Are the value of yachts declining?
Yes the value of yachts are declining but not because they are worth less and only as a weak connection to the housing market. The markets aren’t linked as tightly as most people think. When folks get financially scared they want to unload all their luxuries As more vessels are added to the market, the law of supply and demand comes into play. To attract a buyer the owners must lower their prices. The boat still has the original value and a survey would show that. Its just that if you want you boat to sell and not the similar one 100 miles away you have to put an attractive price on it. Between boats 40 to 70 feet there has been a small increase in sales (between 6-8%) over 2006 numbers. However, 70+ foot Yachts have had a 20% increase over 2006 numbers. The kind of person that wants and can afford a 70+ footer doesn’t care about the market. The person that wants a 40 foot, 50K boat DOES care about the market. That is why the disparity in the numbers. Oddly enough, boats 20 to 30 feet
