Should You Use a Yacht Broker?

Purchasing a used motor yacht can be tricky, but going it alone can be dangerous.  See how to make the task a enjoyable and safe venture.

Introduction

The other day I returned a phone call left on my cell phone from a gentleman asking about used yachts I have in stock.  When the caller answered I identified myself and asked what I could help with regarding the used yachts he had telephoned about.  The caller right away responded that he did not want to buy a used yacht through a Yacht Broker and hung up.  I shrugged my head and wondered why he would NOT want to buy a yacht through a Yacht Broker.

If you are considering buying a used yacht, here are some things to consider.

Finding a Good Used Boat

A yacht broker will have access to information about boats you will not have or be able to get.

A yacht broker with integrity will be honest about used yachts.  If there is something wrong with a used yacht, he will inform you.  I use a disclosure to inform purchasers about troubles with the boats I represent.  If you are using a buyer’s broker, he/she will investigate other used yachts for you, and help decide which used boats are worth inspecting or considering.  He’s going to be able to talk to to other brokers about their used boats asking the right questions, and find out selective information that you would probably not get on your own.  He’s going to have access to information than you will not have making the search procedure more simplified and quicker.

What’s a Good Price?

Once that potential used yacht is located, what is a good and fair price to pay?  Using data found at soldboats.com, he’ll give you the monetary values of similar used boats bought recently.  Remember, a vessel is only worth what you are willing to give and the seller is willing to take.  Most significantly, he’ll know the motivation of the seller and lead you in making an offer that will allow you and the owner to negotiate to a satisfactory selling price.

Who Handles the Money?

Professional yacht brokers write purchase aggreements that specify each step in the purchasing procedure; the amount of time for the seller to accept the offer, the particular date by which you the buyer will either take or decline the used yacht, any particular conditions that the offer is dependent upon, and the expected closing day of the month.  The contract will also spell out your getting your deposit moneyback if you back out of the deal.

And oh yes, an offer requires a good faith down payment.  Who will hold that deposit if a transaction involves you as a buyer and the seller without a third party?  Purchasers beware!

Lien Checks

When we help in the sale/purchase of a vessel, yacht brokers complete checks to make sure you get clear title to the vessel.  Any active ship’s mortgages are paid in full.  In addition, documentations are reassigned and Bills of Sales are prepared.  When working with a yacht broker, you get the essential legal documentation naming the used boat as yours.  Buying used boat from an individual can be risky if these checks are not completed.

Getting her Home

You have located the perfect used boat and got her for a fair price; but handling a 42′ vessel has you intimidated.  She’s a pretty big yacht.  But its ok, when dealing with full-service yacht brokers nothing is left to chance.
Be sure you choose a yacht broker that will agree to assist you with learning your new used yacht as well as getting her home.  I do this with all my clients.

Choose Your Broker Carefully

Most yacht brokers are very dependable and treat their clients accordingly.  But I’ve heard many horror tales from my clients about their dealings with less than professional yacht brokers.  Many of them are out for the quick buck and could care less about you as a customer.  I have even had dealings with them myself and often wonder how they have ANY customers.  They don’t return phone calls or electronic mails, don’t seem to know very much about used boats and don’t show up for work until lunch it seems.

Be sure your selected broker is very experienced about the used vessel you think you want.  For me, powerboats, particularly trawlers are my forte.

Pick your broker carefully.  Do bit of research to determine the quality of the person you are dealing with.  Ask for character references.

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