Quote:
Originally Posted by pjard
In case anyone is interested, slip F-6 sold today at auction for $37,000.00 I keep thinking about buying a slip but even at $37K it's still better to rent. Here's my logic....cost of money for $37K is $1,500, Taxes to Gilford $1,200, Association Fees $1,500...total cost to own is $4,200. Rents at MVYC including winter storage are $2,800 to $4,000....cheaper to rent! Someone please find the flaw in my logic...really.
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Well.............If you financed the purchase with a tax deductible home equity loan your interest rate would probably be below 3% and depending on your tax bracket there would be some savings there with the interest deduction.
Your Gilford taxes would be also be deductible so there would be some savings there.
I think that there will be some appreciation going forward because as the area continues to grow more people will want access to boats and need docks on the lake. The law of supply and demand will certainly factor in.
As others have said, you will also have the security of knowing where your boat will be each year and have some reasonable idea of the cost. The friendships you will make with the people on your dock will stay with you for a long time. You can't put a price on that.
At this time over half of the 284 slips at MVYC are not used by the owners. There have been many years that there was a waiting list for rental slips at MVYC. Owning a slip eliminates that issue for you.
I have owned a slip at MVYC since 1996 and I have seen many changes in the slip prices over the past 18 years. I have never regretted buying it even though I keep my boat elsewhere and no longer use the slip. As a rental the return is not great but it is nice to know it is there if it is needed in the future.