There are many advantages to owning a slip versus renting.
These benefits include the following:
- More control of your boating water access, lifestyle and destiny.
- Potential building of equity as opposed to leasing.
- If the purchase is financed by a qualifying home equity loan or if the
boat and slip can qualify as a second home, the interest is generally tax deductible. Additionally, the real estate taxes paid in connection with the
slip are also tax deductible. Always consult with your tax advisor.
- If structured properly, the after-tax cost to many boat owners will be less than the rental rate they would be paying for the same period. After the loan is paid off, the ongoing cost of owning the slip is a small fraction of rental.
- Ownership of a slip protects a boat owner from the consistent increases in rental rates. The slip becomes an asset instead of a
- The boat slip can be sold or transferred, at any time, or passed by inheritance .
- If an owner is not using his slip, the slip may be rented for income.
- Increasing governmental regulation limiting the number of marinas which can be built, coupled with the consistent demand for boat slips, create the potential for an appreciation in your slip's value.