How much is a yacht?

Becoming a yacht owner is a big step for anyone. Not only do you have to think about the initial outlay, but the costs you might need to pay to moor and maintain your vessel and any future considerations on value. To help you understand a bit more about the typical costs of buying a yacht, we’ve taken a look at what you might expect to pay.

Average price of a yacht

The average cost of a yacht can vary greatly depending on the type of yacht you buy and whether you buy a new or used vessel. At a minimum, for a small yacht you can expect to pay at least £10,000 for a small, basic sailing vessel, but you should expect this to rise beyond £50,000 for smaller motor yachts and into the hundreds of thousands for a larger motor-driven yacht (or ‘motor cruiser’). If you want to invest in a luxury vessel, you can expect to pay into the millions.

Types of yacht

The term ‘yacht’, which traditionally was used to describe wind-powered vessels, has now broadened to include various types of boats. Although these can be broken down into many more sub-categories, the primary types by use include:

Sailing: These are vessels primarily powered by sails and wind. They generally include cabins, many with sleeping quarters. They range in size from small personal vessels to larger, expedition vessels for group travel and entertainment.

Find out more about our sailing yacht insurance

Sporting yacht: Used for racing and sporting activities, these yachts are generally smaller, lighter vessels build for speed.

Motor yachts: Also known as motor cruisers, these primarily motor-powered vehicles are popular with many boating enthusiasts, offering all the space and luxury of a yacht with the convenience of on-board motors.

Find out more about our motor cruiser insurance

Luxury yacht: On the highest end of the price spectrum, these vessels are generally motor-driven, large vessels with luxury interiors. They may also be known as super yachts or mega yachts. These vessels generally cost in the millions, the most expensive ever sold, the History Supreme, went for £3.62 billion.

Find out more about the types of yacht

How to buy a yacht

Buying a yacht, like any big investment isn’t always a simple process, from finding the vessel that’s right for you to making an offer and closing, we’ve broken down the process:

Finding your vessel

You may choose to use an online service to find a vessel or use a broker who can help with your search. Typically, brokers will charge between 6 and 10% of your eventual payment for your new vessel, so factor this into your costs from the start. When deciding on your vessel, consider the ongoing costs (mooring, maintenance) as well as the initial outlay

Making an offer

Once you’ve chosen your vessel, you’ll make an offer independently or through your broker. At this point, you’ll place a 10% deposit to secure the sale, as well as an agreed schedule for surveying, sea trial and an inventory of the vessel.

Surveying

Once the offer is accepted, it is the buyer’s responsibility to commission and pay for the survey. Surveys are generally costed at a per-foot basis, but you can expect to pay at a minimum of £400. For larger, luxury vessels, you may need to pay a bespoke fee.

Sea trial

Agreed in your initial offer, the sea trial is your opportunity to see your vessel on the water to ensure everything is working as expected. These generally last a few hours to give you and your crew a chance to test everything you need

Please note: Sea trials are usually at the seller’s expense, so make sure this is specified in your agreement before agreeing to the trial.

Closing and acceptance

At this point, both buyer and seller have successfully completed the survey and the sea trial and are happy with the outcomes. You now submit closing documentation. At this point, the buyer’s deposit is at risk if they do not complete the sale within the agreed timeframe.

Sailing off into the distance

Once everything’s been signed off, all that’s left for you to do is ready your crew and set sail!

Ongoing costs

As well as your initial payment, you should expect regular costs when you own a yacht, these can include but are not limited to:

Mooring

The chances are, you’ll have your vessel moored for large parts of the year when you’re not using it. Depending on your marina, you can expect to pay anywhere from a few hundred pounds a year to thousands for larger vessels in for luxury. At GJW Direct you get access to exclusive marina benefits when berthed in any recognised UK marina when you insure with us.

Maintenance and repairs

Just like with a car or home, unexpected maintenance costs can crop up when you least expect them. From damage to your vessel to machinery failures, if you’re insured, you can avoid paying massive repair fees or having to foot the bill if you damage a third-party vessel.

Insurance

Every responsible boat owner should invest in yacht insurance  to help cover themselves in case of accident, injury, or unexpected incidents. We offer fully comprehensive yacht insurance to cover your vessel whether it’s on the waves or moored. Get a yacht insurance quote from GJW Direct today.

Depreciation and future costs

One major consideration to consider is the depreciation of the value of your vessel. It’s estimated that your vessel will lose between 40-50% of its value over the first 10 years of its lifetime. So, if you plan on selling your vessel in future, bear in mind that you’ll most likely be taking a significant hit on the amount of money you spent on it.

 Sources:

https://www.yachtworld.co.uk/research/how-much-does-it-cost-to-own-a-boat/

https://apmarinesurveys.co.uk/?page_id=177

https://www.luxyachts.com/sales/how-to-buy

https://vanislemarina.com/when-is-a-boat-a-yacht/