selling boat with lien

[boatman37]

Decided to sell our boat but have a few questions. Boat has a lien on it (trailer does not have any liens). I called the lender but thought I'd ask real world folks here.
So owe about 60% of the boats value so good there. Lender has no physical institutions anywhere near me.
How have others gone about this? I COULD pay off the loan but would rather not take that route as it would involve selling stocks, etc.

I'm in PA just in case that matters.

Can I sell the boat with a Power of Attorney authorizing the buyer to sign the title for me once they get it? Or do they have to pay off the loan, wait until the title gets to me then we transfer the title at the notary? And until that point the boat stays in my 'custody'?

If I can do the Power of Attorney thing that would seem to be the easiest route? Then the buyer could take the boat right away?

Would like to sell it before we pull it for winter storage but that would be a long shot

 

[GypsmJim]

Pay the lien provide the buyer with a clean title. If anyone buys your boat without that paperwork, they are an idiot.

 

[Bill Curtis]

Unlike dealers, who are backed by financial guarantees and who can issue temp registrations while waiting for paperwork to clear, Joe Blow has no sway with the DMV or DNR and can't get temp reg without, usually, squeaky clean paperwork. You can thank all the scammers and thieves for that.

Sounds like you'll be dumping some stock. The lien holder will not release the lien and / or title until he gets his $$$$$. After he gets paid, may take a couple of weeks for you to get the release and the title. Until the title clears, the buyer has no legal ownership of the boat.

If I was the perspective buyer, I wouldn't pay anything, except maybe a refundable deposit, if I didn't get a notorized bill of sale and a clean title at time of purchase.

 

[Jus Cruisin]

Shouldn't be any different than selling a car with a lien. Buyer, likes boat. Buyer gets survey. Buyer gets one check for you and wires payoff to lender after talking with the lender with you on the phone with the buyer. Release of lien snd/or clear title gets sent to buyer. Done.

 

[bbwhitejr]

I just sold our 420DA in May. Buyer flew up from FL for the initial inspection. Buyer put down 10% deposit on agreed upon price. Buyer flew up again for survey. Survey passed. Buyer wires balance to my account. I turn around and wire pay off to lender and provide Buyer with paperwork proving loan has been paid off. CG docs signed, GA registration signed, and GA Marine Bill of Sale signed. Buyer flew back to load boat and haul it to FL. I guess he had to trust that once he wired me the money, I would not take it and run. The boat was in my possession the entire time until all the financials were finished.....Neither of us wanted to get a broker involved.

Bennett

 

[boatman37]

Yeah sounds like I might have to wait until spring to advertise it. Will likely go the Lightstream route and don't wanna get stuck paying 12% all winter so maybe around early March I'll pay it off. Should have the title back in time for decent weather to start advertising it. Hopefully only have the LS loan for a month or so

 

[Woody]

Decided to sell our boat but have a few questions. Boat has a lien on it (trailer does not have any liens). I called the lender but thought I'd ask real world folks here.
So owe about 60% of the boats value so good there. Lender has no physical institutions anywhere near me.
How have others gone about this? I COULD pay off the loan but would rather not take that route as it would involve selling stocks, etc.

I'm in PA just in case that matters.

Can I sell the boat with a Power of Attorney authorizing the buyer to sign the title for me once they get it? Or do they have to pay off the loan, wait until the title gets to me then we transfer the title at the notary? And until that point the boat stays in my 'custody'?

If I can do the Power of Attorney thing that would seem to be the easiest route? Then the buyer could take the boat right away?

Would like to sell it before we pull it for winter storage but that would be a long shot

So what did your lender tell you?

 

[boatman37]

The lender was the one that told me I could get a Power of Attorney and have the title sent directly to them and they could take possession of the boat immediately after signing a sales agreement. I wasn't sure any of that was very good info so thought it best to ask those that might have experienced it.
They also said I could go the traditional route and have the buyer wait a few weeks until everything clears.

 

[Woody]

I wouldn't fool around with the PA thing. You don't know who will buy it, cash or lien. Let the banks do their thing, follow the common practice. It takes what it takes time wise, it shouldn't scare any good buyer away.

 

[Scott215]

The lein needs to be satisfied so the title can be sent to the new finance company or the new owner but the boat has to be paid off before that title will be released