New Boat Percentage Loss on Purchase?

[Therapy]

Is the boat market like the car market in that there is a pretty well known percentage loss once the boat is "driven off the lot"?

Cars, to my understanding, is about 20%.

What is it for boats?

[cwjohm]

It is very difficult to be definitive on this because the effects of exchange rate are often larger than depreciation.

I have analysed significant numbers of both vehicles and boats and

(a) assuming either is a production model rather than a special
(b) adjusting for exchange rate factors
(c) allowing for inflation
(c) assuming any special additions are not a significant amount

In Australia in the first year

Depreciation for motor vehicles is 12%
Depreciation for boats is 10%

However, from this point on boats depreciate quicker than motor vehicles.

I emphasise this is an average over many examples. In these threads people often post that they sell for more than they buy. This is most often attributable to exchange rate and inflation factors.

[Therapy]

Originally Posted by cwjohm

It is very difficult to be definitive on this because the effects of exchange rate are often larger than depreciation.

I have analysed significant numbers of both vehicles and boats and

(a) assuming either is a production model rather than a special
(b) adjusting for exchange rate factors
(c) allowing for inflation
(c) assuming any special additions are not a significant amount

In Australia in the first year

Depreciation for motor vehicles is 12%
Depreciation for boats is 10%

However, from this point on boats depreciate quicker than motor vehicles.

I emphasise this is an average over many examples. In these threads people often post that they sell for more than they buy. This is most often attributable to exchange rate and inflation factors.

Dang.

It won't be a simple answer then.

Dang.

Thanks.

[scuba0_1]

It's enough to not sell it right after you but it. I know someone who took about a 30 percent lost because they had cash and had to get rid of it. so it would also depend on how soon you need to get rid of it..

[cwjohm]

I interpreted the OPs questions as referring to the amount of depreciation one would typically see in the first year.

Obviously if there is a distressed sale in the first year then that is something completely different.

A perfect example is my boat 1 yo purchased for around 78% of the original purchase price. Allowing for exchange rate factors it is now around 70% of the replacement price.

[sailorboy1]

Originally Posted by Therapy

Is the boat market like the car market in that there is a pretty well known percentage loss once the boat is "driven off the lot"?

Bet it depends on who you are in the value discussion: seller, buyer, broker, insurance company, finance company.

[Privleoplag]

I see the charter company I'm with goes to 85% of purchase price for insured value the second calendar year, then 75%, 65%, etc. down to about 50%... if that's anything to go by?

[barnakiel]

I think some warranties are not transferable. This fact may add to other factors.

b.