Entering the closed world of boating with the luxury of a floating palace like a super-yacht should not be seen as a remarkable twist on your financial decision. Rather, it can be seen as a lifestyle choice. Owning a yacht and spending a lot of time on it should be your own choice. Always take into account that a yacht owner expects a disbursement of a quarter of the cost of his or her yachting jewelry, in terms of care and maintenance for one year. On the other hand, could the potential for investing in a yacht really have a quantifiable positive effect in the long term?
The specificities of Yachts
Unlike investments in other sectors such as automobiles or more conventional boats, investing in a luxury yacht does not necessarily depreciate in value. Some designs are more in demand than others because of the known quality of the brand and the reputation of the designer and/or marine architect. A qualified yacht broker can advise you if you are looking to buy a yacht that is more likely to retain its resale value. The risks are enormous, yet the choice seems to be categorical.
Furthermore, if we refer strictly from an investment perspective, the luxury yacht market is much more complex than the real estate market, for example. Ultimately, it is the market based on high-value assets that tend to depreciate unless they are properly maintained, and this pre-mentioned maintenance costs a small fortune.
Maintenance and budget
However, exorbitant expenses when it comes to investing in a yacht do not automatically define themselves as a “financial hole”. Rather, it is about choosing your investment wisely and how to offset or minimize your operational expenses that secure your annual budgets.
One of the best ways to minimize the maintenance and operating costs of a motor yacht is to invest in a professional yacht management company. Not only will you protect the capital you have invested in Yachting, but you will also ensure that it is properly maintained. Everything will depend on the agreement between the two entities. Some companies specialising in this field may go as far as making your boat available as part of a charter fleet.
Evaluation of a return on this investment
In financial circles, investments are evaluated in terms of initial investment and return on investment (Return Of Investment). To sum up in a simple financial balance sheet, only one question is sought to be answered: “what is the end result? »
It should be noted that there are different types of investments, with different types of “added value”.
Investing in a yacht is not always the best financial investment, but it can be an investment in your mental and physical well-being. What could be more relaxing than enjoying stress-free time sailing on open waters, aboard your own yacht with crew. Secondly, the profitability still doesn’t show up in calculable figures and profits. If life will allow you to afford this luxury, why not take advantage of it?