A new boat owner checklist for a US boat purchase has ten essentials: title, state registration, sales tax, hull insurance, towing insurance, where the boat will live, PFDs, fire extinguishers, flares, and keys. Whether the boat is brand new or used, the same ten items apply, and most need to be lined up well before closing rather than at or after.
Between us, Dave and I have owned 22 boats. Not all were cruising boats, but every one of them needed most of these items handled. The thing that surprised me every time was how much had to happen before the first ride. The closing isn’t the finish line.
(Disclaimer: this list is for boats in the US. I don’t know the requirements in other countries.)
The 10-Point New Boat Owner Checklist
1. Title
At closing, the seller signs the title over to you. For a US Coast Guard documented boat, you’ll use the appropriate documentation forms instead. But receiving the forms isn’t enough. You have to mail, fax, or hand-deliver them to the right office so the title or certificate of documentation gets reissued in your name.
Until that happens, keep a copy of the bill of sale on the boat. That’s your proof of ownership in the meantime.
If you used a documentation service, they should handle the filing, but double-check. Don’t forget the dinghy. Even if your “big boat” is documented, most states require the dinghy to be titled, although a few states skip the title if the dinghy has no motor. If the boat came with a trailer, that needs a title transfer too.
For more on documentation versus state title and which one fits your situation, see Coast Guard documentation need-to-knows.
The pile of paperwork starts the day you close and grows from there. I keep ours in the Boat Documents Organizer, a water-resistant binder with a zippered passport pouch. It also includes a checklist of every document you should have aboard for US and foreign cruising, which is the part I find most useful — it’s easy to forget something until customs asks for it.
2. State Registration
State registration is not the same as title. Title proves you own the boat. Registration is an annual fee paid to the state, with a sticker or set of numbers to display on the hull. You typically need both, even if your boat is federally documented (in which case documentation replaces the state title, but not state registration).
Registration laws vary considerably. The broad outline applies almost everywhere, but check the rules for the state or states you’ll actually be boating in. Googling “[state name] boat registration” usually surfaces the requirements fast.
Most states require boats used or kept in the state for more than a certain number of days to be registered there. That’s true regardless of where the boat is titled, whether it’s already registered in another state, or whether it’s federally documented.
And yes, you’ll usually have to register the dinghy too, plus get plates if there’s a trailer.
3. Sales Tax
Unless you bought from a dealer and paid sales tax there, you’ll almost certainly owe sales tax when you register the boat. If you later register in another state, you’ll get credit for what you already paid. Generally, if it’s been longer than a set period (six months or a year, depending on the state), you won’t owe any difference.
State sales tax can add 7% or more to the purchase price, so it’s worth researching carefully. If you’re planning to move the boat to another state, paying close attention to tax dates can save serious money.
4. Hull Insurance
Once the sale closes, the risk of loss is yours. Know exactly what insurance you want, and any requirements like a survey, well before closing.
Boat insurance has gotten much harder to obtain in recent years. Older boats, liveaboard situations, full-time cruising, and certain hurricane-zone locations all complicate things. Talk to a broker early. Make sure you know what you have to do and by what dates, and confirm you can actually get bound coverage before you sign.
5. Towing Insurance
Towing insurance, generally through BoatUS or Sea Tow, makes sense almost everywhere in the US. Uninsured towing runs over $200 per hour. Running aground or breaking down isn’t as rare as we’d like it to be.
Check with local boaters to see which company has stronger coverage in your area. Both are good companies, but the better choice varies by region.
6. Where the Boat Will Live
Sometimes you can leave it where it is. More often, you need to move it, to your slip, mooring, storage yard, or wherever it’s headed next. Figure all of this out before closing, including the cost and how you’ll get it there. Have your towing insurance in place before that first move, just in case.
Don’t assume you’ll be able to get a slip. Slip availability is tight in many areas, especially the west coast where waiting lists run 3 to 5 years. Liveaboard slips are even harder to find. Plan ahead.
7. PFDs
Every boat needs Coast Guard-approved life jackets, one wearable per person on board, plus a throwable on deck. The minimum-cost path is basic Type II or Type III jackets from any marine store. They satisfy federal law and they work.
But “satisfies the law” and “you’ll actually wear it” are different problems. Most basic PFDs are bulky, hot, and uncomfortable, so they end up in a locker. The PFD that stays in the locker is the one not on you when you slip.
If you’re going to be on deck regularly, especially solo or in any weather, an offshore inflatable with an integrated harness is worth the investment. The TeamO PFD with BackTow is the one I recommend. The BackTow feature flips you face-up if you go overboard while tethered, which is the failure mode that makes traditional inflatable PFDs dangerous in the worst situation.
Whatever you choose, get at least one throwable on deck, and pay attention to the color. Red, orange, and yellow stand out in the water. Blue blends right in, and white reads as a wave. The cheaper blue and white throwables are tempting on the shelf, but you want one that gets seen if it’s in the water with someone you love.
8. Fire Extinguishers
Make sure you have enough fire extinguishers and that they all work (gauge in the green, certification date current). The Coast Guard sets a minimum, but you almost always want more than the minimum. One in every sleeping area, one near the engine compartment, one in the galley, and one accessible from anywhere you might be trapped.
We also keep two fire blankets aboard. They often put out a fire faster and with less mess than an extinguisher, especially galley fires. (Fire blanket on Amazon.)
If your dinghy has a motor, it’s required to have its own fire extinguisher too.
9. Flares
Make sure you’re legal with the required visual distress signals for your boat. The full federal requirements live on the USCG Boating Safety regulations page.
I really like the Sirius Signal electronic flares. They’re USCG approved, never expire, and you’re not holding burning material on a boat or in a life raft when you need it most. (See Sirius Signal electronic flares on Amazon.)
10. Keys
In the excitement of closing, make sure you get every key from the previous owner. Engine, locked storage areas, companionway, outboard padlock, fuel locker, anything that locks. Make a list ahead of time of all the locks on the boat so nothing gets missed.
Missing a key after the seller is gone is a special kind of frustrating.
Get the Free Printable New Boat Owner Checklist
Most of these ten items aren’t things you do at the closing table. They’re things you line up in the weeks before, then verify and finish in the days right after. A printed checklist keeps it all in front of you, so nothing slips while you’re riding the high of becoming a boat owner.
Carolyn Shearlock has lived aboard full-time for 17 years, splitting her time between a Tayana 37 monohull and a Gemini 105 catamaran. She’s cruised over 14,000 miles, from Pacific Mexico and Central America to Florida and the Bahamas, gaining firsthand experience with the joys and challenges of life on the water.
Through The Boat Galley, Carolyn has helped thousands of people explore, prepare for, and enjoy life afloat. She shares her expertise as an instructor at Cruisers University, in leading boating publications, and through her bestselling book, The Boat Galley Cookbook. She is passionate about helping others embark on their liveaboard journey—making life on the water simpler, safer, and more enjoyable.
Anonymous says
Dale Basinger
Anonymous says
Remember to get a receipt for your sales tax payment! You will need that if you every register your boat in another locale. If you don’t have the receipt you will have to pay that locale’s sales tax in order to register.
Maryland has a special excise tax – if your boat is in Maryland waters for more than 90 days per year you must pay 5% excise tax in addition to the sales tax you have already paid. Our solution was to register in Maryland, pay the sales tax, and change our registration to Florida after 180 days.
More weird behaviors driven by tax law.
Anonymous says
Duane
El says
For the European sailors:
The flares cost 251 EUR (!!!!) on Amazon.de compared to 89 $ on Amazon.com