Prices not going down??

[mikedefieslife]

Originally Posted by boatpoker

Lots of junk on the market right now. Lots of old 27' junkers for giveaway prices that will be given away again within a year when the noobs realize what they have gotten into. Three baliff's notes posted on boats within 100' of mine sighted today (Lake Ontario). The market is collapsing.

I know someone looking for an aluminium mono around 11m in the lakes area. There is nothing at all. Seems the way to do it will be to visit all the yards in 6-12 months time and see who hasn't paid their bills.

[Pelagic]

And then there are those who just don't worry about the money

https://youtu.be/-pGmUvTiD8Q

[Pelagic]

https://youtu.be/bA7b9LUZ-EE

[Boulter]

Originally Posted by valhalla360

Especially cruising monos in the 23-28ft range, it seems like they are always giving them away. \

I think it's an anti-sweet spot on the size spectrum:
- Too big for most to comfortably trailer them.
- Once you pay for a slip and marina storage, ongoing costs for a 30ft boat is almost the same but provides a lot more comfort.

Result is people want either bigger or smaller.

Yes, when buying a boat, you are really financially acquiring two things: the boat, the actual asset, and the net present value of the liability stream of winter storage, lift in/out, seasonal dock, insurance. This is how a 26 foot boat might have an asset value of say $15,000, liability stream of -$10,000, net $5000 purchase price. In comparison, a 22 foot boat on a trailer might have an asset value of $6,000 and liability stream of just -$1000 because it is self launched and lives in the driveway over winter, resulting in same $5,000 purchase price.

I sail a 22 footer as above, but find myself looking at all the boats 4 or 5 feet longer and have to constantly remind myself that the purchase price is just the tip of a very big iceberg.

[longjonsilver]

It all boils down to confidence of the buyers and sellers in their own personal economy. Many (most) are looking at a V shaped recovery from the lockdown, open it up and everything is back to normal. If that happens, then the boat market won't take much of a spill. However, if as i suspect that we see a long recession/depression then the boat market will take a real tumble and those that have cash and no debt, will have their choices of nice boats for good prices. In any case, that's the way i'm playing it.

jon

[Chotu]

Originally Posted by longjonsilver

It all boils down to confidence of the buyers and sellers in their own personal economy. Many (most) are looking at a V shaped recovery from the lockdown, open it up and everything is back to normal. If that happens, then the boat market won't take much of a spill. However, if as i suspect that we see a long recession/depression then the boat market will take a real tumble and those that have cash and no debt, will have their choices of nice boats for good prices. In any case, that's the way i'm playing it.

jon

And those with cash and no debt will buy (or keep) whatever boat they want. Works on both sides of the market. So I guess that’s a net zero?