Calculate your boat loan monthly payments including sales tax and trade-in value. See full amortization schedule.
Our free boat loan calculator estimates your monthly payment for financing a boat, factoring in the purchase price, down payment, trade-in value, sales tax, interest rate, and loan term. It also generates a full amortization schedule so you can see how much of each payment goes toward principal versus interest.
Monthly Payment = P × [ i(1 + i)^n ] / [ (1 + i)^n − 1 ]
Where P is the loan principal (boat price plus sales tax, minus down payment and trade-in value), i is the monthly interest rate (annual rate ÷ 12), and n is the total number of monthly payments (loan term in years × 12). Sales tax is typically calculated on the boat price minus any trade-in value, depending on your state's rules.
Boat loans often carry slightly higher interest rates and shorter terms than auto loans, since boats are considered higher-risk, faster-depreciating collateral by most lenders.
Most lenders prefer a credit score of 700 or higher for the best boat loan rates, though some lenders offer boat loans to borrowers with scores in the mid-to-high 600s at higher interest rates.
Boat loan terms typically range from 5 to 20 years depending on the loan amount and boat type, with larger, more expensive boats often qualifying for longer terms, similar to how larger mortgages allow longer repayment periods.
If your boat qualifies as a "second home" (it must have sleeping, cooking, and bathroom facilities) and the loan is secured by the boat, the interest may be tax-deductible as home mortgage interest, subject to IRS rules and total mortgage debt limits.
Most lenders require a down payment of 10-20% for boat loans, though this can vary based on the boat's age, loan amount, and your credit profile. A larger down payment typically results in a lower interest rate and monthly payment.