Houseboats vs. Floating Homes
If you love the water, Seattle’s Houseboats or Floating Homes might be perfect for you! Before buying either one, you must know the answers to a few questions:
Is a ‘Floating Home’ the same thing as a ‘Houseboat’ in Seattle?
No, although the word “houseboat” is loosely used to refer to any floating property, there are many important differences between Floating Homes and true Houseboats that we’ll cover here.
Do Houseboats and Floating Homes own or lease their moorage?
Most Floating Homes communities are co-operatively or condo owned with full ownership of the slips, the dock, and the water and mud, and organize themselves through a Homeowners Association (HOA).
On the other hand, most Houseboats owners lease their moorage from a marina, usually on month-to-month or annual leases. Marina owners have granted most houseboat owners ‘live-aboard status’ which is permission to live on the Houseboat on a full-time basis. This is a status the marina management can take away at any time. Lack of moorage ownership and lack of control of the ability to occupy the property on a full-time basis are some of the main reasons Houseboats sell for significantly less than Floating Homes.
What does keeping a Floating Home or Houseboat in its slip cost?
Most Floating Homes own their slip and their monthly HOA fee covers community expenses (just like a condo unit on land) such as sewer, water, dock maintenance, reserve funds, etc. Typically Floating Home owners pay monthly dues of $600/mo, on average. The highest HOA dues are about $1200/mo. Houseboats typically pay a “slip fee” and a “live-aboard fee” to their marina landlords. Houseboats pay an average of nearly $1,000/mo to lease their slips, with some paying nearly $2,000/mo.
In Floating Home communities, the decision to raise the monthly dues or levy a special assessment for specific improvements or repairs is jointly decided by the Homeowners Association. Unlike condos on land, special assessments for repairs or improvements to the community are rare. In a condo community on land, the buildings’ roof, siding, windows, balconies, etc, are almost always shared expenses, whereas only the dock and part of the utility infrastructure are commonly owned in Floating Home communities.
Where are Houseboats and Floating Homes located?
Nearly all Floating Homes and Houseboats in Seattle can be found on Lake Union in the neighborhoods of Eastlake, Westlake, and Northlake or on the waters of Portage Bay. Floating Homes in Seattle are located in designated community docks, while Houseboats are located in recreational and commercial marinas, next to powerboats and sailboats. Prospective buyers quickly understand that living in a recreational or commercial marina is different from living on a Floating Home dock.
How do utilities work on Houseboats and Floating Homes?
Electricity and sewer work differently on Floating Homes than on Houseboats. Floating Homes have electrical service comparable to homes on land, typically 200 amps. On the other hand, most houseboats in Seattle use a 30-amp electrical connection, similar to what an RV or a sailboat would use. Houseboat dwellers need to be conscious of how they use their appliances because a 30-amp connection is not enough to simultaneously power a heater, a blow dryer, and a microwave.
As for sewer, all Seattle Floating Homes must be connected to the city’s sewer by code, just like a home on land. Houseboats have a blackwater holding tank onboard that collects toilet water (just like powerboats or sailboats). A local pump-out company such as Pumpout Seattle can empty the holding tank once a week or bi-weekly at an estimated $25 per pump-out. Water from showers, sinks, and washers drain directly to the lake (like powerboats and sailboats), so it’s crucial for Houseboat dwellers to use eco-friendly products.
Can I move my Floating Home or Houseboat to another slip?
Floating Homes cannot easily be moved without undergoing an expensive and laborious process to detach them from the dock. Tugboats, divers, electricians, and other specialized contractors are required to remove them from the dock and disconnect their utilities. Neighboring floating homes also need to be detached to allow a floating home to be moved because (unlike recreational marinas) most floating home docks are not built with water channels wide enough for floating homes to pass. Floating Homes at the end of the dock sell for a premium because no neighboring floating homes need to be moved to allow them to pass. Also, a lengthy permit process with Seattle’s Department of Construction and Inspections is required when moving to a new slip or swapping slips, not to mention approval from Home Owner’s Associations (HOAs).
Houseboats are much easier to move. Seattle Houseboats used to be navigable vessels. In 2014, they were officially recognized as legal ‘residences’ by the City of Seattle and discouraged from being used as vessels. Few Houseboats these days have engines, but they can be easily towed because they are small, have quick disconnect utilities, and are moored in recreational marinas with wide enough channels to navigate into the lake. You’ll regularly see Houseboats being towed around the lake for a trip to the boatyard every few years for hull inspections. However, you’ll rarely see Houseboats moving to a different slip due to the scarcity of available live-aboard slips in Seattle’s marinas.
How large are Floating Homes and Houseboats in Seattle?
On average, Floating Homes have three times the interior living space as Houseboats and twice the number of bedrooms and bathrooms. The average Floating Home has 2 bedrooms, 2 bathrooms, and 1,100sqft, while Houseboats have only 1 bedroom, 1 bathroom, and about 375 sqft. Almost all Houseboats are rectangular in shape as they were built to fit in common marina slips meant for sailboats and powerboats. Floating Homes are more squarer in shape.
What keeps Floating Homes and Houseboats afloat?
Most Floating Homes float on old-growth logs, supplemented by styrofoam blocks and plastic barrels filled with air. A minority of floating homes – typically those built after the 1970s – have concrete floats instead of logs. On the other hand, most Houseboats have hulls made of out fiberglass (like sailboats and powerboats), which are reinforced on the inside with wood. Newer Houseboats are built on more durable hulls such as aluminum and steel.
The type of float influences the type and frequency of maintenance, durability, and, therefore, sales prices.
Do Floating Homes and Houseboats in Seattle require a lot of maintenance because they are on the water?
Floating Home maintenance has a lot in common with land-bound properties. Components above the water line, such as the roof, siding, and windows, will need the same maintenance at the same frequency as a home on land. Below the waterline is where the maintenance differs. Depending on the type of flotation, we recommend hiring divers to inspect the float every 5-10 years. The divers will check the condition of the sewer line, water line, and the components of the float itself, which can include the logs, concrete foundation, Styrofoam, stringers, and joists. The most common work divers perform is replacement of floatation barrels to level out the Floating Home, especially when they change owners.
Houseboats require more maintenance than Floating Homes and properties on land. This is because most Houseboats float on a hollow hull constructed out of fiberglass over wood, which requires painting every 3-6 years. This “bottom-paint” requires the home to be towed to a boatyard where it is hauled out of the water. Houseboats with hulls constructed out of aluminum do not need to be bottom painted and rarely need to be taken to a boatyard. A diver can inspect and replace the sinks on aluminum hulls without moving the Houseboat.
All Floating Homes and Houseboats in Seattle are found on freshwater lakes, which are quite gentle on floating property. Seattle’s Lake Union and Portage Bay – where all Floating Homes and Houseboats are found – are sheltered from the wind and major storms due to the surrounding geography. Due to the small size of these bodies of water, there is minimal wave action, even in high wind.
Overall, Floating Homes require less maintenance than Houseboats.
How do inspections work when purchasing a Floating Home or Houseboat in Seattle?
Floating Home: In addition to a home inspector – ideally one with experience inspecting floating homes – a floating home buyer would also hire a dive inspector to examine the flotation.
Houseboat: Marine surveyors inspect Houseboats. If you are buying a Houseboat that has not been surveyed in the last 2-3 years, it is recommended that you do a complete marine survey. For the surveyor to inspect the condition of the hull below the waterline, you’ll also need to hire a boat towing company and a boat yard. Typically the buyer pays for the surveyor and the boat yard haul-out, and the seller pays for the towing. Each party pays about $800, depending on the size of the houseboat.
Are new Floating Homes or Houseboats allowed in Seattle?
Seattle has a cap on the number of Floating Homes (525) and Houseboats (250), all of which have been grandfathered in. To build a new Floating Home or Houseboat, one must be destroyed or moved/sold outside of the City of Seattle.
Do Floating Homes and Houseboats appreciate? Are they easy to sell?
As the City of Seattle grows, there will always be a fixed number of Floating Homes and Houseboats. The growing buyer demand for urban waterfront living has led to a rapid increase in the value of these properties in the last 10 years. Due to the ownership of the moorage, Floating Homes have appreciated at a faster rate than Houseboats. Keep in mind, Floating Home living is a lot like living in a home on land, while Houseboat living is closer to living on an actual boat. Because of this, Floating Homes appeal to a broader pool of buyers, and they sell quicker than Houseboats, despite a higher price tag on Floating Homes.
How much do Floating Homes and Houseboats cost?
Due to the many differences mentioned above, the median price of a Floating Home in Seattle is around $1,400,000, compared to around $400,000 for a Seattle Houseboat.
Do I pay sales taxes when purchasing a Floating Home or Houseboat, like buying a car or a boat?
No. Floating Homes and Houseboats are treated as Personal Property within King County, whereas cars and boats are registered with the Department of Licensing and are subject to sales tax.
How can I tell if it’s a Floating Home or a Houseboat?
Only a handful of Realtors in the country can differentiate a Seattle Floating Home from a Houseboat, so don’t feel discouraged if you’re having difficulty telling them apart.
Here’s what to look for:
Price: Almost all Floating Homes in Seattle will be priced over $1,000,000, while Houseboats will usually be priced under $700,000. There are exceptions, of course. Small Floating Homes in leased slips with limited water views will usually sell for less than $1,000,000, but there are very few of these.
Marina/Dock: If it’s in a recreational marina with sailboats and powerboats, it’s a Houseboat. Floating Homes can only be moored in designated Floating Home sites.
Geography: Most Floating Homes in Seattle are found on Eastlake and Portage Bay. Most Houseboats can be found on Westlake and Northlake (near Gasworks Park).
Size: On average, Floating Homes have more than twice the living space compared to Houseboats. It’s usually a Floating Home if it has more than 800 sq ft.
Plaque: Floating Homes will have a numbered yellow plaque issued by the city of Seattle that reads “Floating Home”, while Houseboats will have a yellow numbered plaque that reads “Floating on Water Residence.”
How it floats: Most Floating Homes in Seattle use logs, barrels, or concrete foundations to remain afloat, while most Seattle Houseboats float on pontoons or rectangular hulls (sometimes called “barges”) made out of fiberglass-over-wood or aluminum/steel.
How they look: Seattle Floating Homes look like typical single-family homes, while Houseboats have a rectangular boat-like appearance.
Can I drive my Seattle Floating Home or Houseboat?
Floating Homes cannot be driven because they were never designed to be navigable and are permanently attached to their dock slips. They are moored in docks where the channels are too narrow for Floating Homes to leave their slip and pass through without first removing all the other neighboring Floating Homes.
Captaining your Houseboat around Seattle is like driving a car on the road without license plates, registration, or insurance. That’s because most Seattle Houseboats are classified as residences (hence the legal name “Floating On Water RESIDENCE”). Using a Seattle Houseboat as a navigable vessel will likely get you in trouble with Harbor Patrol, The Coast Guard, and the City of Seattle may revoke your FOWR plaque. As a result, virtually all Seattle Houseboats cannot be driven because they either don’t have an engine anymore or the motors do not function due to non-use or removal. From a practical standpoint, Seattle Houseboats are also extremely hard to maneuver because their stall boxy shape acts as a sail that moves the Houseboat in whichever direction the wind is blowing. If you really want to take your Houseboat for a spin around Lake Union, I recommend you hire a boat towing company to tow you around.
Can I use my pre-approval to get a mortgage on a Floating Home or Houseboat?
No, not unless you have a Floating Home-specific or House-boat-specific pre-approval from one of the few lenders that specialize in this type of loan. Keep in mind that lenders typically require a 25% downpayment to secure financing for these properties. I can help put you in touch with lenders that have experience with Houseboats and Floating Homes.
