Economy forcing you to sell your boat?!?

[surfinjoe]

Just to give you another point of reference:

Last year I bought a 2007 Trailblazer, FULLY Loaded (leather, 4wd, heated seats, sunroof, BOSE, Tire Pressure Sensors....everything) for $17,900 from the dealer, certified used, 20K miles, 39K warranty + 100K powertrain warranty....new this truck was ~$40K+.

Two years ago, I bought a 2004 Pontiac GTO....paid $16K, Fully Loaded, 15K miles....new this car was ~$40K+....

I always buy used cars....1-2 years old with a factory warranty.

In past times i would consider that an insult. You've got to think about what they can actually re-sell an 04 for. That's the old body style too. You can't sell an 04 for 20k when there bassically giving brand new ones away for 22k. I almost bought one this fall with the employee pricing deal. 22K for an 08, 4X4, extended cab, leather etc... Good thing i had second thoughts lol. Everything's lost its retail value lately.

You can drive that Chevy into the ground and it will still keep going! :thumbsup: Stay away from the blue oval.

 

[Presentation]

.......like our old 280.......

:huh:

 

[STIHLBOLTS]

I am sorry to hear of folks loosing their boats and toys. Having been in business for myself a number of years now my philosophy was always to get any toys I purchased either paid up front or paid for in a short time so they could not be taken away by a down turn in my business. Too many times I was witness to other business owners putting on the Ritz and buying toys when they should have paid attention to putting money in the bank for a rainy day. I agree with others that trying to move a boat right now is not a wise choice. Values are way down for that. The other side of the coin is that there is prime opportunity to move up if you have the cash to take advantage of a distressed owner looking to move a new boat at bargain prices. I hope everyone gets to keep their toys and gass prices stay cheap. :thumbsup:

 

[Beer Thirty]

I have such a hard time with how fast this economy turned to crap. I own my own truck contracted to a WI based company and I'm hear to tell you everythings slow now. I think I will be ok however.
For me to be able to get into boating and afford it needed me to get one cash money. This is why my boat and the project to get her done suprises most folks. Boat is a 73 and needs a repower.
But I have always done things like that. 2 years ago I was told "If I was smart I'd buy a brand new car-truck. Now those "smart" ones and dodging the repo man. These are the folks who bought 2 new cars, and an intrest only loan on there home and under good times struggled all the while laughing at my older paid of cars and other toys while living in a modest home. Even in times of $5.00 per gal gas I still took my RV out many times last summer. Now they aren't laughing, there cryin.
I'm not saying this to rub anybodys nose in anything. Just hoping that when things get better, and they will, we all learn somthing. Dont look down on a guy who wont pony up $700 a month on a new Cadillac. My 1990 Cadillac is costing me nothing now. Thank god. Trucking is down to a crawl now.
Wish all the best.
Steve

I've sort of got the same idea. Although i still have loans on my boat and truck I'm still only paying just over 400 a month for both. Most people i know are paying 4-500 for just their truck payment. I know i can scrape by and still pay my bills when times get tough. I'm doing it right now.

You just gotta shop smart. Plane-Jane is cheaper. buy something with all the bells and whistles and you've got a money pit on your hands.

 

[Presentation]

.... I agree with others that trying to move a boat right now is not a wise choice. Values are way down for that....

You can not go back in time and sell your boat a year ago.

I have visibility to national purchasing of a broad range of maintenance and construction components in real time numbers.

The numbers I have seen, in industrial and heavy commercial product purchasing month to date thru yesterday would indicate this:

2008 Thru September was at a pace.

October thru December was at a slower pace, but each of these three months was consistent.

January 2009 is a drop from the October thru December pace and this drop is consistent in magnitude with the drop from September to October.

I’m not smart enough to time the bottom but it’s clear that a month from now the government will be acknowledging that January was worse then expected.

In other words, unless you can hang onto that boat for a longer period of time, THIS is the best possible time to sell a boat if you are going to need to sell it in the short term (year or less)

Better to sell a boat at 30% off traditional fair market value then 50% off.

 

[berth control]

Sucks to hear all the bad news from everyone. I own a small business too, heavy on the small! Myself and one guy that fills in if i get behind. Still, I hear you guys talking about being upside down and having to let them go and it makes me sick - the boat is supposed to help you relax and unwind, stinks when that is just the opposite of what is happening. I watched the repo man come and take my neighbor's truck from his driveway yesterday.

Here's the up side. I bought my boat from a repo auction two months ago for about one third of it's value. I actually sold my 16 footer for 3k a year ago and bought the 230 weekender for 6. Then last fall i sold the weekender for 6 and bought the repo for 6. I put about 5 into the new boat, but that is still about half of what it would be worth in a good market.

So this horrible market allowed me to buy a bout I could not normally afford. Just trying to show a silver lining i guess. I seem to remember a not so positive signature about silver linings though......

 

[Kameroo]

:huh:

Doug,

Don't get me wrong, I loved our 280. It was a '91 WE. It didn't have a genny or much of a cabin, but was a great day-cruiser.

Eric

 

[rktktpaul]

The Admiral is really pushing for selling, even though now is not the time. We're all salaried in my company, and we have been at 80% pay for the past 7 months. The Owner just advised all of us that come March 1st, we'll be going down to 50%.

 

[mrsrobinson]

I am anxious about this economy for sure. I left a great job back in May for what was suppose to be an ever better job. I still have the better job but my guess is not for long. The economy tanked 2-3 months after I took this job.

I have always set $$$ aside for a 'bad time' or 'emergency' so we will be OK for a while without my income. If I end up unemployed soon, I can tell you, the boat will be one of the first things I will think about selling since it's just sitting there at $xxx.xx per month for slip rent and I will not be able to put fuel in it to use it. The bad times/emergency money is not for boating, it's for living. The boat has been casually for sale for a while now as we want to step up to a bigger one. Casual will turn to aggressive real quick if I lose my income.

When I was interviewing back in June I could hand pick my next opportunity. Today, I am lucky to get an interview and if I do, no follow up or the pay is about 2/3 what it was in June.

For the first time in my entire life I am concerned about finances.

 

[jrirvine1]

I
Given an average 20 year loan. . I suspect most everyone with a loan is upside down.

Not sure I understand what you mean by this statement. The term of a loan has nothing to do with being upside down.

Simply defined, "upside down" means owing more than something is worth at any given time. I have had several boats with loans and never been in an upside down condition.

 

[Kameroo]

...I have had several boats with loans and never been in an upside down condition.

I would guess he meant is that statistically, people would be *more likely* to be upside-down on their loans given a 30% +/- drop in market value over the past year.

 

[Newbie]

Same here. Even though 340's values have tanked, I'm not upside down even with a 20 yr loan. I have always used long term financing but always put a significant down payment at time of purchase. I also make double or more of the monthly min payments each and every month. The longer term financing could come in handy in the months coming ahead because of the nature of the business I'm in, it may be helpful to only make the minimum for a while till things come back around.
Nothing wrong with a 20 yr loan as long as you don't take 20 yrs to pay it off.
SB

 

[RazorRobb]

Are you sure you could get what you owe if you "Had to" sell your 42 or 34 in a relatively quick time frame? My little lake cruiser is paid for, but if I have to sell it in a hurry, I'll be lucky to get 1/2 what it was worth 8 months ago. Everyone's selling, no one's buying.

 

[Four Suns]

Good gosh. What a downer of a thread. Can we put a thread in an "ignore list" so we don't have to see it?

Cripes... it is JANUARY people... boat sales are SLOW in JANUARY anyway but the economy is making them SLOWER. You can't compare how fast boats are selling in JANUARY to MAY but from Jan 09 to Jan 08... I'm sure it's less but keep your chin up. Fuel is cheep and boat selling/buying season is a few months away.

 

[thomasbruck]

I agree Gary

 

[timinfla2]

Markets are cyclical - we're slow, but we'll sure as hell pick up again - eventually. Making it through the doldrums is always tough, but we've done it many more times before this and we'll do it again.

I always laugh at a little story Thomas Sowell wrote about in his Basic Economics book regarding a NYT story. It was a picture of a couple and their kids swimming in their pool, and the caption read - 'Couple having hard time making ends meet in dire economic times.'

THEY'RE IN A POOL!? Apparently the definition of 'making ends meet' has evolved over the last few generations from putting a roof over the head and food on the table to affording the luxuries in life.

Please don't get me wrong - I do feel for the folks who, like all of us at one point or another in our lives, are going through a period where they are not earning as much as they have historically. But don't lose sight that you are already well ahead of the wealth curve simply by owning your own car, home, and/or boat.

It's a tragedy to have to chose between your boat and your mortgage if that is your predicament, but the silver lining is that this will be a bitter lesson learned and if you learn from it, it probably won't happen again as you'll commit to a less-expensive boat that you could afford to keep in a downturn.

Besides, with the friends you have made on here, you can always cruise with one of us - I love having visitors on my boat. The more, the merrier.

Good luck - keep your heads up!

 

[jrirvine1]

I'm sure it's less but keep your chin up.

You must be referring to the song Obama quoted from today!!

Nothings impossible I have found For when my chin
is on the ground I pick myself up, dust myself
off, start all over again.

 

[jitts3]

Good gosh. What a downer of a thread. Can we put a thread in an "ignore list" so we don't have to see it?

Cripes... it is JANUARY people... boat sales are SLOW in JANUARY anyway but the economy is making them SLOWER. You can't compare how fast boats are selling in JANUARY to MAY but from Jan 09 to Jan 08... I'm sure it's less but keep your chin up. Fuel is cheep and boat selling/buying season is a few months away.

I agree, However, some people will not make it that long. But I can tell you with certanity, better times are ahead. Now I'm not a paid economist, but here I do have experience.
Now I'm sure I'm not the only independant trucker on this board, so others would back me up. January and February are always slow months in this buisness. There is no more christmass rush, so trucks that were pullig for retailers are now looking for work. This extra workforce cuts into my field (Flatbed). So now we all slow down. In a good economy this won't catch up to anybody else. Now it has this year. But this is a normal thing for my buisness. Just have to plan for it.
Now as for the rest of us, look at things like this. This is fact as far as I'm concerned. Now this will get a little politiacal so bear with me.
My father always told me you can cripple the economy by the media talking it down. Basicly if you tell people that their in trouble, they will believe you. Now I did NOT vote for Obama, but as a veteran and an American...he is the President, so don't take this as bashing him, but he was and is loved by the media. They have kisses his rear the whole election. It is no secret that the media HATED Bush, and to admit I am not thrilled with his 2nd term is an understatement.
The media took the economy under Bush's presidency and tried to make it look worse then it was. End result, it happened. Now the media will take a little bit of good news, again with January all but in the books, there will be some better news, they will hype it up for Obama's benifit. End result, it will get better. Trouble is, you can't "cook the books" that easy, but when people start to hear good news they will loosen the urse strings. I only hope that out new President realzes he must continue Pro-Growth policys and not assume that taxing me to get Crackheads food is a good idea.
Time will tell but I believe, as someone who hauls our economy, it will get better.:thumbsup:

 

[dpmulvey]

I just had a dock mate say the bank is coming to get his boat after the ice thaws. It's a sad tough time.

For other than business reasons, I may let either the house or the boat go either to the bank or the first decent offer. Decent does not have to be reasonable.
Not necessarily what I want to do, however I shall not starve or be homeless (even if the home is a 330) because a select few in congress who shall never be prosecuted made a conscious decision to destroy the global economy.



It is what it is. :huh:

 

[jitts3]

For other than business reasons, I may let either the house or the boat go either to the bank or the first decent offer. Decent does not have to be reasonable.
Not necessarily what I want to do, however I shall not starve or be homeless (even if the home is a 330) because a select few in congress who shall never be prosecuted made a conscious decision to destroy the global economy.



It is what it is. :huh:

Keep in mind, your house value will recover, the boat may recover some, but will always go down.
But with that in mind, keep what you can afford, dump what you can't. There are two schools of thought here. Dump the boat and keep the home. You can get your value back eventually. The other dump the house, keep the boat. You may be able to be better off here if your boat payment is less than your mortgage. This way you pay cash for everything and live to fight another day when the smoke clears.
One other thing, A 330 may be big, but living in confined spaces starts to feel like prison. I live in a Peterbilt 9 of 10 days average. Petes are the Cadillac of trucks...But is no fun living in it. Take some getting used too.