pre-purchase hull survey

[Lilah]

We have made an offer on a Catalina  on Lake Michigan, and the dealership refuses to put a clause in the contract to check for water in the hull as a condition of sale. We are in Chicago in the winter, so the meters to check for this are not functional. Is it unwise to buy a boat in the winter?

The boat looks beautiful and well loved, but we cannot tell what we cannot see. Our surveyor told us he cannot check for water in the hull because of the cold weather. Does anyone have experience in this area? Any advise is appreciated.

Rosalie and Mark Villano

[Jon Schneider]

All of you are right.  The surveyor is absolutely correct, and you're right not to buy a boat that can't be verified for moisture damage.  Why don't you just ask the dealer for right-of-first-refusal (i.e., if he finds someone who matches or exceeds your bid, you get a chance to supercede it)?  Great for him and the seller, and accommodating to you.  Otherwise, you can't reasonably expect him to tie up the boat for the rest of the selling season with the possibility of you exiting the sale.

[Footloose]

Why not go ahead with the deal but stipulate that money be put into an escrow account that would cover any repairs that were found on the survey?  If you can get the rest of the survey done you could limit it to hull damage.  You also need to know that the engine will start.  This may require some haggling with the owner and talking to a repair yard about costs, but if they won't agree to it red flags should go up.  This is not uncomon to do in Vermont for the reasons you brought up.  There has to be an attorney in our midst that could give advice on the wording.

[Ken Heyman]

I agree with Dave. A holdback of funds until the spring that allows for a "comfort level" would be ideal. Maybe the seller would give you a guarantee if he is not willing to have funds escrowed. (probably unlikely though depending on level of  interest in his boat)As alluded to however,, there may be someone else willing to buy the boat "as is". How long has the seller owned the boat? Did he/she have a survey when it was purchased? What did it show?. Have you talked directly to the seller? I know brokers don't always like this but it might be worth a try. When I bought my 34 it was listed with Larsens in Milwaukee but I did have lots of communication with the seller directly. I also had my boat professionally surveyed and frankly I was disappointed with the quality of the inspection. That said, surveys are important. One just has to be sure to get the right guy.
Anyway congratulations (in advance) on your pending transaction and good- luck.

Ken

[Ted Pounds]

We did that with my boat.  The broker has a $2000 hold back until the engine is started and demonstrated to be working. 

[Jon Schneider]

Good idea (escrow).  I just can't imagine how much you'd hold back.  $10K I would think, $5K at the very least.

[Lilah]

Thanks for the comments. Someone recommended we also put a contingency until we test SAIL the boat as well. Is this reasonable? Since we are in IL, it will be awhile until we could take her out for a sail. I like the idea of a contingency to do the tests on the hull and to make sure the engine works. Any suggestions on wording would be appreciated, since we are going forward with the offer. Very exciting and a little scarey to buy a boat in the winter. 

[Stu Jackson]

Lilah

There is an incredible amount of information "out there" for you.

I just did a Google search on "how to buy a boat."

If you do that, many of your questions will be answered.  Many of those specific to the C34 are on our FAQs and a search on "weblog."

i understand your specific situation. Many people have been there before.

I recently was reminded of one of the reasons we bought our boat: I couldn't afford my bride's request for a summer home in the Napa Valley!

So, since our boat is our home-away-from-home, it's just like "our cabin in the woods."

A cabin is a house, escrow is a no-brainier.

All the best...