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chijs · 08-05-2020, 14:06

Just saw my broker in the marina (I'm in Vancouver, BC). He told me sales in the 40-60 ft range have been decent over the past 2 months and prices of some of 2nd hand sail boats are higher than ever before, simply because the waiting time for new boats has gone up a lot because of Corona (I think he mentioned 1.5 years for a new Beneteau right now).

ArmyDaveNY · 08-05-2020, 14:14

The article is very interesting however there is a lot of information that is not presented, some of which is unknowable at this point in time. First, while the article mentions the price range of the used boats that sold, it does not mention whether these prices represent an increase in the prices of sold boats, a decrease, or no change.

Second, we don't know whether this will be a short term quirk or a trend. It is also possible that these sales are coming at the expense of other sales. Someone else mentioned that orders for new boats have a significantly increase lead time.

I would also be interested to see if campers/caravans, RVs, and similar items are seeing a corresponding increase.

Thanks for posting this interesting link.

Hunterdog · 08-05-2020, 14:20

Quote:

Originally Posted by alansmith

Lorren, thanks for the link. It is interesting thing. I would have thought the opposite also. I thought that so many people out of work and a damaged economy for quite some time...that boats would be sold off by those who can't afford the upkeep. Secondly, in California it is a lesson in futility trying to find a slip for liveaboard status. So, even if you could buy a boat...which is one thing...and trying to find a liveaboard slip is another thing.

People dump things when they can't afford them any longer. I am sure there are a lot of marinas seeing non payment for slips these days. Hard question...do I put food on the table or do I make my slip payment...my insurance payment on the boat...the diver's fee for cleaning the bottom?

I’m cruising...now in the canaries...and everyone here is itching to get back on their boats, nothing being sold. The only ones hurting are the tourists boats. But I USED to have a 42’ in Alameda. Not a livaboard space, but the rules are such that if you have a real address, you could almost livaboard. And with summer coming, what a GREAT way to spend it locally.

I also bought RV maker stocks, and they are going up like crazy. Can’t go to Disneyland...and it doubles as space to house the cousins when they come...Besides, our socialist government just made all rentals free, so who wants to invest in real estate now???

Boat insurance is gunna LOVE this disaster, cause all the boats are just sitting right now...couple of months of NO movement is going to be a huge boon for having no claims.

SqPeg · 08-05-2020, 14:22

Broker here. I have been busier than last year. Biggest hang up is travel jitters and closed marinas.

wolfychef · 08-05-2020, 14:50

I have been actively pursuing a boat for the last year or so, so I was already in conversations with brokers, and I have been speaking with people in the charter industry when this disease broke. From recent conversations it would seem to depend on where you are geographically. Boats are continuing to sell in south Florida at a fair clip. As has been stated on other forums discussing boat prices, at first, only the most leveraged will be forced to make decisions about their sell price. Though meanwhile in the $400k and up market, a number of boats are selling with only a live video walk thru, and survey, sight unseen. some boats are being planned to move to south Florida from the Caribbean to better the sale chances. There may be a bit of bravado being employed when you speak with some of the professionals and some of it is to be sure putting on a brave face, most are trying to envision where we will be in a year from now both economically, and socially. Many people being sequestered in their homes with "the fancy thinking box" glowing on the desk, and not much else to do, are boat shopping, so interest is way up. I struggled financially after 2008, and it took a number of years to recover. People are affected then, as now. In 2008 if you were in a decent position financially you probably came out okay, but everyone was stuck right where they were when the economy collapsed. This time I had prepared for turmoil due to some of the indicators from the economy, as well as being a volatile election year in the states prior to covid, so am able to continue my plans for purchase. I am sure that for some people, this current situation might have knocked some potential buyers off of the fence and moved them to act, maybe not the best way to be motivated into making a purchase. I think that there may also be a number of people like myself who were already there, so are still moving forward. It is an interesting phenomenon to hear from friends in yacht sales meetings that a steady amount of boats are going to close. Add in lowered interest rates on loans and that adds to the mix as well. The insidious effects of the pandemic are all happening very quickly, as opposed to making a significant purchase like a boat, which require a slower more methodical approach. Stuck at home watching it all like a slow motion train wreck would push many to consider altering their lifestyles, and follow dreams. Obviously the smarter choice is to just take a deep breath and let a couple more months roll out and see if we see indicators of a second wave of infection, or for any more economic fallout indicators.

I feel so deeply for the inhabitants of these islands and places that we love to visit, and the effect of the loss of income from cruise line business, cruisers, and vacationers will have on their economies, especially those that are recovering from the destruction caused by Dorian as well as Irma, and Maria. That combined with the necessary closure of borders to help mitigate the spread will continue to have a knock on effect. Hopefully a strong continued interest in boating and boat purchasing will give these folks some assurance. As previously stated, many will need to find outdoor activities closer to home for the remainder of the season, and what could be better than getting out on the water, any water? That concern I just mentioned also follows to the many employees in the chartering industry, marinas, boat yards, sail lofts, restaurants, and bars.

If anything, speaking only for myself, the recent loss of a loved one due to covid 19, and the need for appreciation for the precious nature of our time on this world being thrust into the spotlight, has helped to motivate me to continue on my life path so I intend to go ahead with my purchase. That glass may not be full, but it's half full to be sure.

P.S. My apologies to all of you, and my grade school teacher who made me write on the board a hundred times, "I will refrain from verbosity", I never learned my lesson.

AKA-None · 08-05-2020, 14:58

Quote:

Originally Posted by CaptRory

I get that boats will give folks something to do close to home. Campers as well are a way to stay out of hotels. But I'm also amazed that they are not being very conservative with "extra" money.

Really? Haven’t been here much lately then

mawtty · 08-05-2020, 17:18

To further expand an HPEER's reply I note that an Affect is an emotion. like a chimp would respond to a threat, whereas an Effect is the result of a cause.

BM2023 · 09-05-2020, 00:19

Quote:

Originally Posted by TrentePieds

Hank, re #3

Quote: "What is a Lorren Draaier? ... eh I speak Dutch, but that word escapes me."

In 1602, the very first chartered company ever was established and was called the VOC (Vereenigde Oost-Indische Compagnie) and were referred to by the British as the Dutch East India Company.

The VOC was a very powerful organisation, as the Dutch government granted them a 21-year monopoly on Dutch spice trade.

Entrepreneurship being one of the key characteristics of the Dutch throughout the ages, you can imagine that there were entrepreneurs who thought very little of the monopoly position of the VOC and started trading outside of the boundaries imposed by the VOC.

It were these entrepreneurs that were called “Lorrendraaiers”. Although widely claimed to be pirates and active in trade in slaves, that was most certainly not the case as the slave trade was too complicated of an undertaking.

No, with their relatively small boats they limited themselves to commodities such spices, gold and ivory.

Ruso · 09-05-2020, 00:51

The "unexpected phenomenon" normally has a short life span - this is why it is "unexpected"
I don't trust brokers, magazine publications and other informational sources can be bought/seduced one way or another. I trust my daily analysts on a boats/markets(under $60K) I am watching - no significant price movement one way or another. It will take some time (at least 6 months) to sort the market out. So far I don't see any economical/social data supporting the price hike here in USA.

mvweebles · 09-05-2020, 04:28

15 min video with recent interview exchange between a trawler broker and passagemaker magazine. Basically, broker expects Q2 to be a goose egg. He gives what feels like an honest evaluation of the pluses and minuses of the market, and buyer expectations on distress sales. Mind you, he generally deals with boats in the $400k - $1.5m range.

https://youtu.be/uQzCwQ3_K7I

DavidMRea · 09-05-2020, 05:53

People dump things when they can't afford them any longer. I am sure there are a lot of marinas seeing non payment for slips these days. Hard question...do I put food on the table or do I make my slip payment...my insurance payment on the boat...the diver's fee for cleaning the bottom?[/QUOTE]

My local marina (Swansea, Wales) has waived all charges while we're in lockdown. Too bad my boat's elsewhere!

rslifkin · 09-05-2020, 06:22

I figure we'll see a combination of things: Some will sell boats they can no longer afford, some will leave them stored on land to keep costs down (that's usually fairly cheap for the summer in areas where everyone hauls in the winter), and others will have more free time and still adequate money, so they'll buy a boat.