Hi James and welcome to the forum.
Regarding waterproofing. How is the exterior going o be finished?? A quick google shows something with veneered sides. If this is the case, then having planked and then veneered the hull, a few coats of marine varnish will do. For the inside, probably I sould paint this with resin of some sort, various types out there…Z-poxy or something similar. This will also stiffen up the hull a bit. HOWEVER, different people have different ideas about this.
The 380 is a fine motor for the price, of for a pound or so more, a speed 400 would look less cheap and provide a few extra watts of power. On a 7.2 Nimh pack this should give all the performance you need, as per Malcolm's post. A speed 480 is a faster motor, same diameter and mount but a tad longer..
OR go brushless but you may end up with way too much power for the style of hull.
Ashley