Boat transactions usually involve large financial investments. Transactions today usually exceed $500,000, and in some instances can exceed $5,000,000. If you had a $500,000 income tax problem, would you attempt to handle it without the help of a CPA? If you had a $500,000 legal question, would you deal with it without the help of an attorney? Considering the small upside cost and the large downside risk, it would be foolish to consider a deal in yacht brokerage without the professional assistance of a qualified Yacht Broker.
But if you are still not convinced of the value of a Yacht Broker, here are a dozen or so more reasons to use one.
When Buying A Boat
Professional Yacht Brokers have resources available to them that most yacht buyers do not have. In particular their access to sophisticated and reliable multiple listing services can save time in narrowing the field of yachts that meet a buyer’s requirements. A broker’s participation in professional yacht brokerage associations also provides the connections necessary to find those boats that are not yet on the market or that are not being actively marketed by their owners.
The Result: You, the buyer, have a qualified list of yachts to choose from and more time on your hands to look them over.
A Yacht Broker can assist in the selection process by helping the buyer clearly define his yachting requirements and by providing objective information needed to evaluate each yacht. Sometimes it is necessary to have that more objective point of view.
The Result: You the buyer, have a better understanding of what you want and need and a list of pros and cons to help with that final decision.
Yacht Brokers can help in the negotiation phase of the project. There are myriads of negotiating factors, including but not limited to price, financing, terms, date of possession and often the inclusion or exclusion of repairs and furnishings or equipment. There may be give and take associated with every step and often it is good to have an objective, experienced broker to help sort it all out, to prepare a purchase agreement and to manage the escrow.
The Result: A smooth closing.
Yacht Brokers can provide local information on different yacht services, such as, engine repair, dockage, and inspection services.
The Result: Quality and affordable services.
An experienced and professional Yacht Broker will advise the buyer throughout the due diligence process of evaluating the chosen yacht. Recommending the extent of the survey to be used in the inspection and helping to identify the most qualified individuals to conduct the surveys are two key functions of a knowledgeable and experienced broker during this phase.
The Result: A clearly defined survey report to ensure that the buyer gets what is paid for.
The Yacht Broker can assist in yet another step in due diligence process, making sure that the title to the yacht is clear. Title indicates ownership of the yacht and can be mired in a confusing status of past owners or rights of access. If the yacht is a foreign flagged yacht, set up as a corporation, or existing under any number of other special circumstances, the services of a professional yacht broker will become even more valuable.
The Result: A smooth closing and clear sailing for the buyer.
A Yacht Broker can help the buyer understand different financing options and aid in determination of actual buying power. Given some basic information about available savings, income and current debt, the broker can refer the buyer to the lenders best qualified to provide the necessary service.
The Result: Long term financial stability for the buyer.
A Yacht Broker will guide you through the closing process and make sure everything flows together smoothly.
The Result: A happy buyer.