A Buying Methodology...

Consultant speak for "how we intend to buy a boat'!

As we plan on jumping off to the Caribbean and starting small, we have had to take a different approach to sourcing yachts.

• First we sat down and discussed what we THOUGHT we wanted from a yacht based on what we planned to do with it and where we wanted to go. Cruising, not day sailing. Comfort, safety, space, performance, turn-key, etc - We soon found out that there is no such thing as "turn-key" when it comes to things that float...
• Then we identified a specification that met our requirements. Deciding on all those features like size, build, equipment, specification, pedigree etc
• I subscribed to Yachting Monthly Magazine and a number of online newsletters
• We started reading blog postings of Lin and Larry Pardey, Beth and Evan, Morgans Cloud, Mahina.com and other such authors and evangelists
• The Q&A with my parents increased 10 fold as we drilled them for information
• We started looking at boats and models that we knew of. Generally UK or South African designs. This expanded to US and Canadian boats as we realised that most UK / South African designs were mainly in the UK / South Africa. Buying in the US, you are better off looking at US designs
• We viewed a number of yachts in our nearby vicinity (of London / Solent) to learn more about boats, speak to owners, brokers etc. You can read a million books, articles and magazines but there is no substitute for actually stepping on board to take a look first hand. We were surprised just how many yachts looked good online and were far from it in reality!
• Online shortlist - created a Excel spreadsheet of a number of potential yachts in our proposed jump off area. Listing out kit it has and does not have. Pro's and Cons to provide a tool for side by side comparison
• On the list we identified nice to haves vs necessities. A radar is a nice to have in my book not a necessity, whereas a bimini (awning) to keep the sun out the cockpit is a necessity in the tropics. Sure you can get one made, but it will cost you thousands of dollars and weeks to accomplish
• We worked out that a cheaper boat with less spec, will often cost more in the long run than a more expensive vessel with all the kit. This even more so if you consider the time involved. Also remember that kit does not tend to affect the overall resale price of the boat. Just because you added a $5000 dodger does not increase its value by $5k...unfortunately
• Arranged viewings with those on the shortlist. All this involves significant time and expense as we hire cars and trains and aeroplanes to do this...The boat is getting more expensive by the day and we have not even bought one yet...
• We would view each boat and weigh up the options. Every boat has its value. Some however are just not appealing and don't fit the criteria. Others need more than just a polish and would be "project boats" for a long time before we could set off. Too long in some cases
• Every now and then you find the right boat but at the wrong price. As we are in a buyers market (the American economy - and the world economy - is in a poor place at the moment) we have considered a few yachts with prices in excess of our budget. Sometime a seemingly cheeky offer is accepted with the right timing and the right seller
• The most difficult part is realising that whatever you spend on a boat, you will spend an additional 40 - 50% on getting her cruising ready. I never thought about this until this was called out by my parents and seconded by John Neal - from Mahina.com. I started doing the math...no dingy, + $1000. No outboard engine for dingy, + $1000, no self-steering, + $2000 etc etc - THAT affected the boat budget!
• When we found one that we did like on paper, but it was far away, we made a few calls to the owners / brokers to find out all about the boat and what the condition was of the big ticket items Namely - the engine, hull, rig, sails etc. An engine rebuild can costs tens of thousand. Delamination on the deck costs thousands to fix. Chainplates are a mission and costly to replace etc
• If we liked what we heard we would go away and research the make, design. There are loads of forums with information from owners. Also some have websites dedicated to the design. We also emailed owners to ask their advice and what to look out for when considering the boat
• If all was to our liking, we would then make a preliminary offer. "Based on the information you have provided I would like to offer you $X for her...subject to viewing, survey and sea trial"
• If the offer was accepted, we would make our way to the boat and view her
• We would have a full survey done and would do this every time from now on. Preferably with the owner present for both the out the water survey and the sea trial. Together we can identify and discuss in an open forum any issues with the boat and it adds a bit of realism to the deal
• If there are any major issues that will require additional capital that you have not budgeted for, negotiate with the seller on price