People visiting pawn shops create $14.5 billion in revenue each year. Most people know they can pawn jewelry, tools, collectibles, and antiques. But did you know you can pawn almost anything, including your boat?
The amount of money you could get for your boat will depend on several factors, such as age, size, and condition. This guide will help you understand the process and loan potential if you decide to pawn your boat.
Find a Pawn Shop
Unlike more commonly pawned items, not all pawn shops are willing to accept a boat. This could be for several reasons. Maybe they don’t have the space to store it. Or perhaps it’ll be too hard to sell should you not repay your loan.
Your first step is to find a pawn broker willing to agree to a boat pawn. Try looking both locally and online.
Prepare Your Boat
While you’re looking for a pawn shop, you need to get your boat ready. If you present a sparkling clean boat then you’re likely to get a larger offer.
You should also fix any damage or cosmetic issues. This improves the value of your boat and reduces the amount of work for the pawn broker. Both of these will help you secure a larger loan.
Have the Required Documentation
The exact requirements for your boat pawn will vary from state to state, but you should have these documents at the ready.
- Proof of ownership
- No existing liens
- Government-issued ID
- Proof of income
This article from High End Pawn goes into further detail on the requirements for pawning a boat.
Arrange for Your Loan
Once you’re ready, you’ll make arrangements with the pawn broker to meet. The broker will then assess the boat to determine its value. This will determine the maximum value of the loan they’re willing to offer you.
You’ll then negotiate the final amount, interest, and repayment terms. Once you finalize the agreement, you’ll turn over physical possession of the boat to the pawn shop, and they will give you cash.
When determining the value of your boat, the pawn broker will look at its age, make, model, and condition. Newer boats or those with fewer hours will get a higher valuation. You can look online for the NADA Guides to get an idea of what you’re boat is worth.
You’ll need to repay your loan in accordance with the terms you’ve agreed to. Once you’ve fully repaid the loan, you can then take possession of the boat back.
As long as you continue to fully repay your loan, there’s no limit on how many times you pawn your boat.
Pawn Your Boat Today
If you’re facing sudden expenses that you can’t afford, you may want to pawn your boat. This will give you an immediate influx of cash. This is a faster, easier, and more affordable option than other lending options.
Browse the money section of our blog for more helpful tips for managing your finances.