Factors to Consider When Buying a Yacht
One of the most important factors when buying a boat or yacht is its price. Even if you are getting great discounts and deals on a boat, there are several other cost factors you must consider. Whether you are buying a new or used boat, there are many expenses that should be taken into account. An easy way to determine your boating budget is to factor in all the following expenses and choosing one that does not leave you in debt.
Price of purchase
When considering the initial purchase price, you are obviously looking for the best price, especially for a large expense like yachts. To get the best price on a yacht, it is wise to look around and visit several dealers to understand the ideal price range for the yacht model of your choice. It is also important to understand that dealers who offer a full range of services . If you are considering buying a used boat, it is helpful to refer to the appraisal guide from the National Automobiles Dealers Association (NADA) with a varying margin of error up to 15%.
NADA only lists boats and yachts on the appraisal guide if more than 200 pieces have been produced by the manufacturer. When considering purchase costs, don’t forget to add additional finances for insurance. In fact, you can even explore boat loans and get insurance quotes before you purchase the yacht.
Operation costs for boats vary depending on the type and size of the boat. One of the biggest operational costs you will experience when owning a yacht is fuel. Before you purchase the yacht, work out the optimal and economical cruising speed and fuel efficiency to determine the average expenses on fuel. You should also take time to estimate your expenses on marina fuel and yard costs, especially if you plan on purchasing a trailer boat. You should also determine where you will store the boat. If you plan on storing your boat at a store or marina over the winter, you should factor in these additional expenses.
Regardless of the type of boat you purchase, maintenance is a must. Maintenance costs of the yacht will depend on its type and size. If you are willing to splurge on maintenance, you can purchase more luxurious yachts or opt for low maintenance boats. Boats with simple and strong construction require only washing and are easy to repair. Luxury yachts on the other hand require a complete maintenance crew. Factor in additional charges to pay cleaning professionals, emergency repairs and cleaning supplies.