Lack of value for our boat in todays econonmy is hard to swallow...

[poormonkey]

Well, we were thinking of getting rid of our 2001, 290DA and going to an older 1995-1997 370DA. There are plenty of 370DA out there now, as well as lots of other boats. We are very frustrated that we bought our boat about 2 years ago and got a real good price on it. However, I have been talking to brokers, friends, on forums, and it is sad to find out our boat has lost so much value. There are just way too many used boats flooding the market right now driving down the value of boats. We were looking at trading our boat or selling it out right. We were looking at getting in the range of $72-75k for the boat. Well, everything people have shown me for 290DA (2000-2002) being sold in the last 4 months, shows our boat worth about $62-65k. That is $10k less that what we thought, and that is just frustrating. Now we would have to take a $10k hit to sell our boat and go into a different boat. How frustrating. Now it seems like we won't be looking for a different boat, and we will be with this boat for awhile unless we want to take a loss on the boat.
There is the good and the bad with the economy and the bad is a lot of people seem to be selling off their boats, and just taking what little they are offered for it.

 

[Four Suns]

We had a discussion about depreciation this past summer when people were all upset about fuel. Depreciation is the biggest expense associated with boating... and it's real.

If you want to depress yourself, make a "real budget" that includes depreciation, insurance, dockage, bottom job, maintenance, repairs, upgrades, eating out, fuel, etc... For example, if your canvas lasts 6 years and costs $3K, add $500/year to your budget. You'll find that even at $5/gallon, fuel is still the cheapest part of boating.

 

[bcbcrus]

How would you like to have a house that apprasied, and yes farily arpprised, for about $700 grand 2 years ago and now would probably appraise for about $400K????? Sucks but that is the dumba$$ times we live in. I still don't understand how $4.00 (2 months ago) gas has nothing to do with the crap we are living in now!!!!!!!!!!!!!!!!!!!! Oh, d$$$, the experts on the morning shows said it has somthing to do with demand....... What is there about 30 billion people less in the world today? Did I sleep through a neulear war???? I guess that not cause Diane Sawer and Robin Robertst said............oh what the hell, I'm going to sleep now............

PS. I have to watch that crap while my wife does her hair because, well you know, at least i hope you do................

 

[poormonkey]

Well, the housing market has always done that, up and down, up and down. I haven't seen the boating industry go like that in a very long time. I use to talk to people who would use their boat after buying it and they used it for like 3 or 4 years and turn around and sell it for the same price they bought it for a few years back.

The only option we have now in getting into a larger boat, is selling our boat and going a season without it. Which would really suck. I just don't see the economy recovering any time soon. Or at least we won't recover the losses that we all have experienced any time soon. Housing value loss. 401k and IRA losses. Boat value loss. etc.... Just very, very frustrating.

 

[MikeS]

The difference in real estate, thus far - is that you can sell a property for say $300k less, but if you're planning on buying more real estate - you can buy something else at a proportional discount also. Maybe not in the same area - but possibly.

Cars and boats don't work that way. As to the post above, if you've only lost $10k
in value, that's a deal - in today's market.

The 460 EC I just purchased started on the market at 169k over a year ago. They dropped it repeatedly - in 30k increments. I picked it up for a song. Had I not, I wouldn't own it....

 

[jattea]

The difference in real estate, thus far - is that you can sell a property for say $300k less, but if you're planning on buying more real estate - you can buy something else at a proportional discount also. Maybe not in the same area - but possibly.

Cars and boats don't work that way

Why not? If boat values are down (say) 20%, and you're moving up in a boat, then your savings will be larger than your losses. I.e., if the boat you're selling is normally worth $100k and the boat you want is normally $200k, and the actual sale prices are 20% off ($80k and $160k respectively), then you're only paying $80k to trade up instead of $100k.

 

[MikeS]

For the most part, because you won't find lenders willing to lend money under that premise except for on real estate - and even there, the belt has been tightened.

One thing that hasn't changed in the economy is the "cash is king" scenario. If you have cash - you can buy anything, at a discount. Those that have to sell something for a certain price, or to pay off a note - and then borrow, or re-borrow to replace - aren't as susceptible to taking advantage of the actual deals that a down market brings.

 

[Bridog]

We had a discussion about depreciation this past summer when people were all upset about fuel. Depreciation is the biggest expense associated with boating... and it's real.

If you want to depress yourself, make a "real budget" that includes depreciation, insurance, dockage, bottom job, maintenance, repairs, upgrades, eating out, fuel, etc... For example, if your canvas lasts 6 years and costs $3K, add $500/year to your budget. You'll find that even at $5/gallon, fuel is still the cheapest part of boating.

Amen to that one :smt038

 

[Woody]

Well, we were thinking of getting rid of our 2001, 290DA and going to an older 1995-1997 370DA. There are plenty of 370DA out there now, as well as lots of other boats. We are very frustrated that we bought our boat about 2 years ago and got a real good price on it. However, I have been talking to brokers, friends, on forums, and it is sad to find out our boat has lost so much value. There are just way too many used boats flooding the market right now driving down the value of boats. We were looking at trading our boat or selling it out right. We were looking at getting in the range of $72-75k for the boat. Well, everything people have shown me for 290DA (2000-2002) being sold in the last 4 months, shows our boat worth about $62-65k. That is $10k less that what we thought, and that is just frustrating. Now we would have to take a $10k hit to sell our boat and go into a different boat. How frustrating. Now it seems like we won't be looking for a different boat, and we will be with this boat for awhile unless we want to take a loss on the boat.
There is the good and the bad with the economy and the bad is a lot of people seem to be selling off their boats, and just taking what little they are offered for it.

Isn't that alot to wish for. You didn't buy the boat thinking you were going to make money, did you?.

 

[Carver370]

Taking a 10K hit on any boat is minimal, especially in that price range.

The bigger they are the more of a hit, honestly it doesn't matter how much you buy the boat for and what you sell it for I guarantee you have a loss.

 

[sbw1]

I'm sorry, I very much agree it is frustrating. But having said that, after reading post after post about making offers on a boat and the advice that typically follows is to low ball the seller relentlessly, I think we boaters are somewhat to blame for the loss in value as well. For some reason it's okay to offer someone 1/2 what the boat sold for new, at two years of age, but somehow our boat commands top dollar? The street goes both ways here.

I'm not saying that you shouldn't expect top dollar, I'm saying that we've helped create an atmosphere that fosters the attitude that you should pay pennies on the dollar when buying a boat. Given that attitude, what else could you reasonably expect resale values to do?

Free markets are very efficient at finding the true value of stuff.

 

[tdappleman]

I wish my personal stocks and my 401k had only taken a 12-14% hit this year... While you may have been hoping to get 72-75k for the boat - what did you use to come up with that figure? I don't know the details for your boat but NADA has a range which fits right into what folks are telling you to expect.

 

[tobnpr]

I agree with the post above.
If you're selling one boat to buy another, it shouldn't hurt so much as long as you get a proportionate "discount" on the next boat. True, you're selling cheap, but you're buying on the cheap, also. It all stays relative.

If you're selling to "cash out", that's a different ballgame altogether.

 

[spimik]

I agree with a previous post. You get less for your trade in, but you pay less for the boat you are buying? Does it not all work out in the end? Ignore the numbers, figure out the difference between boat A and boat B.

Who cares if all you get for your 290 is $1.00, as long as you buy the used 370 for $.75 then you still win. There was a thread on site a day ago about a new 44 Dancer that was selling for $499,000. If you had the cash, or could find the money to borrow, this is by far the best deal I have seen yet. If I was trading our 08/330 on this, I would expect a very low trade offer on it, but who cares, the deal on the 44 is much better than the loss on the 33 would be.

 

[Kameroo]

I agree that a down market is the right time to move up.

Even when people find a good deal, I think a big problem currently is that many are finding themselves upside-down on the current value of their boats. With savings and home equity down, this can be a tough time for some to cough up 20% cash to make a trade up happen.

 

[mrsrobinson]

Welcome to our world. Absolutely no activity on ours since the Sept/Oct market crash. Zip, zero, nada, none, nothing.

Oh, and on top of that we just found out the foreclosure next door to our home, same model, just sold for $50K less than we paid for ours 2 years ago.

And on top of that we just had our annual meeting with our finance guy........

Oh, and on top of that, like Gary said we started tracking what we spend on the boat with QuickBooks. I forgot about depreciation, thanks Gary....

It's a good thing we REALLY love boating.

 

[witchhouse]

I believe come spring there are going to be some great deals on boats. There are quite a few in New England that never hit the water last year and so far slips for 09 are available with pricing coming down.
Evert storage yard has more for sale signs than I have ever seen. Marina's are slow on receivables on old storage from last year I see quite a few bargins coming this spring. Craigs list this past November had boats in the area still in the water owner didn't have the cash to take them out and store. The weekend pleasure boater is over extended and the toys go first.

Just my observation. here on the north shore in Ma.

Witch

 

[Presentation]

.... everything people have shown me for 290DA (2000-2002) being sold in the last 4 months, shows our boat worth about $62-65k......

If you get a offer for $62K, take it and be happy.

I hate to be the bearer of bad news…..but here goes......the used boat market today is far worse then it was 4 months ago or even 3 months ago.

Jim – would I be over-stating the current used boat markets woes if I say that if a used boat was selling for $1 four months ago, on average its selling for no more then $.80 today if at all?

 

[Chris R]

Why not? If boat values are down (say) 20%, and you're moving up in a boat, then your savings will be larger than your losses. I.e., if the boat you're selling is normally worth $100k and the boat you want is normally $200k, and the actual sale prices are 20% off ($80k and $160k respectively), then you're only paying $80k to trade up instead of $100k.

Exactly the way I see it. I'm "looking" right now and this is what I'm seeing in the boating market. One's boat may be worth a bit less, but the boat you may be trying to buy is also cheaper. The only problem I see - is if the NEW boat prices start infringing on the used boat market. Example: I've seen new 44's out there for "close" in price to used boats one and two years old.

 

[r_moss]

Our local Sea Ray dealer has all of his "new" inventory marked 30-40% off depending on model/year. Just happy that we bought/traded when we did.

The dealer that took our 24" Ciera in on trade has it listed for $2k less than our trade in value was back in June. They sold it twice only to have the financing fall through and just about had it sold before the market fell apart in Sept......They still have it on their lot.