Making an offer on a boat

[Skymichelle]

Hi,
I'm looking at a $70k boat that i feel is appropriated listed by market value. I know up front that the SP275s are no longer made and some parts are not obtainable but can be fabricated. I don't feel this is a deal breaker but i do feel it affects the negotiating price. That is my dilemma, knowing the difficulty to obtain parts and high financial cost for them will make maintaining the boat more challenging. not imposable but certainly an inconvenience. How do you equate that to a monetary value? I feel asking 15-20% off upfront is not unreasonable combined with results of surveys, sea trail, and oil samples etc. The contract open to repairs, renegotiation or even walk away. Most likely a broker will be involved representing buyer and seller (i know strike 1). Any who - do you think that is fair or am I being unreasonable?

Thanks Y'all!

 

[Delta Riverat]

Make the offer. If it's rejected and re-offered at same you will know.

 

[Delta Riverat]

Hehe, thanks!

Just telling you what I did - Obviously it didn't work either. So, if you like the boat and at that price range you are going to see a lot you don't like, make an offer. Brokers are not your enemy. They would like you to buy the boat and mine was most helpful. The broker is also going to be the best resource for a feeling of how receptive the seller is to your offer. Yeah, he (or she) makes more dough if the price is high, but no dough at all if no sell.

So if you like the boat (after looking at a lot of boats) then make the offer and start the process. My boat to the left is 45 years old with Volvo engines that everyone says to avoid, but hey, they run and we like the boat.

 

[SteveK]

If the boat is listed for "market value" which I take as what similar sells for then why does it make sense to offer less because parts are $$$. I mean the other boats have the same issue, but if you take 15-20% off all of them then they were not priced at "market value" to begin with.

I guess market value to me is what a buyer is willing to pay and seller is willing to accept.

Reality, all boats have expense parts that will need replacing.
Offer what you are willing to pay and have 50% of that ready to spend in the first 3 years to make it yours after fixing things.

 

[Comodave]

If the boat is listed for "market value" which I take as what similar sells for then why does it make sense to offer less because parts are $$$. I mean the other boats have the same issue, but if you take 15-20% off all of them then they were not priced at "market value" to begin with.

I guess market value to me is what a buyer is willing to pay and seller is willing to accept.

Reality, all boats have expense parts that will need replacing.
Offer what you are willing to pay and have 50% of that ready to spend in the first 3 years to make it yours after fixing things.

Agree.

 

[Greg QS]

My opinion If the parts are un supported, or extremely hard to get, It will just be you problem later. Possibly causing loss of season ($$ in sip fees) or the in ability to fix the boat. ( supper $$).
So If your that worried about the availability of parts etc. Move on. There are plenty of boats out there . Be objective.

 

[ranger58sb]

I know up front that the SP275s are no longer made and some parts are not obtainable but can be fabricated.

What's an SP275? And what kind of parts are you on about?

Most "parts" we've needed have been something to do with installed systems -- windlasses, galley appliances, ACs, heads, etc. -- and those are more often semi- "generic" and either replaced or maybe repaired with an existing supply of replacement parts. Things not necessarily to do with boat brand/model.

-Chris

 

[Bmarler]

What's an SP275? And what kind of parts are you on about?

Most "parts" we've needed have been something to do with installed systems -- windlasses, galley appliances, ACs, heads, etc. -- and those are more often semi- "generic" and either replaced or maybe repaired with an existing supply of replacement parts. Things not necessarily to do with boat brand/model.

-Chris

Exactly.
Countless owners out there with boats that are no longer made. As long as you don’t need a new moulded fiberglass factory part or special extruded window frame I can’t imagine what sort of part you’d have trouble with.
Boat builders select from the same suppliers we all get our replacement parts.

 

[Bmarler]

Ohhhh, you mean Lehman sp275s. No worries. There’s big support for lehmans at American diesel.

 

[Gdavid]

Ideally the boat's marketed price should take into account the desirability of all major components already, so a smart owner and/or broker should have factored this into the asking price already. Ultimately you need to be comfortable spending what the boat is worth to you, this is more important than the market.

It sounds like you have already researched the availability and options for attaining the "consumable" parts for this power plant, the next step would be to inquiring about the specific age and condition of said components. Rather than only asking for the condition and hours of the engine, I would ask if they can provide a service history or breakdown of age of specific parts. For example, if the exhaust elbow requires custom fabrication to replace, find out if it has been replaced already, find out how frequently the coolant is replaced and what the operating temps are, see how well the owner knows about this powerplant.

Based on the engine, I'm assuming this boat is at least 30 years old and that significantly limits the buyer pool. Right, wrong or indifferent, Americans have a tendency to buy on credit and if a boat is difficult to finance, it has a limited market, this boat probably runs the owner $10-15K annually to store, insure and maintain even if not in use so it is in his or her interest to sell quickly. I would consider this when calculating my offer.

Finally, I would thoroughly inspect the boat myself if at all possible prior to making the offer, not a survey but enough to get a sense of what the boat needs, in terms of deck condition, tank condition, thru-hull condition and communicate that your offer is in consideration of the boat's condition as is and that you are not planning to bicker over typical issues after the survey. I believe this clearly communicates that you are a realistic owner who knows that an older boat comes with maintenance and repair requirements, and you know you're not buying a perfect boat. I believe this matters.

 

[Skymichelle]

If the boat is listed for "market value" which I take as what similar sells for then why does it make sense to offer less because parts are $$$. I mean the other boats have the same issue, but if you take 15-20% off all of them then they were not priced at "market value" to begin with.

I guess market value to me is what a buyer is willing to pay and seller is willing to accept.

Reality, all boats have expense parts that will need replacing.
Offer what you are willing to pay and have 50% of that ready to spend in the first 3 years to make it yours after fixing things

Ideally the boat's marketed price should take into account the desirability of all major components already, so a smart owner and/or broker should have factored this into the asking price already. Ultimately you need to be comfortable spending what the boat is worth to you, this is more important than the market.

It sounds like you have already researched the availability and options for attaining the "consumable" parts for this power plant, the next step would be to inquiring about the specific age and condition of said components. Rather than only asking for the condition and hours of the engine, I would ask if they can provide a service history or breakdown of age of specific parts. For example, if the exhaust elbow requires custom fabrication to replace, find out if it has been replaced already, find out how frequently the coolant is replaced and what the operating temps are, see how well the owner knows about this powerplant.

Based on the engine, I'm assuming this boat is at least 30 years old and that significantly limits the buyer pool. Right, wrong or indifferent, Americans have a tendency to buy on credit and if a boat is difficult to finance, it has a limited market, this boat probably runs the owner $10-15K annually to store, insure and maintain even if not in use so it is in his or her interest to sell quickly. I would consider this when calculating my offer.

Finally, I would thoroughly inspect the boat myself if at all possible prior to making the offer, not a survey but enough to get a sense of what the boat needs, in terms of deck condition, tank condition, thru-hull condition and communicate that your offer is in consideration of the boat's condition as is and that you are not planning to bicker over typical issues after the survey. I believe this clearly communicates that you are a realistic owner who knows that an older boat comes with maintenance and repair requirements, and you know you're not buying a perfect boat. I believe this matters.

Thank you. That is indeed the next step.

 

[Shrew]

Typically the boats are priced based on the variables you're listing, such as engine age, condition or parts availability. Also, I've never heard of an issue getting Ford Lehman parts. Is parts availability a fact, or simply a suspicion??

 

[SteveK]

Risers and manifolds were a concern. Limited supply of after market production runs