So you work hard and finally make it to the list of top multimillionaires in the world. You’ve bought a luxurious property and all the fancy motor cars that money can offer. Don’t you think it’s high time you splurge a little? Maybe it’s now time to live the life you watch in movies and read in fairy tales. And maybe, you’re just tired of waiting in line for charter documents and reservations. After all, what’s the essence of having a fat bank balance if it can’t help you save time?
Buying a private yacht is the pinnacle of luxury. Due to its financial commitment, it is a process you don’t want to go wrong at any cost. Here is a formidable guide highlighting six key factors to consider when buying your first yacht.
- Customization Options
How about contacting a company to design and build your first yacht? If you have time and resources, you don’t have to go for the already existing market options. Customizing your yacht based on personal aesthetics and preferences is the true definition of living your dreams. It is also fascinating to witness a giant boat concept developing right from indoor studio art to a large floating vessel.
Even so, it is essential to understand that the total overhead cost of customization will largely depend on the type and quality of your preferences. For instance, a gold finish on the walls and door handles will cost more than marble finishing. The price will also depend on the complexity of the extras. For example, heated pools and curved glass surfaces require top-notch design and innovation.
- New or Pre-Owned
If your budget doesn’t accommodate a fully customized yacht, you might want to check on ready-built new and pre-owned options. If you’re a spendthrift multimillionaire with substantial wealth, buying a new one sounds like the best plan. You want to create memories in a new, private yacht that doesn’t feature in anyone’s gallery.
Moreover, a new yacht comes with a warranty to help you meet future repair costs.
Even so, a pre-owned yacht can also suffice for first-time buyers who want to save money or spend cautiously. Some people love experimenting with a piece of machinery before spending a significant chunk of their bankroll on a better model. A used yacht will cost less than a new one, thanks to depreciation.
The right size is relative when it comes to buying a yacht. There are many factors to consider, including your area of operation. You’ll want a yacht that perfectly fits in your local private dock. Some people also love cruising on large rivers, and in that case, you’ll need a relatively compact yacht. If you’re taking your sailing to the sea, you’ll need a large vessel to brace giant storms and waves.
Other factors that determine the size of your first yacht include the following:
- Number of passengers
- Winter storage options
- Sailing periods
If you’re staying in your yacht for months sailing around the world, you’ll probably need a large vessel to store adequate supplies. Most importantly, the size of your budget can also limit you to a specific size and model.
- Maintenance Costs
Don’t just make your choice based on the initial acquisition cost. A place like Weller Yachts in Miami have luxurious, first class vessels available. The last thing that you want is splurging on a yacht only to dock it for the better part of the summer. Furthermore, it will help if you don’t strain to meet the maintenance costs. You’re buying a yacht to enjoy its luxury, not drain your accounts further.
Prevalent maintenance costs to watch out for include insurance, winter storage, and gasoline. Remember, your yacht will mostly be useful during summers when the sea weather conditions are bearable. You can also go for an economical vessel in gasoline consumption if you want to cruise to long-distance destinations. Other costs that shouldn’t slip your mind include cleaning, dry docking, and regular renovations.
- Multifunctional Yachts
What drove you to buy a private yacht? Do you want to cruise with your family or participate in seasonal racing sports? How about having meetings with international business contacts? Yacht uses are purely aesthetic and will range from one buyer to another. An essential buying rule is getting a yacht that will serve its intended purpose to perfection. You don’t want to lose a race and probably money because of a large engine that takes time to accelerate.
Even so, you can still opt for a multipurpose yacht if you want different experiences. For instance, you may need a yacht with auto-pilot features if you’ll be sailing independently. In the case of business commitments, you’ll need a highly customized yacht to impress your corporate associates and get more business deals closed.
- Insurance and Legal Paperwork
Lastly, you might also want to look into various insurance options and legal paperwork to transfer the yacht to your name. It will help if you leverage brokers who can access many insurance companies to compare rates and get a favorable policy cover. Some of the factors that will likely affect your premiums include:
- Age of the yacht ( If it is pre-owned)
- Size of the yacht
- Aesthetic features
- Cruising routes
If you’re lucky, you can get yacht building companies with ties to insurance companies that offer favorable policy covers to first-time buyers. Some companies will also give a discount based on brand and yacht type. For the legal paperwork, kindly use the same attorneys you leverage when closing big business deals. They’ll hardly fail you.
Buying a yacht for the first time is quite a daunting process as the options are overwhelming. The best place to meet different vessel designs is in a yacht show. Go with reputable brokers in tow so that they can explain the intricate features to consider when buying. Brokers can also help with price negotiations or recruiting a seasoned captain if you need one. It can also help if you explore different financing options before opting for cash payment.