Tatl tells you to go home, you leave on Epona, and in the credits Link is shown in a place that looks just like the Lost Woods from the start of the game. So no, I doubt he sailed.

Also, for LA to happen, Ganon has to be killed. The Manual specifically says you have killed Ganon, and the people worry that he could rise again from his ashes.
Ganon is not dead on the chlid timeline after MM.

__________________

Bomber's Notebook | Secrets of the Minish Cap Library | Theorizing Resources | Aralith's OoT Retelling
Voted as Best Zelda Theorist in the Summer '08 Awards. Thank you to all who voted, and to all who inspired me along the way!