When the right boat comes along would you finance at a rate of 3.99 for a term of 15yrs and sit on your cash or buck up and pay cash? Principle will be about 50 or 60K...

It's your $$$$, do what you think is best.
MY 2¢

If you can invest it and get more than 3.99, finance the boat and invest the money.

Otherwise, pay cash and have the comfort of knowing you don't owe a note on it.

Typically, the answer depends on the purchase amount of the boat, as well as your personal financial situation...
There are two kinds of boat owners. Cash owners and financed guys... They have different personalities.

When someone tells me what their boat is "worth".....if it's too high, chances are he has a payoff that exceeds the boat value...

If you are talking about an $800,000 boat, I'd put 50% down and try to use the other $400k to better your position on some other personal activities, such as refinancing a property that may have a high interest rate...
The best advice, in my opinion, is Never to put down the "minimum" amount.... You'll be upside down and feel backed into a corner.
That $50-60k may be the difference in being able to get out if needed.
Unfortunately boats are luxury items. You need to have an easy exit just in case your situation changes and you need to loose a payment or two... Have too high a payoff and you are trapped...

Cash.

Borrowing on a depreciating asset is what many people have to do in order to get the boat they really want. Committing to a loan over a few years on a boat you may get tired of in one year (it happens!) is not the best way to go. If you can pay cash and own outright, do it. No headaches, no loan fees, no banks, no monthly payments, nobody to answer to etc, etc. How many people have borrowed on their boat and then lose their job or their work goes quiet, contracts aren't renewed?

The way the economy is today, in any part of the world, I'd play safe if at all possible.

RR

SCREW interest!

Personally, I finance essentials if needed and pay cash for toys. I will not buy a toy unless I feel comfortable spending the cash and do so in the knowledge that I may be lucky to see 50% of my money back. I have boats, ski's, atv's and 2 mud trucks. all are few years old or more.

Many of my toys sit until the right weekend and don't cost me (other than insurance) until I am ready to use them. This is a situation that works for me but certainly is not for everyone.

Pay cash - the borrower is slave to the lender!

Don't Ever borrow. This is not a Need item. This is a want. We waited a number of years. But when the boat showed up we saved the cash and wrote a check. No worries. do the math and see what that new toy is really going to cost and don't buy in to the notion that interest is deductible and will help on taxes

There is this fincincial guru Dave Ramsey. We were students of pay cash long before he showed up. But if you get a chance pick up his book. .With the exception of his hate of credit cards his program/philosophy really makes sense.

3 point star

To me there is a few things that come into play,

1st I HATE debt, (beside mortage and I stongly dislike that), I will buy a 1995 bayliner with a Force on it before I take a loan out on a boat.

2nd is risk, sure you could borrow the money and invest the cash you have in savings, but if the boat was paid for what you borrow against it? I wouldnt, knowing if **** hit the fan I can alawys sell the paid for boat kind of hard todo when the market tanks, and your boat aint worth half of what you owe on it (read 2008)

My parents drilled into my head pay cash for toys, when I turned 18 I did the exact opposite, sold everything when I was 23 to get out of debt, took me the next 5yrs of saving and working two jobs(one was my own side buisness) to get back into toys.