ah, I see. you weren't actually interested in learning the legal definitions of those terms. you just wanted to deliver a 'clever' rhetorical question before delivering your same-old same-old tired rant against anyone who doesn't boat how you want them to.
I am sorry it fell flat. ( not )
Yes, thank you, despite your sneer I have actually read that passage. Unlike you I have understood it. 'bona fide used for navigation' means a vessel whose purpose is other than moored permanently in one place. 'bona fide' in this context refers to the fact that it is possible to move (navigate) a houseboat ( by towing for instance ) from one mooring to another.
You have also failed to understand the definition of 'place'. It is obvious from your little rant that this is intentional. After all, your nastiness would be meaningless without it.
As I say, there is no confusion. There are simply attempts to make a simple set of conditions mean something other than they were intended to. This is not confusion.