Top Tips for Buying a Boat: A Beginner's Guide
Use our handy guide below:
Buying a boat or yacht is obviuosly a very important decision. However, the buying process can be stressful and you have to be very careful in choosing the best boat that will meet your needs. You have prepared a quick guide to guide to guide you through some of the main elements with the purchase of a boat.
A few recommendations to carry out the purchase of our boat
Choosing the boat
The first thing is to know the kind of boat that best suits your needs and budget (deciding if you want to buy a new or second hand boat). Buying a used boat in many cases is an ideal option to be able to find what you want at a more affordable price. However, you must bear in mind that after the purchase you may be forced to invest more money for maintenance, mooring, insurance, certification, wintering and other costs. It is also important to compare the price of the boat that interests you with others of the same type that are for sale.
Visit the boat
When contacting the seller, who may be an individual or a broker like Sunseeker Yachts, you should ask for all the information you need to make sure that the seller is the owner of the boat and that if all the ownership the documentation is in order. If you have the opportunity you could hire a professional who advises you on the purchase and who can detect any such problems for you.
The next step is to arrange a visit to see the boat and check if it is in good condition & good working order. You should check the appearance of the hull and deck, engine, navigation equipment, carpentry, electrical installation, tanks, kitchen, bathrooms and all other compartments. You will also need to check the safety equipment onboard and look for any signs of wear and tear. If the vessel has had any previous structural damage, the owner should notify you. Otherwise, if you detect any problems yourself you can write everything down to discuess them with the owner for any negotiations over the price of the boat.
The navigation test
Visiting and inspecting the ship is one of the most important steps in the buying process. Once you are satisfied with the general condition then you can try the boat. Both in motor boats and sailboats, the navigation test is a key moment, not only because any structural problems can be detected, but because you can verify the behaviour of the boat and how it respins to you. You can see how it behaves manoeuvring in port, you can test the navigation equipment, observe how the engine starts and you can check what speed it reaches. In this case, an expert, be it an agent or an experienced friend can help you to detect some less obvious problems. The ideal scenario would be to test it in different sea conditions.
Price and financing
To make sure that the boat you have chosen is not more expensive than the market price, you can make enquiries from similar boats and you will be well informed, this will enable you to negotiate the purchase price better. It is true that the price of used boats and yahcts can be different depending on the state and equipment, but the more information you have, the easier it will be to get an idea of the value of the boat after your visit and the navigation test. Buying a boat involves a series of commitments and generates a series of inescapable expenses, such as nautical insurance, mooring, maintenance. Therefore, it is important to consider the sources of funding and the details of your service at the beginning of the purchase process and define the necessary budget and amount to be financed.
Most second hand boats have all the necessary documentation to close the deal. The owner must give you all the possible information and the documents that demonstrate the ownership of the boat and its suitability. You can check the documentation yourselves, entrust the task to a broker who will be responsible for carrying the process and checking that all the documentation is in order.
The documents that the seller must provide are: copy of your ID; Seat sheet; CE Marking and / or Certificate of Navigability and Report of the Technical Inspection of Ships (ITB); Certificate of suitability for the installation of radioelectric equipment; Application for Authorization to Install and / or Dismantle Radio Equipment; Invoices of equipment, engines, auxiliary; Owner's manual and other on-board equipment manuals; Permit of circulation of the trailer, if it is the case.
Pre-purchase inspection or inspection
The report of an expert can help us when deciding to buy a boat.
In many cases, hiring a pre-purchase inspection is the safest thing to do before deciding to buy a yacht or boat. If you have doubts about the state of the ship, if the ship is in a distant port and you do not have the possibility of visiting it personally or you are simply not an expert, you can hire a naval expert who will visit the ship, examine it and provide you with a report to help you make a decision.
In any case, you must keep in mind the costs and conditions of the nautical insurance that you want to hire before instructing the naval expert, since the requirements of the insurers may vary and you may ask for additional checks after the inspection is completed.
Contract and administrative formalities
If you have arranged an inspection, the expert's report will help you to include in the contract all the details about the state and equipment of the boat. It would also be a good idea to hire a professional to draft the contract for the transaction that you are making.
It is necessary that you speak with nautical insurance agency to negotiate new insurance cover that includes all the necessary coverages for your boat. You will also have to define what type of insurance you need. Marine liability insurance offers coverage for the risks of death or personal injury of third parties, damage to third parties, economic losses that may be caused to third parties and damage to ships by collision or contactless. These coverage can be extended with voluntary insurance, which should include the following risks: own damages, occupants, navigation assistance, travel assistance, claims for damages to third parties and legal defense.