One of your first considerations when you find a boat of interest is to do a thorough background check to make sure you aren't getting a lemon. The U.S. Coast Guard supplies information on manufacturer's recalls on particular models. If a recall applies to the boat you are interested in purchasing, ask the owner if the repair has been performed yet, or not and whether the recall is still in effect. The phone number for the U.S. Coast Guard is (800) 368-5647.

What is the fair price? When dealing with boat auctions your intention should be to get a good deal in terms of the going market value. Don't be suckered into thinking that you will automatically get a good deal at an auction. For the most part the used boat commissions are 10% on top of cost. Couple this knowledge with the BUC, NADA and ABOS used boat guides, you should get a good idea of what kind of price you should be expecting to pay. Don't get stuck in a bidding war. It is important to remember that, even if you don't win the item, the person who did is stuck with a big cost in terms of what he/she paid, not to mention all the repairs, upkeep, and storage costs they will have to pay for.

There are often other costs to consider. Does the auction require a bidding fee, or winning bidder fee? Sometimes the winning bidder will be required to pay a 10% fee, which adds a lot of cost to the final price. There are also other one-time fees like sales tax to consider, not mentioning the recurring ones like slip rental and insurance. As a general rule a boat's maintenance costs will roughly equal about 10% of the boat's total cost annually.

Make sure the boat isn't stolen by checking proof of ownership such as the original bill of sale, title, or record of ownership. It is worth your while to check with the county court to see if information about pending liens or unpaid debts is recorded.

Check the Hull Identification Number (HIN). This number identifies the builder, model and year. You shouldn't buy a boat that doesn't have this number as this number identifies whether it is lost or stolen.

What is the maximum passenger, weight, and horsepower capacity? This only applies to boats under 20 ft. This will ensure that you understand your limits before buying a smaller boat.

What is the flotation standard? Ensure that a swamped/capsized boat under 20 ft will remain partially afloat.

Fuel systems should be safe. These systems include fuel tanks, hoses, pumps and fills.

Electrical Systems, which include electrical components, wires and conductors, should all be secure to prevent fire, or explosion on gas powered boats.

Ventilation system needs to be working to ensure against fires and explosions.

The above-mentioned items are some of the most important things to check. Chances are that you do not have the expertise to ensure these items are safe, so it is critical in this case that you hire a marine surveyor who is knowledgeable in boat construction and manufacturing laws.

The surveyor shouldn't be hired by anyone except you! You want the surveyor to work for you and not the seller. Make sure that the surveyor does a complete inspection, which means the boat should be inspected in the water, and then hauled out to inspect the hull and other areas. The engine should be inspected by a marine mechanic. After the inspection is done follow up with a sea trial to make sure there are no performance issues. It must be stipulated in your contract that upon flaws, or problems during the inspection and sea trial that you can either back out of the sale, or the repairs will be taken care of by the seller. Surveys generally cost around $15.00 to $20.00 per foot.