When shopping for a yacht, there are several different aspects to consider. But once you’ve got it, do you know what to do with it? If this is the first time you have owned a yacht, there is a good chance you do not have a boat bill of sale.
A bill of sale for a boat is a significant document that indicates a boat’s formal proprietor. This document will contain all the information about you and the vendor, including how to contact you if something goes wrong. If you need this document, which is essential for purchasing and selling vessels, the following information will provide the knowledge you need to proceed.
Get All The Details In Writing.
Putting your watercraft purchase into paper will help ensure clarity later. Despite popular belief, a watercraft is not analogous to a vehicle. You get the entire vessel instead of just the body when you purchase a boat, which is the main distinction.
Before purchasing a yacht, find out if the necessary equipment is included in the sale and what kind of condition it is in. To ensure clarity with the boat’s proprietor, you should have all of this spelled out in a statement of sale.
A boat bill of sale should be as detailed as possible, including measurements, make and model of the vehicle’s motor, year of manufacture, and other pertinent information necessary for a smooth transaction. Any anchoring gear, buoys, signals, and life jackets should be listed on the bill of sale and whether or not they are included in the transaction.
Make Sure It’s Properly Insured And Registered.
It’s important to follow all applicable laws when purchasing a watercraft. A bill of sale guarantees transferring the boat’s formal title and possession from the vendor to the buyer. Key information includes the ship’s make, model, length, year constructed, number of engines, HIN, and registry.
The vendor must also obtain a Certificate of Documentation from the registering jurisdiction. When you sign a boat bill of sale, you’re making a legal commitment to the vendor to keep up with payments and do whatever else is required to get the boat paid off. The statement of sale acts as a legal deal between the parties.
But if you find out later that the title was fake or nonexistent, it could send everything into chaos and cost you a lot more money than you bargained for. Do your homework before buying a watercraft from a stranger to avoid any unpleasant surprises.
Make Sure It Isn’t Listed As Stolen or Abandoned
It’s exciting to discover a yacht priced right and within your budget. Ensure the watercraft isn’t reported missing or stolen before racing to the bank for a credit or showing up at the seller’s home with cash. To do this, you can contact the authorities in your area and inquire about any details they may have about the watercraft.
This will not only give you peace of mind (and keep you out of legal trouble), but it may also prevent you from purchasing a boat that has had its motor or other necessary components stolen or removed. You can still make an offer on a yacht that has been reported as stolen or abandoned. Still, you must first contact the legitimate proprietor and obtain their approval before proceeding with any transaction. If the license checks out, it’s time to look it over more closely.
Check for Liens on the Boat Bill Of Sale and Make Sure They’re Paid off before You Buy It!
A boat bill of sale is a deal to purchase the vessel in question. A deed is a document of possession with significant legal consequences, so it’s essential to review it carefully before signing if a large sum of money is at stake in your state.
Make sure the ownership of the yacht you want to purchase is free and clear of any debts before you make an offer. Unpaid taxes or debts to the government are examples of liens. Someone who sells you a boat while they still owe money on it may owe that money to whoever bought the boat from them.
If you’re attempting to do something easy, like purchase a used boat for fishing or cruising with friends, you should make sure there are no open claims on the title, as this can get chaotic, complex, and costly.
Buying a boat is exciting, but it can also be an overwhelming process. The Maritime Documentation Center can help you through the process and ensure you get everything in order before going out on the water.