boat. The concept is simple but on occasion, the specifics can be difficult for some people.

To summarize the process:

  1. Choose a boat that fits your needs and your financial situation
  2. Choose a Lender
  3. Negotiate the Terms of the loan
  4. Apply for the loan
  5. Make the down payment, close on the loan and take possession of the boat
  6. Make payments until the boat is paid off or sold

The best way to simplify the process is to choose a high-quality lending organization whose employees are there to guide you through the process and to ensure the process goes smoothly and efficiently. To get started with your boat loan, contact Atlantic Horizon Capital through our website or by calling 609-365-1540 and allow us the privilege of helping you secure the boat of your dreams.

What Do I Need to Finance a Boat?

What Do I Need to Finance a Boat?

When buying a boat, you will probably find it more practical to finance that purchase to some extent. You generally can’t get the boat without paying something, but a boat loan makes it much easier to get out on the water where you want to be. Indeed, most boat buyers do end up financing their purchase to one degree or another. If you are one of the many people who are considering financing a boat, you might be wondering: What do I need to finance a boat? Let’s try to answer that question as completely as possible.

1. Choose Your Vessel

Before you can finance a boat, you need to figure out what kind of boat you will be getting. It will be impossible for your lender to approve or deny your loan application until they know what you are trying to buy. They need this information so that they can figure out what you are realistically able to afford.

2. A Down Payment

As we said before, you can’t usually just take the boat home without paying something. In most cases, lenders are not willing to finance 100% of the cost. However, most lenders will only require 10%-20% of the purchase price as a down payment. In any case, you need to make sure that you have the down payment ready. 20% is the most common figure, so just take the price of your chosen boat and multiply it by 0.20. For instance, if your boat costs $100,000, your down payment will be $20,000 (20%).

3. A Good Credit History

This is one of the most important things that you will need when asking for any kind of loan. Because boat loans tend to be pretty large, your credit history will be even more important here. This will tell a potential lender how likely you are to repay the debt, thus giving them a way to assess risk. Most lenders will require a credit score of 680 or more.

4. Proof Of Income And Employment

Credit history isn’t the only thing your lender will want to review. They will also need proof of income and employment.

This kind of proof can take many forms, paystubs, W2s, or copies of your Federal Tax Returns. Recent paystubs will verify employment and pay, and W2s and copies of tax returns help verify annual income, especially if you are self-employed.

5. A Low Debt-To-Income Ratio

When evaluating your income and employment, most lenders will be taking notice of your debt-to-income ratio. This is basically just a comparison between all your known debts and all your known income. If your debts are greater than your income, you most likely won’t be approved for that loan.

A high debt-to-income ratio could mean you are living beyond your means. Banks and Creditors like to see a debt ratio of 1.20 or higher. That means for every dollar of loan expense you have $1.20-meaning you can cover the loan payments and still have money left over. Generally, people with a lower debt-to-income pay their bills regularly, and on time, and are generally seen as having a better credit risk than those with a high debt-to-income ratio.


You don’t need all that much to finance a boat, but it can still take time to make everything happen. Apart from the time that your lender takes to review your application, they will also need time to review all of your information and make sure that you fit their requirements. If you need help finding the best lender for you, there is no need to worry. Just contact Atlantic Horizon Capital today to set up a free consultation.

Questions To Ask When Buying a Boat

Questions To Ask When Buying a Boat

Buying a boat is one of those purchases that a person looks forward to for a long time. Not only does it provide a lot of fun, boating can become a way of life for some people. Buying a boat is also an investment. That is why it is important to ask plenty of questions so you can find a boat that fits your specific needs.

1. Why Do I Want A Boat?

Do you like fishing? Zipping over the waves at high speeds? Hearing the snapping of sails in the wind? There are many different types of boats, each one designed for specific things. Before you can get a loan, you need to consider all of your options. Before you do that, you really should think about how you plan on using your boat. This will help to guide your choice as you shop around for the best one. Keep in mind: It’s not necessarily about finding the “best” boat. It’s about finding the boat that fits your needs.

2. Does This Boat Fit My Needs?

As mentioned above, boats are designed with a purpose in mind. If you like fishing, a center console boat is ideal. If you want to stick to the back bays to go water skiing, you do not want to get a 64-foot Viking. Boats made for offshore activities are not the same as ones designed for back bay activities. In other words, it is important to not only think about what you plan on doing with your boat, but also the size and what it was created for.

When speaking with the seller, it is important to be upfront about your needs.

Can I Get A Boat Loan?

3. Can I Get A Boat Loan?

Most buyers will finance their purchase to some extent, as it is difficult to lay down such a big sum of money at one time. However, before you make a decision, you will need to figure out if you can qualify for a boat loan. Once you have found a boat, take a moment to review your credit history. Any outstanding debt will play a crucial role in your eligibility and the kind of loan you can receive.

Atlantic Horizon Capital can finance most credit situations, but banks are generally looking for a credit score of 680 or higher. In order to get a preferred rate, you need a score of over 740.

4. Are There Other Costs To Owning a Boat?

Yes, there other costs. Keep this in mind when shopping around for a boat. Some of these additional costs, such as fuel, slip fees, storage, and winterization, are minor but do add up over time. Repairs and upgrades may also be necessary. There is also the cost of registering and insuring your boat, which can be pricey. Of course, all of these extra fees are offset by how much fun you will having on your boat!


“Can I get a boat loan?” and “Does this boat fit my needs?” are just some of the more important questions that you ought to ask before buying a boat. A little bit of preparation and forethought can go a long way. When you do find the boat that is right for you, we hope that you will enjoy years of pleasurable marine leisure. Of course, if you want to know a little more, you can always contact Atlantic Horizon Capital to ask questions or to arrange the financing of your new vessel.

The Complete Guide To Financing A Yacht

The Complete Guide To Financing A Yacht

A yacht is one of the greatest status symbols that a person can own. At the same time, it can also provide a lot of fun for you and yours. However, even those who are relatively wealthy will likely find it more convenient to finance such a large purchase. This allows you to spread the expense out over time, making it easier to handle. In this article, we will attempt to tell you everything you need to know about financing a yacht.

Step 1: Choose A Yacht

When you apply for a boat loan, you will be applying for a specific boat purchase. That means you need to start by picking the yacht that is right for you. Obviously, you should look for something that fits your finances.

To do that, start by deciding how much you can afford to pay each month. Once you know that, you can contact your lender and ask them to give you a rough idea of how much you can afford. Once you have figured out your price range, simply choose the one you prefer from those within your price range. Bear in mind that there will also be storage costs, which will likely add to your monthly expense.

Step 2: Apply For The Loan

Now that you know the cost of your boat, bear in mind that you will need to make a down payment. Your lender probably won’t cover the entire cost. Typically, you’ll be looking at 10%-20% of the purchase price. So, make sure you have that sum on hand.

Contact your lender and let them know you wish to apply for a loan. They will guide you through the steps that need to be taken next. However, we can already tell you that they will want to identify you in person with a state-issued ID. They will also want a large amount of personal information, particularly financial information.

Having recent tax information on hand is a good idea, and you will definitely have to provide them with proof of your income and employment. They will also want all kinds of information about the yacht that you intend to purchase, so have that ready as well.

Negotiate The Terms Of The Loan

Step 3: Negotiate The Terms Of The Loan

Once you have been approved, you will need to figure out the exact terms of this loan. By this point, you should already know how much you need to borrow. You should also know roughly how much you can afford to pay each month. However, there are still some matters that need to be settled. While considering these things, you can use this handy loan calculator to juggle numbers and see how they work for you.

There are two basic types of boat loans: Secured and unsecured. A secured loan is guaranteed with a collateral agreement. That’s a fancy way of saying that they will repossess the boat if you default on the payments. An unsecured loan does not allow the lender to repossess any of your assets, but they can still seek damages in court. In most cases, you will have a better chance of getting a secured loan.

The term of the loan will also matter significantly. Boat loans normally have a term of 5-20 years. For a yacht, you are probably going to want a long-term loan. However, be aware that a longer loan will increase the total amount of interest that you have to pay. A shorter repayment term will mean a larger monthly bill, but less interest overall.

On the subject of interest, that also needs to be considered. You need to know the difference between a fixed-rate plan and a variable-rate plan. Interest rates are set by the Federal Reserve bank, and they change periodically. Thus, you might agree to a loan under a certain interest rate, only for the interest rate to increase or decrease at a later time. If you don’t want to take that chance, ask for a fixed interest rate. With a fixed interest rate plan, your total interest will remain at its original rate regardless of the federal rate.

Step 4: Get The Boat And Pay The Debt

From here, the rest is pretty simple. You pay the down payment, your lender pays the rest, and you take possession of the yacht. You will then be responsible for making a monthly payment until the entirety of the loan is repaid. At that point, your debt is cleared and the yacht belongs to you. Of course, it’s nice that you can still use it in the meantime.

As a new yacht owner, you will also need to consider storage costs. You should have already thought about this to some extent, as you obviously need a place to store your yacht. That usually means renting a spot at a local marina, or some other private storage facility. Of course, if you own waterfront property, you might want to build a dock instead. Either way, make sure you have provided for proper storage of your new boat.

A Word About The Current Market

It is worth noting that yacht demand is at an all-time high. While the exact reasons are debatable, the consequences are not. In many cases, you might have to wait awhile in order to get the model of yacht that you want. At this point, demand for these vessels tends to be greater than the supply, so be aware that waiting lists are common practice.


Although we have tried to cover all the important topics, we would urge you to do your own research as well. After all, we are talking about a very large purchase, and it makes sense to educate yourself beforehand. When you are ready to make that big move and get started, you can contact Atlantic Horizon Capital to find out more. As a trusted and high-quality lender, AHC has an excellent record in terms of customer satisfaction.