Always dreamt of hobnobbing with the elites? The 1% of the 1%? Perhaps you’re daydreaming about coming up in your superyacht with a full crew at the dock. You’re wearing one of those hats that the experienced mariners wear, in addition to the completely tailored and polished navy sports jacket.
While this dream sounds great is buying a yacht a good investment? Here we talk about just that.
Owning a Yacht is a Symbol of Success
The word yacht is about as clearly specified as a financial consultant, and you’ll get extremely varied responses on what size boat earns that title, depending upon whom you ask. By some opinions, you can be a yacht owner with a 20-foot boat, and you can join a private yacht club and spend your weekends exchanging sea stories with your fellow yacht owners.
For others, you don’t own a yacht unless it’s over 30-feet. It really depends on who you ask. Either way, owning a boat of this considerable size makes a statement. It’s the ultimate symbol of success. But, if you want to know a secret, yachts are more affordable than you think.
Other Considerations Before Buying a Yacht
Who is driving the yacht is certainly something to consider. Are you certified to operate a large boat? If not, you’ll need to get a captain’s license or employ somebody to operate it for you. In addition, private yacht insurance coverage is an extra expense to consider.
If you don’t have your own dock, a slip lease will tack on more money each year in simple expenses of owning the boat let alone taking it out on the water.
Your best bet in deciding whether or not a yacht is a good investment for you is to know your budget and stay within it.
Determining Your Budget For Your Yacht Purchase
To know what you can spend, do the math in reverse: You should have 55% to 60% of your earnings set aside for expenses and savings, outside of your private yacht purchase. The rest is the outright max you can blow on your new toy.
This budget is a great number to stick to in order to stay comfortably within your means and still become a yacht owner.
Consider Turning Your Yacht Into An Income Generating Piece of Property When You’re Not Using It
One way to make the cost of the yacht more justifiable is to hire it out for charter when you’re not using the vessel. You’ll need to hire a staff to run the boat but you can make quite a pretty penny chartering your yacht to tourists and other visitors.
Buying a Yacht Isn’t An Every Day Occurrence But, Depending on The Owner It is a Good Investment
When buying a boat, there is but one essential concept to follow: enjoy it. If you decide to buy the boat you fall in love with, make sure to get the most out of it. Make the time to enjoy it as often as possible.When you’re not using it, have the boat work for you. Use your yacht part of the year, and charter it for the rest.
While a boat is a depreciating asset that comes with significant operating expenses, the joy of being on the water, and the upside of potential chartering opportunities make it worth it.
Are you ready to make your dream a reality and become the owner of a yacht? Here at Massey Yacht, we’ve got you covered. We can go over everything with you.