Finding A Good Ship Through A Yacht Agency Is A Good Investment Key
When people say that they want to buy a new boat, what they are really saying is that they want to buy is a used yacht that will be new to them. A brand new yacht is usually out of the price range of most income classes, but a nice fixer-upper can be a great bargain. A used boat needs a lot of work and can be bought for a way bit less up front. The main cost to the boat will happen during the refit but this will be a process of love that will develop over the lifetime of the project.
In the process of looking for a boat, it is good to know that even though it is a buyer’s market out there right now, most boats have depleted in value so quickly that most owners can’t even sell their boats because of debt already accumulated. Finding a good ship through a yacht agency is a good investment key.
The next step is doing the research into how much rehab is going to cost. Spend time doing some due diligence and knowing how much of the refurbishing can be done yourself and how much work you will have to contract out. Some good yacht brokers will have list of credible surveyors and mechanics to work with for the boat repair.
It is also important to understand the 30/70 rule about buying a used yacht. This rule comes down to the simple fact that 30% of the purchase will be the boat and the other 70% will be the cost of the upgrades. The overall price of purchase must account for both the purchase and the refit. Many first-time boat buyers don’t count in money for the refit and end up with a boat stuck on the dock.
If a boat is over fifteen years old, there is a good chance the engine needs to be replaced. Even if it doesn’t feel that way at first, every boater eventually pays the “engine piper”. When buying a used yacht, always consider whether to rebuild the engine or get a new one. Leaving an engine up to chance is not a smart idea for new owners.