What's a fair offer?

[Keith]

I can tell you that I'm one of those folks who doesn't respond well to a low-ball offer. One guy came to look at my last boat, and started telling me what bad shape she was in. "Very rough" among other comments. I told him to get lost. When I had my current boat on the market, some guy told my broker he "might" be interested at about $50,000 less than the asking price. I told the broker to tell him to kiss my ass. Still have the boat and that's fine with me.

At some point if I decide I must sell it, I might entertain these types of offers, but I'm not there yet!

One other thing I've learned over the years. Your boat is only worth what the cheapest similar one on the market is going for. It doesn't matter how well it's been taken care of, what equipment it has, how pretty it is... everybody will only look at the cheapest 1994 brand X on Yachtworld and that's what yours is worth too, until the other one is off the market.* People don't care about your maintenance, upgrades, etc.

 

[Tom.B]

Keith wrote:
One other thing I've learned over the years. Your boat is only worth what the cheapest similar one on the market is going for. It doesn't matter how well it's been taken care of, what equipment it has, how pretty it is... everybody will only look at the cheapest 1994 brand X on Yachtworld and that's what yours is worth too, until the other one is off the market.* People don't care about your maintenance, upgrades, etc.

You had me until this. I disagree deeply with this. A good broker and informed shopper know the difference and appreciate a well cared for boat. Thus, make offers accordingly. I was a bottom-feeder early in our shopping, but quickly realized that these diamonds-in-the-rough are VERY RARE and began specifically looking for well cared for boats that were priced fairly. That said, we did come in with a low offer, but not a LOWBALL offer. We settled on a fair price that was in line with the market, but not the lowest. I try and treat sellers as I would like to be treated. Lowball offers are insulting and very few sellers, like trying to find the other diamonds, will quickly accept offers like this.

 

[Arctic Traveller]

Keith wrote:

One other thing I've learned over the years. Your boat is only worth what the cheapest similar one on the market is going for. It doesn't matter how well it's been taken care of, what equipment it has, how pretty it is... everybody will only look at the cheapest 1994 brand X on Yachtworld and that's what yours is worth too, until the other one is off the market.* People don't care about your maintenance, upgrades, etc.

I very much disagree. When we purchased our boat, there were many similar ones for much less money.* As a mater of fact, the one we bought was the MOST expensive one on the market at the time. When I first looked at it, I dismissed it due to the high price, but after looking at all the others, I was drawn back to it due to the high level of maintenance, care, and equipment.* Meanwhile, I have kept a very detailed record of the maintenance I perform, including photos of all equipment inspected or overhauled.* I write everything I do in the log book, and can prove to a future buyer that the boat is in excellent condition even prior to a survey.* I have also labeled almost every valve, wire, switch, and gauge to make it easier for anyone to figure out. In addition, I have written a comprehensive operations manual that explains every system in detail, and how to operate them.* I have no doubt that when the time comes to sell, I will have a huge advantage over the cheapest similar model on the market.* .............Arctic Traveller

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-- Edited by Arctic Traveller on Monday 11th of January 2010 11:48:05 PM

 

[Baker]

While we can agree or disagree with Keith, I do understand what he is saying. That is what the buyers will be coming at you with...."....well I saw so and so boat for this price...". I have a boat on the market right now and I feel the sting of this.....although mine is w=one of the cheapest ones of it's type.

 

[Keith]

I think we've got a more experienced and sophisticated bunch of boat buyers/owners on this forum, so my comment may not apply to them, but it sure does to the general boat buying public.

 

[Marin]

Baker wrote:




That is what the buyers will be coming at you with...."....well I saw so and so boat for this price...".


*

In which case you tell them to buy that boat instead.* If they do, then that is what this make and model of boat is worth to them.* If they don't and keep coming back to your boat, then they obviously feel your boat has advantages of some sort over the other, less expensive one(s).* So unless you are so desperate to sell that*even the*asking price of a boat much crappier than*yours looks good to you, you make a*buyer pay for*the advantages they're getting with your boat.

I agree with Jeff that every boat is NOT worth only what the cheapest example of that boat happens to be.* Every boat has to be taken on its own merits, just like cars.* An immaculate 1955 Ford Thunderbird is not worth the same as a 1955 Thunderbird with a worn-out engine or bad paint or trashed upholsery or a rusty chassis or a combination of all of the above.* The same is true of boats.

I think the only think that narrows the value gap between a really good example of a particular make and model of boat and a poorly cared for*boat of the same make and model is the pressure--- self-induced or otherwise---*on the seller to sell.

 

[Forkliftt]

An informed buyer, one that has studied yachtworld and other resources, I think- falls into two purchase categories. He either has studied the market to be able to pick out the cheapest available vessel in the design he wants OR he has studied the market to pick out the best example of the vessel he wants. If he wants the best- then the broker or seller needs to make it obvious to the potential buyer why it is the best example. Electronics, oil samples, upgrades and maintenance documentation would be examples of this. This buyer will pay more in my experience (with machine sales). He has the funding to buy the best. He just needs to be able to justify to his buds why he spent extra. The buyer looking for the cheapest vessel in town will never be a good fit unless you , as a seller, categorize your vessel as "the cheapest one available". I hope I never have to sell in this category.
By far, the best is the uninformed buyer You tell him what he needs- of course based on what you have to sell!!

 

[Baker]

<<"the cheapest one available". I hope I never have to sell in this category.>>

Forky, I never SELL in that category.....I BUY in it!!!!!

-- Edited by Baker on Monday 11th of January 2010 11:22:20 PM