Ordering a New Catamaran - Timing on Financing

[sailjumanji]

Originally Posted by Lonestaralaskan

All of this information is extremely helpful! I assume the financing for us would take place at some point after the 25% down payment, to cover the remainder of the boat costs.

I don't know the specifics of financing. We sold the Seawind 1000 for a very good price that covered almost half of the Seawind factory invoice. Paid cash for the rest. Steve (or Tanya, who handles the office stuff) could tell you how financing normally works. I would just make sure that your financing is assured though. The factory doesn't make any spec boats - they are all sold before the hull is laid up. You need to read the contract, and understand that default on your payments means someone who wants a 1260 and is willing to accept your options installed at the time, is going to get a good deal on a boat and an accelerated build timing. And not a good outcome for you.

[sailjumanji]

Originally Posted by Lonestaralaskan

Is it possible to reserve a build slot without a full pre-approval?

Oh, and to answer this question clearly, no one from the Seawind factory or the dealer ever asked if we could afford the boat, had the money, needed financing, etc. You will get a contract, that everyone will sign, and then pay the deposit to be assigned a build slot.

[Lonestaralaskan]

We've been debating AGM vs. Lithium. From hearing your experience, it sounds like we might as well go with Lithium from the start.

The delay on the Seawind is 2 years right now. It may be longer following the Annapolis boat show, so we want to reserve our build slot before then.

If there were used models on the market, we would probably go that route instead. Maybe in a year or two there will be, but I imagine they'll get scooped up fast.

[sailjumanji]

Originally Posted by Lonestaralaskan

We've been debating AGM vs. Lithium. From hearing your experience, it sounds like we might as well go with Lithium from the start.

The delay on the Seawind is 2 years right now. It may be longer following the Annapolis boat show, so we want to reserve our build slot before then.

If there were used models on the market, we would probably go that route instead. Maybe in a year or two there will be, but I imagine they'll get scooped up fast.

Same issue we had. I would much rather purchased a used boat, but really wanted a Lite - no diesels. There was one for sale for a short while in Canada. None in the US. I think I have only seen one used Lite for sale in US since 2018. And the older 1160 Deluxe models were fetching very strong used prices, and only a couple of those for sale. So we decided to have one built just for us. We have the 1260 stainless Southern Cookout bbq griddle, and the bow seats - options we went off list for on our Lite build. And we opted for no second head, as 98% of the time it is just my wife and I cruising. That left a pretty large forward compartment in the starboard hull for storage. Works well for us. When we have guests, we just all share a bathroom. Hasnt been an issue for week-long stays. I probably would have though different if there were always four onboard, or the boat was in charter.

The majority of the boats are running AGM. But MLI is apparently being opted for more now. The difference in AGM vs MLI for us is that we dont have a generator, nor motors with big alternators. The AGM charge profile of short bulk period, followed by long absorption period with declining current, meant we were taking very long to recharge the AGM. In some cases, like cloudy days, not getting fully charged. Which is not good for AGM. We switch to MLI, and the battery stays on bulk to about 98% charged before dropping to absorption and then quickly to flood. There isn't any impedance to speak of. So we have very fast recharge, and/or it makes the 840 watts solar enough. I have a friend with new 1260 running the 1kW solar option, and he says they have excess recharge capacity with just the solar. He's in California/Mexico. The electrical system with an MLI is a bit more complicated though, with DC-to-DC charger going from AGM start battery to the house MLI, instead of a VSR. And we have another DC-to-DC charger going from MLI to start battery, to keep the AGM charged at the dock. I'm not sure that is the stock setup, but is what we got thru working with Mastervolt going from an AGM setup to Mastervolt MLI.

[sailjumanji]

PM me if you want to talk more. I suspect others are tired of our detailed conversation.

[huckieCA]

Originally Posted by Lonestaralaskan

Is it possible to reserve a build slot without a full pre-approval? With the intent of getting the pre-approval prior to when the boat actually starts getting built. (2 years from now). Assuming we qualify on income, credit score, and debt to equity, and show general credit worthiness.

If I understand you question correctly, you want to get a loan for the boat, during the construction of the boat, to make your pogress payments? If that is the case, make sure you have someone lined up that is willing to do that. In the US, I was sadly disappointed to find no banks or companies willing to finance the construction of a boat. They would only offer a loan once the boat has been completed, titled, and documented.

As for signing a contract with the boat manufacturer without having financing, well, they don't really care if you're pre-approved or not. You're signing a contract committing to pay them as per the construction progress schedule, and how you come up with the cash is your problem. Not theirs. The contract terms will not be very friendly towards you backing out of the agreement if financing falls through.

If you do find someone willing to finance the boat construction, let me know! I'm interested. One alternative might be to look at a HELOC or cash out home refinancing during construction, then turn around and refinance everything again when the boat is completed and banks will write a note with boat as collateral.

[DougM]

Sailjumanji did a great job of describing the purchasing process, my experience was almost identical. I just took delivery of my new 1190 Sport on March 15th. They shipped nearly a month earlier than i expected. I have a couple of problems getting worked out, but I was completely happy with my dealings with them throughout the build and delivery, I love the design of the boat, and I think their build quality and attention to detail is amazing.

[Kamen]

Originally Posted by sailjumanji

PM me if you want to talk more. I suspect others are tired of our detailed conversation.

Not tired!