Long–term trends point to a continuing slow conversion of rental slips and racks, which means boat owners currently renting should have a back–pocket strategy to own, move or sell their boat if the phenomena visits their marina. Those inclined to own should do their homework.

Marty Laven, a member of Alaqua and owner of an affiliated marine real estate brokerage, The Dockominium Group, urges prospective buyers to consider their budget and to look long term.

"Owners who expect to be involved in boating for at least seven years and out to 20 years will find cost justification in owning a slip or rack," he said.

Higher prices generally reflect more active and year–round boating communities where new boat sales and demand for storage has been strong, or at least more stable, over time. Lower prices correlate to properties less convenient to busy or easily–navigable waterways, where boating is limited and where on–site amenities are more Spartan.

Laven cautions buyers to make cost comparisons between renting and buying that include all potential charges and benefits – an exercise with many variables.

To start, calculate what it would cost each month to rent a slip for your boat in the same facility or one nearby that offers similar amenities. Then, calculate the monthly cost of ownership, using realistic numbers for the down payment and the interest rate. Remember that purchasing expenses for buyers will add five to seven percent on top of the selling price, including closing costs, and that title insurance can add another two to three percent. Real estate and sales taxes, maintenance fees and special assessments can also increase costs, so be sure.

Then, compare the services and amenities included for both options; benefits such as the term of the loan versus the length of lease and options to renew; and the appreciation you can expect – if any – as an owner.

A BUYER'S AGENT

Getting objective advice and guidance about the purchase is a solid idea. This usually comes in the form of a buyer's agent, who represents only you – the buyer – in the transaction.

In active boating markets, it will be easier to find agents knowledgeable about on–water properties. Buyers should determine that the agent is significantly involved in slip and rack transactions, ask for a list of client referrals (and call a few), and verify the agent is savvy about the local boating market and perhaps involved in local or regional marine trade associations.

Once properties have been identified, on–site inspections are crucial. Walk the docks, talk to the owners or renters and ask questions of employees or service providers. For rack operations, watch to determine if the in–and–out is prompt and careful. For properties in development, carefully study layouts and plans. If the feedback is positive, consider the property. If not, move on.

Financing is often offered through a developer on new properties, though the underlying lender programs should be vetted and compared with at least two others. This exercise will establish if rates and terms are competitive and may provide a double check on the reputation of the developer. Buyers should see if their own bank will provide financing and if marine lending specialists serve the area where the slip or rack is located. If any of these sources hesitate, you may want to ask the developer more questions.

For racks, it is common to finance them with a home equity loan, which may prove problematic for some in the current lending climate.

At present, there's little reason for would–be dock or rack owners to rush a purchase decision. Sure, there might be an opportunity – perhaps that last end spot for a 120–footer at Ocean Reef – that would justify quick action. But for most boat owners, taking time to do the homework and run the numbers will be a useful exercise. When the opportunity arises, you'll be ready.