Interest rate rises affecting used boat market?

[Fendell]

Hello,

More for the older crew that where around the last time interest rates went up, was there a noticeable correlation with rates going up around the world, and the market switching from a Sellers market to a Buyers Market?

I know its a bit of an open ended question, but what are some of your predictions on where the used boat market is going over the next 12-24 months?

[YachtBoyRMK]

You've conflated direct correlation with causal relationship. You've posed an odd query.

The real query is what is causing or driving higher interest rates and whether that root cause moves values on discretionary assets.

[Fendell]

Cheers YachtBoyRMK, As odd as it may be, im wondering if anyone has noticed a correlation. My limited understanding of why central banks raise rates is to 'try' stop the people from frivolous spending (ironic we are talking about boat ownership haha), and to get less debt and more savings, amongst many other reasons...

There could be any number of things that cause rates to go up or down in your region and is a secondary question as to whether there is/will be an effect in the future on boat prices

Obviously no one knows whats down the road, im more interested on peoples thoughts...

[YachtBoyRMK]

Central banks can only set/change short-term interest rates not mid or long-term rates. Where a 2yr, 5yr or 10yr note or bond trades is solely set by the market. It’s really about the yield curve, not any single rate.

I’m a finance professional, but will stop here as a yachting forum is no place for a discussion on international interest rates and credit markets.

[Fore and Aft]

Fendell I know here in Queensland boat prices don't seem to be dropping. I have surveyed boats that have sold last month from $30,000- $530,000 and the good boats are still selling relatively quickly particularly if they are a catamaran.
In 12-24 months who knows what will happen.YouTube really introduced sailing to the masses and showed the grey nomads an alternative to the caravan. One thing I am seeing is more of short term ownership. Buy the boat do a season or two of sailing then move on to other pursuits. The old days boats seemed to be owned longer.
Cheers

[Lucky Luke 1]

Originally Posted by Fore and Aft

Fendell I know here in Queensland boat prices don't seem to be dropping. I have surveyed boats that have sold last month from $30,000- $530,000 and the good boats are still selling relatively quickly particularly if they are a catamaran.
In 12-24 months who knows what will happen.YouTube really introduced sailing to the masses and showed the grey nomads an alternative to the caravan. One thing I am seeing is more of short term ownership. Buy the boat do a season or two of sailing then move on to other pursuits. The old days boats seemed to be owned longer.
Cheers

I'm in Oz to. I think good boats are still selling but may be at lower prices and boats that need some work, standing rigging for an eg, are starting to sit and retract in price.