How do you privately sell a boat when you still have a loan?
I'm trying to sell my boat and the selling price will be more than the payoff of the loan so I won't have to deal with any negative equity. If I have a buyer that wants to finance and I have a loan on the boat how do we get the process taken care of?
- Anonymous1 decade agoBest Answer
You'll have to open an escrow, since the loan is probably a lien against the boat.
No money can go to you directly until the loan 'is satisfied'. ~
- Anonymous1 decade ago
Sell the boat. With the money you get from the buyer, pay off your loan. Its as simple as that. But don't mess arou nd and not pay the loan off or you will be in trouble. You have a little bit of time to get it straightened out and the title will come back to you. Then sign the title over to the buyer.
- hunting4junkLv 41 decade ago
the only way you could finance the boat to him is if he gave you a big enough down payment to pay off the lien against it. otherwise he will not be able to register the boat for use. and if you let him use it while it's registered to you and he has an accident or the like you could be held partially responsible as the registered owner. You need to call you banker and discuss the your options with him. also it would really suck for you if this guy skips town with your boat and you still have to pay for it.
- 1 decade ago
Let the prospective buyer secure his own financing. If you let him take over your loan at the bank he would still have to be approved but if he fails to pay for the boat it would come back on you. Send him to the bank or credit union.