Originally Posted by cvick76
The biggest downfall being the continued monthly payments vs. no payments.
Would the interest rates eat us up?
Given the research
we did here, yes...the interest will eat you alive!
The interest rates were horrible, and the lender requirements were even worse. The only way we would be able to afford to finance a boat was to take another job (whereas I'm pretty sure the goal is to leave the one you have).
Wasn't exactly part of your question... but I would suggest trying to sell everything else, keep the house and rent it out/pull the biggest equity line you can to fund your trip.
Than the house keeps appreciating while you're away (and while someone else is paying your mortgage for you)... best case scenario with inflation it eventually sends you a check every month after the mortgage payment to help turn your trip into an even longer one.
More importantly- if you happen to be one of the MANY who try this lifestyle on for sizer and realize they don't like it as much as they thought... you still have the home to go back to and aren't suddenly tying to reinvest in a market you just got out of and likely timing both the sale
poorly because you simply need to.
Im not saying this will happen to you, just that we've only been on the water
a few months and have already experienced several for whom it has happened... and backup plans never hurt (especially when they're good financial investments too).
Good luck, go make it happen... we'll be watching for you in the islands!!