Buyer Beware!

Buyer Beware

I believe in giving credit where credit is due and for that I need to thank a salesman from a very large and well-known yacht sales organization based down here in the south Florida for giving me the literary sense to write this post. Last Wednesday I decided to swing by Sailfish Marina for lunch on my way from Miami to Stuart and let me take a brief moment to recommend the nachos for an appetizer followed by the red snapper, garlic mashed potatoes and vegetable melody. Now back to the topic at hand... As I sat and watched the yachts roll in I couldn’t help but eavesdrop on the table just over my shoulder. There sat a well-dressed couple with a gentleman who was talking a good line on what yacht the couple should purchase as their retirement investment. In all honesty I must say that the brokerage representative was truthful in most of his answers, more often then not this not the case.

Buying a boat is a big task regardless of the size yet the larger you go the number of things you need to factor into your purchase increases. More likely then not when you’re ready to buy you’ll need to contact a brokerage to help you secure your new ride and much like car dealers, yacht brokerages are in business to make money and will do what is necessary to make the sale (and a commission!) However, as previously mentioned they are a necessary evil and you best bring your common sense and bargaining skills when it comes time to crunch some numbers. But before we put you at the helm of your new toy, home and INVESTMENT, lets go over a few of the basics that you’ll need to consider.

§ What are you looking for? As someone who is currently in the process of trying to sell two boats I can tell you that the main thing I’ve learned is that people are mostly indecisive because they don’t know what they want. Boats of any size are built to serve two primary functions, which are fishing and cruising. Ask yourself what you want to do but find a boat which will allow you the comforts you want at the right price for you. Also keep in mind that some boats were designed to suit the needs of owners based on their geographic location hence “Carolina Flare” or “Florida Go Fast.”

§ Be prepared to spend more then you had planned- The best way I have ever heard boat ownership described is as follows: “Being a boat owner is like having a special needs child attached to your hip who needs specialized care and treatment yet at the end of the day you love it unconditionally.” Nice boats start in the low to mid six-figure range and really nice boats have no set price tag. Keep in mind that you get what you pay for and if you nickel and dime it on you initial purchase the boat will nickel and dime you forever. Look at it this way; if you’re going to spend $2,500,000 on a boat, what’s $2,700,000?

§ Get a second opinion-While we all want different things we all can usually miss something which we kick ourselves for later on down the road. Bring a friend along who has some experience at the helm and have them ask some tough questions of the broker. You’ll catch he or she off guard and you may very well catch them in a lie. Grab a friend with some mechanical sense since that is exactly what boats are, machines. Have him stick his head down in the engine room, get a look at the electrical panels and see if the electronics need to be updated. Also speak to some owner’s of the particular brand of boat you are looking to buy that the manufacturer does NOT reference you to. Nine times out of ten you’ll hear that people are satisfied but it doesn’t hurt to listen to their woes either. Remember, nothing in the world is perfect but if you see a guy holding a sign in front of a brokerage saying don’t buy model x from salesman y, he’s definitely worth having a cup of coffee with.

§ Do your homework!!! This is probably the most important thing you can do when you’re serious about buying. Check everything from how many coats of glass are applied, to how many hours are on the engines. Is their a reason the boat has been repowered three times in the last 5 years? (More like find a new boat) Also stop by every manufacturer you can to see the operation. Some of the best boat builders I’ve ever met have their operation based in a wooden shed in the builder’s backyard while some of the larger warehouse style operations can put out complete chop-shop boats that are sure to meet Davey Jones on the sea floor. As I’ve said numerous times no boat is perfect but trust me some boats just plain suck. If you look at the number of years a manufacturer has been in business, as with any company, it will tell you that as the years increase the manufacturer is probably doing something right. One extremely important thing to look at before singing the check is just how much this boat will cost you BEFORE you fire the engines up. Some of the larger boats I have dealings with can be five figures to insure, store and maintain. Is a professional crew necessary? Be sure that you have the resources as an owner to keep the boat in pristine shape for as long as you own her. This will not only turn the heads of those who walk down the dock but it will also increase your boat’s value should you ever decide to upgrade.

We’ve covered a few things in this post and I’m sure by now you’re ready to throw in the towel and say forget it right? WRONG! Like buying a house, buying a boat should be a new, fun experience despite the stresses that are involved. This is one process where the experienced boat owner holds the upper hand but keep in mind that we were all beginners at some point. Remember, in the end you are the one who has to push the throttles up and sign off on the expense log so do what is right for you and not the broker’s commission! Use common sense and be savvy with your negotiations. With those two last points I’m confident we’ll be seeing you at the marina in no time flat. ~