This year has been simply the best of years for buying boats and water toys at state or local bank liquidation auctions. As a frequent boat auction attendee myself it’s typically accepted that a repo boat sold at auction will offer a 15-20% savings when compared to retail.
That’s not bad, especially when considering larger yachts retailing over $100K..the savings can really be big. Add to that boat auctions has only served to increase that percentage to as high as 30%.
Boat auction in the states — especially in the harder hit (California, New York, Florida, and Arizona) are seeing lenders and credit unions more aggressive in their re-marketing of non-performing assets. SunTrust Banks Senior V.P. Don Parkhurst says with regards to their repossessed boat inventory, “You’ve just got to lower the price to where you can move it. You’ve just got to take the hit.”
The rise in repossessed boats across the U.S. with most every lender has attracted new buyers who can now literally buy a late model repo for substantially less than what a new boat buyer paid 3-4 years earlier for the same make and model. Boat auction liquidation sources like National liquidators and Boat Auctions Direct have reported that with the value decline of the U.S. dollar coupled with the rise of repo boats shrewd international investors particularly from Australia, UK, and Canada taking advantage of this high tide.
So how can you save on a boat this year as well? The key is regularly reviewing listings. Frequenting auctions, online listings, classifieds, and dealer liquidations. Only by comparing asking prices and recent sales of similar models of the type of boat you’re interested in can you see savings of 50% or more. It’s really not difficult or as time consuming if you’re using the above tools.