Join Date: Dec 2012
Location: Whitby, Canada
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Boat sale and SELLER finance issues?
We have made an offer for a boat, conditional to a satisfactory survey, sea trial and ... SELLER being able to secure a bridge loan.
At a time we were assured that it's a just a matter of seller going to the bank and settling the outstanding loan (and lien) on the boat, sighting pending sale and its proceeds coming to cover the loan.
We understood later that the proceeds of the sale will not be sufficient for the seller to cover the outstanding loan and he needs to arrange a bridge loan for the boat sale to succeed.
Edit: To clarify - as a buyer, our finances are not the issue here. It's the seller who needs to arrange the bridge loan to settle his finances and remove the lien on the boat.
It has been more than a week and seller is still working on his finances. We are running out of time to have the survey arranged before the acceptance date, and we are very reluctant to commit survey expenses until seller's finances are not settled.
We would not expect the SELLER's finances could become an issue when buying a boat.
My concern is that what if seller, due to his personal financial situation, will not be able to arrange a bridge loan (on time) and sale will fall though. We would have wasted time, travel and work arrangements, costs of boat survey + sea trial, and would have to start our search again.
Did anyone have experience like this? How it turned out?
What are my options and next steps should be?
Any insight will be appreciated.
Last edited by argalax; 05-29-2014 at 12:58 PM.