Buying a Boat

December 19, 2005
By David Bryant

Buying a Boat

Should you buy new or used? There are pros and cons to each, especially for first-time buyers. There’s quite a bit more to look for when buying a used boat than buying a used car. If you don’t know what to look for you could be in for trouble… Additionally, you will get a nice warranty when you buy new. Repair costs in the boating world are, to say the least, horrendous! The main advantage to buying used is of course price. If you can’t afford new then there may be no other choice but to buy used. Even if you can afford it, if you decide boating isn’t for you, do you really want to be stuck with the enormous depreciation you’ll face if you have to sell? If you are a first-time buyer and decide to go used make sure to have someone who is boat-knowledgeable look at the boat before you commit to buying.

Try to take at least three boats for test runs. Each make and brand runs differently and will appeal to you in different ways. This is another drawback of buying used: convincing a private party to let you take a test-run without a hefty deposit can be tricky.

If you buy in the summer, prices will naturally be higher. However, you will not have certain inherent off-season costs such as the price to winterize your boat, store it, etc. During the winter, or when approaching winter, prices will generally be lower. Furthermore, dealer’s often have considerably more flexibility on their sticker price when faced with the threat of having to hold on to a boat for an entire winter.

In the North American boating world, there are generally three recognized price guides: the BUC Used Price Guide, the NADA Marine Appraisal Guide, and the ABOS Marine Blue Book. Knowing which ‘blue book’ value your dealer is going by only gives you more leverage when negotiating. Instead of purchasing one of these expensive books (upwards of $100 each) ask a local marine insurance agent if you can see a copy of theirs. More conveniently, the NADA guide has an excellent website that allows you to check boat values for free (http://www.nadaguides.com/).

I’m a big advocate of eBay. I have found prices for boats on eBay are around 30-60% less than you will find in your local paper or dealer. People selling on eBay are usually looking to offload their boat quickly rather than valuably resulting in the great deals. What’s the catch? Sometimes the boats can have minor to severe problems. These should be listed clearly in the boat’s description though and quite often there is nothing wrong with the boats. More frequently, the most significant catch will be that it can be difficult to find a boat in your immediate vicinity. You may have to drive a few hours to pick the boat up. In boat-pricey markets such as California and Washington State, you can get amazing deals on less pricey markets on the east-coast if you’re willing to make the drive. If you have the time, you can literally save thousands.

Buying a boat can be a formidable task but don’t let this intimidate or deter you. If you do your research, determine if boating is for you (if you’re a first time buyer), and bring your wits with you to the bargaining table and you should have an easy buying experience!