What will my boat be worth in 5 year's time?

How much will my boat depreciate?

"What will my boat be worth in 5 year's time?" How much will my boat depreciate?

Sales people are constantly asked “What will my boat be worth in 5 year’s time?” and unfortunately they always give the same answer....”if I knew that, I would be investing in the stock market” as they are quite correct that it would simply be a prediction! However there are some factors that you should always take into account that will allow you to make a more informed decision.

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• The sales margin that catamaran manufacturers pay to their dealers is significantly less than what dealers who sell monohulls or power boats receive so the depreciation a Buyer faces as soon as they take delivery of their new catamaran is instantly less than a similarly priced monohull or power boat.
• The availability of new catamarans is still fairly limited so most manufacturers have a significant waiting list for their products and this keeps the resale value of catamarans in the brokerage somewhat higher than other yachts.
• Each year the price of new cats tends to increase more quickly than the equivalent monohull so this also tends to help reduce the depreciation on brokerage catamarans.
• The general rule of thumb on a new boat is 15% to 20% depreciation in Year 1 with each subsequent year of around 10% until Year 7 when values tend to stabilize and fall only marginally after that. However with catamarans it tends to be closer to 10% in Year 1, 7.5% in Year 2 and 5% annually after that. After Year 7 the value is usually around 50% of the original purchase price.

Does this help or do you need more detail?