The Full Cost of Boat Ownership
There is no question that boat ownership is a major financial commitment. Whether you are budgeting for a new or used boat, there are many expenses to consider beyond the initial investment. This guide from Northwest Inboards explains all the factors that contribute to the full cost of boat ownership, so you can proceed with confidence. If you have any questions about the financial side of boat ownership, feel free to contact us. We proudly serve Issaquah, WA.
The Sticker Price
The most substantial cost associated with buying a boat is the sticker price. That cost will depend on the make and model of the boat, its age, and the timing of your purchase. A boat loan can help finance your purchase of a new or used boat, but you still need to save up about 20-30% of the total purchase price as a down payment.
For the most savings, you can purchase a used boat during the off-season. Just keep in mind that used boats generally do not come with warranty protection, so you will have to pay out of pocket for any repair costs.
Boat Insurance
Most states, including Washington, do not require boat owners to purchase insurance. That said, the bank financing your boat loan may require it. You might also be asked to show proof of insurance when mooring your boat.
In any case, insuring your boat makes practical sense – just like any vehicle, boats are vulnerable to damage and theft. Boat insurance protects you from these unforeseeable costs. Your insurance premiums will depend on the make, model, and condition of your boat. You can expect to pay about 1.5% of the boat’s total value.
Transportation
Unless you live directly on the waterfront, you will need a vehicle and a boat trailer to haul your vessel to the nearest boat ramp. Boat trailers can cost anywhere from several hundred dollars for used models, to several thousand dollars for new models. Your boat trailer needs to be compatible with your boat and your tow vehicle, so choose carefully, and leave plenty of room in your budget for this purchase.
Storage Fees
You can safely leave your boat parked in your driveway and covered with a weatherproof tarp during boating season. But when winter rolls around, you should have a safe and secure place to store your boat indoors. If you don’t have a large enough garage or storage shed on your own property, you will need to pay for boat storage. Some options for off-season boat storage include slip rental, dry-docking, and storage units.
Maintenance Costs
If you have spent any time around boaters, you have probably heard the joke that “BOAT” is an acronym that stands for “break out another thousand.” Of course, this refers to the ongoing expense of boat maintenance. On average, boat owners spend about 10% of their boat’s value on maintenance each year. That includes routine tasks like oil changes, along with more expensive repairs, like replacing broken parts or patching the hull.
Boat maintenance can’t be avoided, but staying on top of regular upkeep can help you avoid costly surprises down the road. Inspect your boat regularly, and make sure to address any repair issues right away.
We hope this guide has prepared you for a successful boat purchase! Are you ready to shop for new or used boats? Head over to Northwest Inboards in Issaquah, WA. We welcome customers from all over the Seattle region.