Our Dream of Sailboat Living + Questions

[KingGuppy]

Originally Posted by rabbi

And reconsider your financials. I know you don't want to hear it but you can't afford a 300k boat and your planned lifestyle for a year unless you have at least 450+k cash (not invested) plus some money for plan B. Anything you have on top can be invested (i.e. put at risk)

More. I wanted to find out the cost of things, but we could buy the boat cash, pay off home/car and afford to not work for years. Unfortunately that would put us at age 35 and broke owning a boat and house. So we're just concerned with continuing to earn an income.

You can use a tool like MyFico's to determine if it makes more sense to pay off a loan or invest in broad ETF like (VTI) Vanguard Total Stock Market ETF.

Taking a $200k loan at 4.9% and investing the $200k into any of the total market ETF's, assuming they had a terrible year and only did 8% means I earn $131,000 over the course of the loan. The calculator assumes only $2,500 vested per month, but we're already fully vested month one so the $131,000 would be drastically higher.
http://prntscr.com/ko0hgp

MyFico Tool:
https://www.myfico.com/credit-educat...est-in-savings

If the market tanks, your ETF's automatically sell using a % based trailing stop loss.

[KingGuppy]

Originally Posted by Fore and Aft

Keep stroking that weiner Small Guppy. A few people are starting to get wound up replying to you.

You remind me of a good friend in his early 30s who rode the real estate boom here in Australia. He was the guru and knew it all, after the GFC he went bust owing the bank over a million dollars.
I think you should just buy the Lagoon and do what you want. The Lagoon is a popular brand and should be easy to sell if it all turns to sh*t.

You mentioned you and the wife are both wage slaves. What happens when you are living together 24/7? Remeber more boats have been wrecked on pussy than on rocks!
Cheers

lol, we've been in the 24/7 thing for awhile. You may be wound in yourself.

[Kenomac]

Originally Posted by rbk

Its also dangerous to assume that a 300K boat wont require any big ticket item replacements within your cruising timeline. Like say forgetting to check your oil or hydrolocking and killing your engine and requiring a major rebuild or full replacement etc. Is there a 10-20K line item in your budget for that? Insurance wont cover that.

Negative, negative, negative, blah, blah, blah.

Has it ever occured to some posters that $10k-$20k isn’t that much money when a person finances a $300k boat?

Let the OP dream... “dreams do come true, It could happen to you.”

[rabbi]

Originally Posted by KingGuppy

More. I wanted to find out the cost of things, but we could buy the boat cash, pay off home/car and afford to not work for years. Unfortunately that would put us at age 35 and broke owning a boat and house. So we're just concerned with continuing to earn an income.

You can use a tool like MyFico's to determine if it makes more sense to pay off a loan or invest in broad ETF like (VTI) Vanguard Total Stock Market ETF.

Taking a $200k loan at 4.9% and investing the $200k into any of the total market ETF's, assuming they had a terrible year and only did 8% means I earn $131,000 over the course of the loan. The calculator assumes only $2,500 vested per month, but we're already fully vested month one so the $131,000 would be drastically higher.
http://prntscr.com/ko0hgp

MyFico Tool:
https://www.myfico.com/credit-educat...est-in-savings

If the market tanks, your ETF's automatically sell using a % based trailing stop loss.

I know trailing stop loss. Works well. Unless the market opens 25% lower because something really bad happened. Your money - your risk.


If you have enough cash to pay off everything and live for a few years its a different story financially. Your initial post sounded very different. So just go ahead and do it. All you need to know is on CF. Just use the search function.

Forget the youtube thing. This won't work unless you are very very lucky. And luck is not a reliable income but just a bonus.

[rbk]

Originally Posted by Kenomac

Negative, negative, negative, blah, blah, blah.

Has it ever occured to some posters that $10k-$20k isn’t that much money when a person finances a $300k boat?

Let the OP dream... “dreams do come true, It could happen to you.”

You need to go back and re-read the planned monthly expenses, assets, liabilities and assumed expenditures.

[Fore and Aft]

Your right Small Guppy I am interested. I can imagine plenty of the grey hairs reading this thread choking on their coffee and reaching for their heart medication.
The reality is I deal with plenty of people who are like you. Some sell there boat in the first 12 months and others keep on going. Whats the worst thats going to happen? Maybe lose $50,000? Thats not that bad and at least you have had a go.
Cheers

[rabbi]

Originally Posted by rbk

You need to go back and re-read the planned monthly expenses, assets, liabilities and assumed expenditures.

See post #107. He says he has the money to pay everything cash and live for a few years.
He just wants to keep his liquidity so his cash earns more money than the interest on the boat loan.


Financial magic. Based on deprecating assets and a bull market at record hights.
Not my cup of coffee.

[KingGuppy]

Originally Posted by rabbi

I know trailing stop loss. Works well. Unless the market opens 25% lower because something really bad happened. Your money - your risk.

If you have enough cash to pay off everything and live for a few years its a different story financially. Your initial post sounded very different. So just go ahead and do it. All you need to know is on CF. Just use the search function.

Forget the youtube thing. This won't work unless you are very very lucky. And luck is not a reliable income but just a bonus.

You can create an open till close trailing stop loss for pre-market and after hours market. It can only open at -25% if it dropped their in premarket or after hours. Your trailing stop triggers and you're out. Most brokerages won't allow it but pro accounts on Ameritrade offer it using Think or Swim.

I think my initial post at wanting to earn income came off as we're living in poverty zone, but we're doing alright.

You're right on the YouTube. I thought if we had a lot of free time sitting in an anchorage somewhere, since we already own all the camera gear and editing skillset, it would be a valuable use of time, even if only 1% chance of making it.

Realistically its probably like .01% chance and I'll be spending all that free time cleaning the boat or fixing things.

[KingGuppy]

Originally Posted by Fore and Aft

Your right Small Guppy I am interested. I can imagine plenty of the grey hairs reading this thread choking on their coffee and reaching for their heart medication.
The reality is I deal with plenty of people who are like you. Some sell there boat in the first 12 months and others keep on going. Whats the worst thats going to happen? Maybe lose $50,000? Thats not that bad and at least you have had a go.
Cheers

lol, hopefully we can make it past that 12 months mark, but it is a possibility. Before we go all in, we're going to hopefully get at least 100+hrs on other peoples boats, to see if we can handle it.

These older timers getting me shaken up, and most their advice is focused around just getting out there for experience, so this will be top priority. They're right.

[Time2Go]

Step 1, Learn to Sail, I recommend a
10 day RYA course in the UK
Step 2, Buy a cheap boat, maybe 30k
and see if you like the life
Step 3: Invite some 65 year olds on board
and start a Senior youtube sailing channel
Hint: There aren’t any
Cheers
Neil

[Fore and Aft]

You need some experience to choose the right boat for you. It is like finding the right wife. Get the wrong one and life is going to be hell.
Thats why the lagoon is such a popular boat, they seem to have ticked all the right boxes except the price.
Neils right about about a senior you tube channel. You could do posts on storing medication, how to find medication and adult diapers in foreign countries. The list is endless.
Cheers

[KingGuppy]

Originally Posted by rabbi

Financial magic. Based on deprecating assets and a bull market at record hights.
Not my cup of coffee.

Let's say this happened on October 7th, 2008. I bought a $200k boat off a loan and invested $200k into the largest ETF on the planet, the Vanguard Total Stock Market. Majority of seniors 401k's are probably vested here and don't even know it.

Literally absolute worst case scenario, buying a $200k boat on 24month loan, which value tanks and then investing $200k, which value tanks.

10 years later, VTI is now +98% what it was PRIOR to the market collapse. My initial $200k investment is now worth $390k, the boat is value'd at $100k and I still owe $100k. I could pay the boat off, have made $190k in 10 years off taking the loan.

This is using the absolute worst case scenario in the history of the market for the past 50+ years.

[KingGuppy]

Originally Posted by Time2Go

Step 1, Learn to Sail, I recommend a
10 day RYA course in the UK
Step 2, Buy a cheap boat, maybe 30k
and see if you like the life
Step 3: Invite some 65 year olds on board
and start a Senior youtube sailing channel
Hint: There aren’t any
Cheers
Neil

Senior sailing. Now that niche probably would take off!

[KingGuppy]

Originally Posted by Fore and Aft

You need some experience to choose the right boat for you. It is like finding the right wife. Get the wrong one and life is going to be hell.
Thats why the lagoon is such a popular boat, they seem to have ticked all the right boxes except the price.
Neils right about about a senior you tube channel. You could do posts on storing medication, how to find medication and adult diapers in foreign countries. The list is endless.
Cheers

lol, i'd subscribe.

[Time2Go]

Originally Posted by Fore and Aft

You need some experience to choose the right boat for you. It is like finding the right wife. Get the wrong one and life is going to be hell.
Thats why the lagoon is such a popular boat, they seem to have ticked all the right boxes except the price.
Neils right about about a senior you tube channel. You could do posts on storing medication, how to find medication and adult diapers in foreign countries. The list is endless.
Cheers

You might have missed my point
Imagine Boatman with Millennials
Would be funny as hell
(love you Phil)
Today’s seniors are active, mostly healthy
have witnessed history and are not
as dead as some 1/3 their age
Thanks to growing up with only 4 channels
of TV No Internet and Video Games
and the big one
They Have some money
Cheers
Neil