Frustrated With Prospective Purchase!

[terminalcitygrl]

So we fell in love with a boat from afar but found it way, way overpriced. Recently saw that the list price dropped to reality (in line with other high quality boats of that particular year). We offered about 20% off list and the sellers broker would not present the offer. It's tough because I think the expectations of the broker and seller as reflected in the initial list were beyond optimistic but given the price drop they are now expecting close to current list as the sale price which clearly I think still is a little high... If they had listed at the right price in the first place, I don't think an offer of 20% less would be considered out of the ballpark. Interested in what you all think?

[Richard5]

Isn't it the fiduciary duty of agents to present all offers tendered? As principal I would be mightily ticked off if I found my agent was not working to my complete benefit.

Even an offer the agent thinks as unworthy can be negotiated. Doesn't mean quick sale or the seller is hard pressed. The broker is overstepping his authority by acting as principal.

On the other hand, the broker may had been instructed by seller not to present offers which do not meet some minima criteria.

My suggestion, stop chasing that dog. Appear uninterested to see if seller will reconsider your offer.

[avb3]

Do brokers not have to present offers in some jurisdictions? Try getting a hold of the owners. If you the boat is registered with the USCG, you can find the owners here.

[Kettlewell]

Exactly--contact the owners directly, even if they have a broker. Owners are always willing to negotiate more than the broker, because the broker earns his living by a percentage of the sale. The higher the price, the more the broker earns.

[terminalcitygrl]

Actually I may have misspoke. I think the words were that they "could not advise their client to accept such a low offer" -without actually saying whether or not the offer was in fact discussed with the seller. I guess my point was that 20% off doesn't seem unrealistic unless you are still comparing it to the dream original list price which seems really unfair.

I'm sad to let it go but have to. With the additional costs of transport and duty/ taxes, we were already stretching our budget.

[Kettlewell]

Are you making an offer without having seen the boat or inspected it? Don't recommend that no matter how glowing the description.

[Mimsy]

Plenty of other boats out there. I think the broker is being a little high handed and it would rankle me for him to do anything but present the offer and let the seller decide what he wants to do. Wait and see if its still on the market and you are still boatless in 6-8 months, then offer 30% off. >:-)

[terminalcitygrl]

Originally Posted by Kettlewell

Are you making an offer without having seen the boat or inspected it? Don't recommend that no matter how glowing the description.

Yes. And I know. But it's far away and we really love it!!!

But yes. <sheepish>

[JayCall]

Terminal-the broker is normally required to present an offer. It sounds like the boat has been for sale for a while if they lowered the price. I would contact the broker and renew the offer, but would put a time condition on it (assuming you have the normal conditions, survey, etc already). Let the broker know you are serious, especially if you are making a cash offer. Make the offer, defined as all cash and good for a period of x days (pick a period comfortable for you), maybe 7-14 days. Make clear to the broker that if the offer is refused you and your cash will move on.

[minaret]

20% off of asking is pretty much what everyone starts at IMHE. The broker is probably just trying to play hardass with you, wait him out.

[Tellie]

I don't know. Offering 20% less on a recently reduced price is not likely going to get much response. Six months or a year later perhaps. But making an offer on a boat sight unseen is asking for trouble right out of the gate.

[Kettlewell]

But it's far away and we really love it!!!

That's the problem right there. There are plenty of other boats in the world, and many of them are much closer to home. I would never make an offer on a boat sight unseen, whether or not it is dependent on survey or whatever. It is very rare--almost unknown--for a boat to not have significant variance from its listing. For example, I have looked at a boat that nowhere in the listing did it note that the boat had been sunk, salvaged, and repaired. It was listed as in excellent condition, with the photos before the sinking to prove it! It was very well repaired, but if the owner hadn't happened along I would not have known that a huge hole had been knocked in the side of the hull, big enough to remove the trashed engine through.

[The Blue Heron]

Screw the broker. Get the boat name. Do a search on documented vessels under that name and contact the seller. Directly ask if an offer was presented and give him your contact info and then don't answer the phone until they leave messages.
Brokers ....

[hellosailor]

tc, you can't guess what terms the owner and their broker might have. The owner might very well have set the original price point and told the broker "don't bother me with anything less than..." and after the reduced price, might have said the same thing even louder. That's the way it is and speculation is pointless.

If the boat is federally documented, you go online to the vessel documentation center and run the name. You'll get the owner's name and mailing address, then you contact the owner.

Not documented? Got state numbers on it? There's a database for that too, and worst comes to worse you can buy the information from most states for under $10 if you fill out the right form.

Don't be surprised if the owner says "Go away and don't bother me" but hey, maybe they'll sell you a boat.

[FSMike]

Originally Posted by minaret

20% off of asking is pretty much what everyone starts at IMHE. ---

What does "IMHE" stand for?