Marine Title Northwest
Services
Sample Escrows
Frequently Asked Questions
AVDA, our Professional Association
Company Info
Contact Us
Links
Back Home
|
Ahoy!
Thanks for stopping by! I'd like to introduce Marine Title Northwest to you.
MTNW is Oregon's only state-licensed marine escrow company. We handle not only funds but also titling and
documentation of boats and floating homes whose ownership is changing due to sale or any other reason.
We pride ourselves on quick work, using fax, email, express delivery and electronic funds transfers to
bring our deals to the fastest possible secure closing. Marine title insurance is available on request.
A listing of our many services might
induce drowsiness, unless you have a yen for transactional details. But
click on down if interested!
Perhaps you are already involved in a transaction, or anticipate being
involved in one in the near future, but you're stuck, and don't know what
to do now. Escrow the deposit or not? State title or document? Are you sure
there are no recorded liens? Are you interested in the buying some peace of mind
via vessel title insurance? Contact MTNW for a free consultation and fee quote.
Have you already bought your boat or floating home, but now, as owner, you have a concern
about the title, documentation or lien status? Let us help. Our professional
know-how is at your service.
Thanks again for visiting our web page. I hope that we will become aquainted
in the near future.
Nancy Walseth, J.D., Proprietor
MARINE TITLE NORTHWEST
Call 503-735-0121, Toll Free outside Portland (west of the Rockies) 888-835-0121
Fax 503-232-0121, Email mtnw@aol.com
Write to us at P.O.Box 5154
Portland, OR 97208-5154
|
|
Back to Top of Services
Home
Contact Us
|
We help boat buyers and sellers, yacht brokers and marine lenders up and down the West Coast and
beyond, facilitating and expediting closings by a combination of services, which may include:
- Lien search and confirmation of transferability
- Full escrow service for funds and documents
- Organization and facilitation of multiple parties, often in different states
- Closing services - electronically, by mail, or in person
- Lender assistance (loan closings, escrow, etc.)
- Lien perfection, including recording of marine mortgages on documented
vessels
- Documenting presently state titled vessels
- Titling presently documented vessels
- Clearing or establishing chain of title; solving lost title problems
- Facilitating vessel title insurance from First American Transportation Title Ins. Co.
- Obtaining waivers, where necessary, of federal and state requirements for titling and ownership transfers
- Referral to state revenue departments for state sales tax questions
- Consultations and referrals
|
PROFESSIONAL ASSOCIATIONS
Marine Title Northwest is a member of the American Vessel Documentation Association, Inc.,
which endeavors to stay apprised of changes at the Coast Guard and trends in marine lending.
Nancy Walseth is an inactive member of the Oregon State Bar, having retired from law practice in 1993.
|
Home
Contact Us
|
|
Back to Top of About MTNW
Home
Contact Us
|
History
During the memorable Great Flood of 1996, the owner of Oregon's only vessel documentation service,
Joanne Whittington, USCG Ret'd., announced her retirement and her intention to leave soggy Oregon.
Nancy Walseth, a busy Portland yacht broker, heard the call of destiny. By the
time the flood waters had receded, Nancy had picked up the gauntlet from Joanne (along with her
two thousand closed files,) and entered the Dickensian world of history-laden forms and conflicting
rules known as vessel documentation. Nancy added escrow services to make Marine Title Northwest a
full-service marine escrow and closing company. She has since handled 70 to 100 transactions per
year for lenders, buyers, sellers and brokers in Oregon, along the West Coast, and beyond.
Location and Operations
The operation center of Marine Title Northwest is a private office in Southeast Portland, Oregon.
Most closings occur via fax. eletronic transfer and mail. Meeting and in-person closings take place at
our (otherwise unmanned) satellite office in The Sailing Life building on Hayden Island, in the center
of the Portland boating community, at 260 NE Tomahawk Island Drive.
Liability Insurance Coverage
Marine Title Northwest is an Oregon-registered business name of Nancy R. Walseth, an individual,
who carries $500,000.00 in professional liability insurance. The company also carries the required
$25,000 surety bond for licensed escrow activity in Oregon.
Nancy Walseth is a 1953 vintage Pacific Northwest native who grew up on Hood Canal in beautiful
Puget Sound. Her BA is in History, from Stanford University, and her law degree is from Lewis & Clark
Law School. Her twelve years practicing law and ten years managing a yacht brokerage led Nancy to
marine escrow into which she has settled happily. On the road to this niche, over the past ten years Nancy
has handled approximately 800 yacht sales and has escrowed in the neighborhood of 25,000,000 dollars. A few
of the groups who benefit from your support of her business are the Oregon Humane Society, Humane
Society of the United States, Oregon Student Public Research Interest Group, National Resource
Defense Council, Environmental Defense Fund, World Wildlife Fund, Greenpeace, Physicians for
Responsible Medicine, Oregon Public Broadcasting, KBOO community radio, and other worthy causes.
|
|
HOW MUCH IS IT GOING TO COST?
There is tremendous variation in the jobs entrusted to a marine escrow and documentation service,
so this question cannot be answered here. Please contact us for a quick conversation and a firm quote
based upon the specifics of your transaction.
Back to FAQ Index
WHO PAYS CLOSING COSTS?
In the Pacific Northwest, generally the buyer pays closing costs, but it is not uncommon for buyer
and seller to split the escrow fee portion of those costs.
Back to FAQ Index
IS "MARINE ESCROW" LIKE WHAT TITLE COMPANIES DO IN REAL ESTATE?
Yes. Though the paperwork is different, our lien search, escrow, facilitation
and recording functions are very similar, including availability of title insurance (which has its own FAQ
below).
Back to FAQ Index
To Sample Escrows
WHAT ABOUT SALES/USE TAX? IS THE FACT THAT YOU ARE AN OREGON COMPANY HELPFUL TO ME IN
AVOIDING PAYING SALES TAX IN MY HOME STATE?
If you will be using your boat primarily in a sales tax state, you will need to pay the sales tax
(called 'use tax' if imposed on a boat brought into state from another jurisdiction) sooner or later.
For a more complete discussion, give us a call. We never give sales tax advice except to advise you
to call the relevant agency in the state of primary use.
Back to FAQ Index
CAN MY BOAT BROKER ESCROW THE DEAL INSTEAD OF YOU?
Yes, if all parties, broker, and buyer's lender, agree. This was the norm
in decades past, but as we enter the new millennium, the trend is toward
utilization of a marine escrow service when there is a buyer's lender
involved in the purchase of a documented or to-be-documented boat.
Be careful if your broker waves off questions about lost title, transferability and liens, telling
you to just call a title company after closing. Once the money is in their hands
they sometimes are less interested in solving title transfer problems than they should be.
And yes, there are some brokers who, like car dealers, get into a lot of trouble over
title transfers. If you are unsure you trust them or have not see the title, or the boat
is federally documented, it is best to bring a marine title service in to assure a secure closing.
Back to FAQ Index
WHAT DO YOU MEAN BY "DOCUMENTATION"?
Documentation is a complex federal system of identifying, tracking, weighing,
measuring liening and registering boats and ships. The system is described
in the US Code of Federal Regulations and is administered through the Coast
Guard. Most commercial vessels must be documented, and do not have to be
registered or titled with any state. Many recreational boats are also
documented, but most of them must also be registered (not titled) with
their home states.
Back to FAQ Index
WHAT IS A MARINE MORTGAGE?
Just as it sounds, a marine mortgage is a security instrument whereby the
owner of a documented boat gives a mortgage to a lender. The mortgage is
recorded with the Coast Guard's National Vessel Documentation Center,
similarly to the way that real property mortgages are recorded with the
appropriate county recorder. The USCG recording system is going digital at this writing.
Back to FAQ Index
WHAT IS "THE DOCUMENT"?
This is shorthand for "Certificate of Documentation", which must be kept
aboard at all times the boat is being operated. Prior to 1992, mortgages
and satisfactions were actually recorded on the document. This is no
longer true, though you will see mortgages recorded on the documents of
older boats which have not changed hands since around 1991 or before. The
modern document is not much more than a large registration card. The only
way for an interested party to learn of mortgages on a documented vessel
now is to obtain an Abstract of Title from the Coast Guard. This is
generally the first order of business for a marine escrow service opening
a new file. A new COD is issued each year now.
Back to FAQ Index
WHAT IS AN ABSTRACT OF TITLE?
The Abstract of Title on a documented vessel tells us who the registered
owner is and gives an up to date report on any recorded liens and mortgages.
For boats which have been documented since first sold new, the Abstract is a
complete chain of title.
Back to FAQ Index
IS THERE TITLE INSURANCE FOR BOATS?
Yes. We facilitate the paperwork and necessary research as part of the closing process.
The policy is written by First American Transportation Title Insurance Company.
Back to FAQ Index
WHY ARE PLEASURE YACHTS DOCUMENTED?
With the advent of mass production of fiberglass boats in the 1970's came
a new market for consumer financing. Lenders were accustomed to the federal
documentation system from centuries of commercial marine lending. Therefore,
it was natural to require recreational boat buyers to document their boats.
On a movable collateral, a federal system with the US Marshall standing
behind it was appealing and still is appealing to marine lenders, most of
whom still require documentation for boats over a certain size or loan
amount.
Back to FAQ Index
HOW DOES DOCUMENTATION BENEFIT THE BOAT OWNER?
Once a boat is paid off and is no longer the subject of a marine mortgage,
most owners still keep the boat documented, for one or more of these
reasons:
- It's free to stay documented;
- You don't have to apply state numbers to the hull;
- Prestige, tradition, pride, history, chain of title kept in one place;
- Easy entry into foreign ports, whereas entry is sometimes disallowed
if vessel is state titled (depending on the country).
Back to FAQ Index
CAN ANY SIZE BOAT BE DOCUMENTED?
No. Recreational vessels may be documented ONLY if they meet tonnage
requirements (generally, about 26' or longer, but each type of boat has a
different formula). Call us with your boat's specs.
Back to FAQ Index
CAN FLOATING HOMES BE FEDERALLY DOCUMENTED AND MORTGAGED?
Watch this space or give us a call if interested! We are working on this question.
Back to FAQ Index
WHAT ABOUT UN-DOCUMENTING A BOAT?
We undocument boats regularly, and we document state-titled boats regularly,
for our customers. However, MTNW does not recommend unnecessary shifting
of a boat from one system to another. To the extent possible, chain of
title should stay in one place.
Back to FAQ Index
|
Back to Top of FAQs
Back Home
Contact Us
|
|
Back to Top of Sample Escrows
Home
Contact Us
|
At Marine Title Northwest, we live and breathe by the chronological checklist that we
distribute to the parties in letter form soon after we are retained.
No two deals have identical checklists. These samples are only intended to give you an
idea of what happens between offer and closing. They do not address, for instance, the
sales tax which is a part of many Pacific Northwest boat deals. They also do not mention
vessel title insurance quote which is available to virtually every customer and provided
as part of our closing process in many cases. (Note: If you feel are starting to feel
drowsy, Return to Home Page now.)
Sample Escrow #1.
New boat purchase - Buyer borrowing* for purchase of a new boat
Buyer chooses a boat; Buyer makes deposit to Dealer; Lender approves Buyer for loan;
manufacturer delivers boat to Dealer; Dealer commissions boat to customer's specifications;
Buyer checks out boat and schedules loan closing; Lender contacts Marine Title Northwest;
MTNW ascertains the information needed from the Lender and Dealer; MTNW prepares paperwork
to coincide with scheduled loan closing, and transmits documentation paperwork, including
marine mortgage, to Lender; Lender closes loan with Buyer and obtains payment and signatures
from Buyer for MTNW, and forwards signed papers to MTNW via mail; lender wires loan proceeds
directly to Dealer, Dealer forwards to MTNW the Builder's Certificate (and Bill of Sale if
applicable); MTNW records papers, including marine mortgage, with Coast Guard; Coast Guard
returns document and recorded mortgage to MTNW; MTNW forwards document to Buyer, and recorded
mortgage to Lender; MTNW obtains appropriate State registration but not title (State registration
is not needed for securing of lien, just to comply with State registration rules.) Upon payoff
of loan, or refinance, Lender calls MTNW to obtain a form of Satisfaction of Mortgage, to complete
and return to MTNW for recording.
*If buyer paying cash, disregard references to Lender.
Sample Escrow #2.
Used boat purchase - Buyer borrowing* for purchase of a brokered, documented boat
Buyer settles on a boat; Buyer makes deposit to broker; Lender approves Buyer for loan;
Boat is surveyed; Buyer OK's boat and schedules loan closing; Lender contacts Marine Title
Northwest; MTNW faxes request to Coast Guard for Abstract of Title; MTNW ascertains the
information needed from the Lender and Dealer; MTNW receives Abstract of Title and confirms
marine mortgage of record; MTNW prepares paperwork, including Escrow Instructions for
parties to sign, to coincide with scheduled loan closing, and transmits documentation
paperwork, including marine mortgage, to Lender; MTNW obtains pays off quote from seller's
lienholder, prepares appropriate bill of sale and contacts Seller, arranges for seller's
notarized signature on bill of sale; Lender closes loan with Buyer and obtains payment and
signatures from Buyer for MTNW, wires loan proceeds to MTNW, forwards signed papers to MTNW
via mail; MTNW pays off seller's lien and disburses in accordance with Escrow Instructions,
records papers, including marine mortgage, with Coast Guard; Coast Guard returns document
and recorded mortgage to MTNW; MTNW forwards document to Buyer, recorded mortgage to Lender;
MTNW obtains appropriate State registration but not title (State registration is not needed
for securing of lien, just to comply with State registration rules.) Upon payoff of loan,
or refinance, Lender calls MTNW to obtain a form of Satisfaction of Mortgage, to complete
and return to MTNW for recording.
*If buyer paying cash, disregard references to Lender.
Sample Escrow #3.
Used boat purchase - Buyer borrowing* for purchase of Seller's free and clear State-titled
boat which lender is requiring buyer to document
Buyer chooses a boat; Buyer makes deposit to Broker; Lender approves Buyer for loan; Boat
is surveyed; Buyer OK's boat and schedules loan closing; Lender contacts Marine Title Northwest;
MTNW obtains lienholder status from the relevant State agency; MTNW ascertains the information
needed from the Lender and Broker; MTNW prepares paperwork, including Escrow Instructions for
the parties' signatures, to coincide with scheduled loan closing, and transmits documentation
paperwork, including marine mortgage, to Lender; MTNW prepares appropriate bill of sale and
obtains seller's notarized signature; Buyer wires down payment to MTNW, Lender closes loan
with Buyer and obtains payment and signatures from Buyer for MTNW, Lender wires loan proceeds
to MTNW and forwards signed papers to MTNW via mail; MTNW disburses according to the parties'
instructions, records papers, including marine mortgage, with Coast Guard; Coast Guard returns
document and recorded mortgage to MTNW; MTNW forwards document to Buyer, recorded mortgage to
Lender, and surrenders original title to the relevant State agency; MTNW obtains appropriate
State registration but not title (State registration is not needed for securing of lien, just
to comply with State registration rules.) Upon payoff of loan, or refinance, Lender calls
MTNW to obtain a form of Satisfaction of Mortgage, to complete and return to MTNW for recording.
*If buyer paying cash, disregard references to Lender.
Sample Escrow #4.
Used boat purchase - Buyer borrowing* for purchase of presently documented, presently
mortgaged boat from private Seller, Buyer desires to remove from documentation and title
with State
Buyer reads ad, calls Seller, visits boat, makes offer; offer is accepted by Seller; Buyer
and Seller write up a simple contract with conditions of survey and test sail; either party
contacts MTNW; Buyer sends agreed deposit to MTNW; MTNW opens escrow account; Lender approves
Buyer for loan; Boat is surveyed; Buyer OK's boat and schedules loan closing; MTNW faxes request
to Coast Guard for Abstract of Title; MTNW ascertains the information needed from the both
Buyer's and Sellers' Lenders, Buyer and Seller; MTNW receives Abstract of Title and confirms
one marine mortgage of record; MTNW prepares paperwork, including Escrow Instructions,
to coincide with scheduled loan closing, and transmits documentation paperwork to Lender;
MTNW prepares appropriate bill of sale and obtains Seller's notarized signature on that as
well as payoff authorization; Lender closes loan with Buyer and obtains payment and signatures
from Buyer for MTNW, Lender wires loan proceeds to MTNW and forwards signed papers to MTNW via
mail; MTNW pays off Seller's loan and disburses balance in accordance with Escrow Instructions,
MTNW files papers with Coast Guard; Coast Guard returns letter releasing vessel from documentation
to MTNW; MTNW forwards that letter to relevant State agency along with application for vessel title
showing lender as sole lienholder. State agency sends title to lender to hold until payoff at which
point lender signs off title and sends to Buyer.
*If buyer paying cash, disregard references to Buyer's Lender.
NANCY'S WRAP-UP COMMENTARY ON OUR ESCROW SAMPLES...
The above examples are generic and oversimplified. It would be impossible to describe every
combination of factors that could exist in any one boat deal. Here are a few complications we
have dealt with over the years which were not described in the above samples: Lost title, chain
of title problems, deceased registered owner with probate court and attorney involvement, a
missing owner, multiple trade/stepped transactions...possible complications range from the
common to the extraordinary. But even the biggest challenges are usually surmountable.
|
|
Clarify, Organize, Follow Through
|
Our Motto
|
|
