How Long Can You Finance A Boat?

how long can you finance a boat

The length of time you can finance a boat depends on the lender, but boat loan terms usually range anywhere between 5 and 15 years to as high as 20 years. 

Boat Loan Terms are longer than vehicles because boats retain their value longer than vehicles.

Some important points to remember about the terms of a boat loan:

  • The terms of your loan agreement will be based on your credit score and income.
  • Generally, shorter loan terms tend to have lower interest rates, so if you can swing a higher monthly payment, then going with a shorter duration might be the best option.
  • Longer loan terms may require a down payment
  • make sure the duration of your financing fits the expected lifespan of your boat and boat type; if it doesn’t, you might want to consider other financing options or even reducing the duration of your loan. 

Average Boat Loan Terms

Average Boat Loan Terms

The typical terms on a boat loan as of 2023 will include a loan repayment period between 12 and 20 years with a down payment ranging from 10% to 30%, which all depends on your credit score and the total amount you borrow.

Below we will address the factors that can affect the terms of your boats loan.

How Long Can You Finance A New Boat?

When it comes to financing a new boat, you will likely have the option of taking out a loan for as long as 20 years. This is much longer than the terms offered for auto loans and even some home mortgages! While this may seem like an attractive option, it’s important to consider whether you can truly afford such a lengthy loan term. You should factor in not only your monthly payment but also interest rates, especially as they are currently on the rise to tackle high inflation.

Other costs to consider aside from your purchase price and interest rate are:

  • Storage/Docking
  • Maintenance

Tip:  The cost of upkeep will likely equate to 10% of the total purchase price each year

How Long Can You Finance a Used Boat?

You can finance a used boat for up to 20 years, however, there may be situations where this isn’t always true.

Depending on the age of the model of the boat, and its condition, lenders may not be willing to offer financing at all! This is because lenders need collateral in order to secure their loans, and with an older, potentially unreliable boat, the risk of losing their investment increases dramatically.

 This is why in many cases when you are buying a used boat with financing, lenders will require you to use a marine surveyor to inspect the boat as part of their requirements. 

In this case, you will have to pursue a personal loan.

Tip:  A Boat Dealer or Boat Broker will be very helpful in searching out all available opportunities on Used Boat Loans

How Old Of A Boat Can you Finance?

How old of a boat can you finance

You can get a loan on boats up to 30 years old in certain circumstances, but generally, it’s a bit easier to finance boats that are 20 years or newer.  The reason boats get more difficult to finance with age isn’t always their condition; it’s that their value is a bit more subjective. 

As an example: To you, replacing the transmission on a 30-year-old boat might be worth it, but for the bank, the math might not work out.

If you are having trouble getting a loan from a traditional bank on an older boat, try a credit union or a personal loan (Unsecured Loan). 

Factors That Affect the Length of a Boat Loan

Your lender will consider several factors when determining the loan term and interest rate:

  • The size of the loan: The more money to pay off, the longer your term will be
  • Type of boat being financed: High-performance boats and wooden hulls might introduce more risk for the lender
  • Age of the boat: An older boat will lose its value as collateral much faster

Free Boat Loan Calculator

Boat Loan Calculator

If you’re thinking of financing a boat, you can use the Sportfishtrader free boat loan calculator to determine how long it will take to pay off your loan.

The calculator is designed to help you decide which boat loan is best for you, taking into consideration factors such as the length of time you’ll be making payments, the finance rate, and the size of your down payment.

The calculator is also useful for comparing different loans and understanding the implications of various terms and conditions.


When you’re looking to finance a boat, it’s important to know the terms of your loan. Some loans have a specific duration, while others may be open-ended. Understanding the terms of your loan will help you make the best decision for your needs.


Can you get a 30 year loan on a boat?

No, you can not get a thirty-year loan on a boat.  The longest loan you will be able to get for a boat is 20 years.

Can you pay off a boat loan early?

Yes, you can pay off a boat loan early without a penalty in almost all cases.  Check your repayment terms in your lending agreement before signing.

Is it hard to get a boat loan?

Yes, it is harder to get a boat loan, and that is usually because boats are more expensive which makes meeting a lender’s income-to-debt ratio more difficult.

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Steve Momot

Steve Momot

Steve is an accomplished professional photographer and marketer who specializes in the Fishing, Yacht, and Boating industry. With a strong presence as an influencer and marketing expert in the Marine Industry, he has made a significant impact in the field. Additionally, Steve is the original creator and co-founder of Sportfishtrader. Prior to his career as a marine photographer, he gained extensive experience as a licensed boat and car dealer in South Florida.