How boat finance works
Boats can be bought with a personal loan, hire purchase or a marine mortgage. A marine mortgage is a loan secured on the boat, often used for larger and more expensive vessels.
Lenders usually want a deposit, often 20% or more, and look at the boat's age, type and survey report.
Worked example
An £80,000 boat with a £16,000 deposit means borrowing £64,000. At 8.5% over 10 years, the monthly payment is £793.51, £95,221.01 in total.
Interest is worked out monthly at one twelfth of the annual rate. Lenders may calculate interest differently (some charge it daily), so your actual payments can differ slightly.
Costs beyond the loan
Budget for mooring or storage, insurance, maintenance, a survey before you buy, and running costs such as fuel.
Inputs for the boat finance calculator
Boat price
The price of the boat, including any equipment you're financing.
Deposit
What you're paying upfront.
Interest rate (per year)
The annual interest rate on your finance. The rate shown is only an example, so enter the rate from your quote.
Term
How many years you'll repay over.
CALCULATOR QUESTIONS
Boat finance calculator questions
What is a marine mortgage?
A loan secured on the boat itself, usually for larger or more expensive boats.
How much deposit do I need for boat finance?
It varies by lender and boat, but 20% or more is common.
Will the lender need a survey?
Often, yes, especially for older or more expensive boats.
Does this include mooring or insurance?
No. It covers the loan repayments only.