Big Boats and Yachts - Do average folks really own these?

[Shawn_floats]

I couldn't help but seem amazed as I flipped through the latest Searay magazine to see all the big and medium sized personal yachts - big twin engines, big cabins, etc.

I can't help but think they must be just for the very very wealthy to own.
Just the mere cost of the fuel would make me cry - with twin big block engines. WOW.

I can't think how the average Joe could afford to even fuel them, let alone buy them, insure them, storage, etc.

Need a new acronym like BOAM. Bring Over A Million.

Maybe I'm just out of touch...

 

[25thmustang]

Re: Big Boats and Yachts - Do average folks really own these?

Middle class people own them, probably more upper middle class. People don't pay cash for these for the most part. They take out a loan the same as every 20 year old kid in a $50K car. Something in the half million + range is more in range when the payments are spread over 10 years.

 

[ck85abc3]

Re: Big Boats and Yachts - Do average folks really own these?

What size are you talking about?

 

[JCF350]

Re: Big Boats and Yachts - Do average folks really own these?

Plenty of folks out there earning in low to mid 6 digit income range. Not hard for them get loans.

 

[boatradioman]

Re: Big Boats and Yachts - Do average folks really own these?

no because average people make average money. A yacht does not cost average money. It is just a commercial/advertisement.I don't listen to them because half of the time they have a catch or are complete lies.

 

[dingbat]

Re: Big Boats and Yachts - Do average folks really own these?

I guess it depends on where you are as to what is average. Around here the average 4 bedroom home is $750K and the meduim family income is little over $91K.

Marinas here are full of $50K - $1M boats.

 

[JCF350]

Re: Big Boats and Yachts - Do average folks really own these?

I guess it depends on where you are as to what is average. Around here the average 4 bedroom home is $750K and the meduim family income is little over $91K.

Marinas here are full of $50K - $1M boats.

BINGO!!!

Average in Panama City (home), 30-50k boat sizes 17' to 25'
Average in Citra (get away) 15-25k slowly getting higher. boat sizes mostly 14' with a few a bit larger (not counting air boats BTW).

 

[tashasdaddy]

Re: Big Boats and Yachts - Do average folks really own these?

many are own by conglomerates, corporations, and are as much tax write offs, as they use them for perks for the big guys, advertising, etc.

other are tax wise considered second homes, and there is a tax advantage there also.

it's all in having enough money to be able to manipulate the system to your advantage.

 

[Shawn_floats]

Re: Big Boats and Yachts - Do average folks really own these?

Interesting on the tax issues. Hadn't thought of that angle.

I suppose it's how we all value things differently and what we're willing to mortgage or take a big loan on. It just seems so foreign to me I guess.
Then, on top of it, there is the massive fuel costs to run those things.

Different strokes for different folks I guess.

 

[ck85abc3]

Re: Big Boats and Yachts - Do average folks really own these?

many are own by conglomerates, corporations, and are as much tax write offs, as they use them for perks for the big guys, advertising, etc.

other are tax wise considered second homes, and there is a tax advantage there also.

it's all in having enough money to be able to manipulate the system to your advantage.

Just because I think to many people don't understand the tax issue. Being able to use a large $200k+ boat as a tax write off does not cause you to be able to afford the boat. You still have to make mega bucks.

For a tax write off, best case senerio, for every dollar you spend on the boat, you save 35 cents in taxes.

 

[KCook]

Re: Big Boats and Yachts - Do average folks really own these?

Nah, YOU don't save the 35 cents. Your company saves the 35 cents, as they are paying for the boat. So the boat is a temporary bonus to yourself from your company. I say temporary because companies have ups and downs. It's all games.

Kelly

 

[erikgreen]

Re: Big Boats and Yachts - Do average folks really own these?

Some people do own big boats... that's not to say they can afford them though. It breaks down like this:

# Big boats > # BB owned by individuals > # BB owned by people who can really afford them > # BB owned by people who actually use them > # BB owned by "regular folks" who aren't multimillionaires.

Myself I plan to someday own a 55-70 footer. It won't be new, it won't be in perfect shape, but it will be MINE to travel in

Erik

 

[ezmobee]

Re: Big Boats and Yachts - Do average folks really own these?

One thing that I find interesting is how incredible the depreciation is on these boats. In my lifetime I doubt I'd ever be able to afford a new 22+' cabin cruiser. However there are plenty out there to be had (some needing some work) for $10-20k.

 

[rogerwa]

Re: Big Boats and Yachts - Do average folks really own these?

Look at it this way.. Where I live a lot of people from all walks own cabins or cottages. These are not cheap. Anything with a recreational waterfront would start in the $130K+ range and go up from there with a decent cabin on a recreational lake costing well over $200K. then you have property taxes, electricity, maintenance, etc..

When You add up all that, you could own a fairly good size boat. the only downside is that a cabin or cottage will appreciate while a boat will depreciate. Potentially leaving the owner upside down on the loan.

 

[Mkos1980]

Re: Big Boats and Yachts - Do average folks really own these?

My parents last fuel bill was 1400+ for a 91 Searay 300 Weekender T-350IB's 300 gallons at 4.67 They are average class but home is paid off, no bills so 1400 to them is a mortgage payment. Next time they will need fuel will probebly be end of July early aug as they usually just idle down the river or out on L .Erie a little.

 

[2kwik4u]

Re: Big Boats and Yachts - Do average folks really own these?

Just like defining income you need to define "big" too.

I'm on the Rinker Owners Website. There are a couple guys on there that have 35-42' express cruisers that I think are just monsterous, yet they alway seem to want a little more. I have a (by comparison) tiny bowrider at 18'6" LOA. My description of "big boat" is the 246 that we are looking at upgrading too in a couple years. Going from an 18'6" LOA to a 26'6" LOA is a big jump. I'll have the largest boat of anyone I know. The boat show price was ~$62k, Found a couple gently used ones in the $40k range. I'm planning NOW to purchase one in 2-3 years.

Now, for some background info on me. Fiance and I average ~$95k yearly, so a $850/mo payment is still a good chunk of change to us. That $40k boat I discussed above is about that in payments over 96mo term. It has to be a lifestyle choice at those prices. I can't imagine the ~$1200 payment on that $63k boat! Thats more than our condo payment!

My point is here is that I consider myself an average earner and average spender. I don't see myself getting a 25'+ express cruiser anytime soon, although there is certainly an easy way to pay for it. It just all depends on if I'd rather have a nice house or a nice boat. There are good arguments for both though!

 

[SS MAYFLOAT]

Re: Big Boats and Yachts - Do average folks really own these?

Usually a boat that has a head, galley, and sleeping quarters is considered as a home. It can get decent intrest rates like that of a house. With that said, the intrest can be deducted as well. At least that is the way it was explained to me.

I bought my 2750 Victoria Bayliner (my avatar) with trailer for $4K. It was in some sad shape. I replaced the stringers and transom along with a new motor. Did all the work myself. For insurance purposes I had to have a perveyor check it out. It now is worth $12K. Over the past 7 years of ownership, I know I have put about $6K into it. My love for being on the water is well worth it. I plan on keeping this boat for a long time unless the economy gets better.

My boss just bought a 34' with twin big blocks. He paid quiet a bit, but this guy has many many toys and a very thick wallet. Just wish he could push a bit more of it my way

 

[tashasdaddy]

Re: Big Boats and Yachts - Do average folks really own these?

that's exactly why i have not bought a 'new' boat since 1969. let the others take the big depreciation hits.

 

[Mark42]

Re: Big Boats and Yachts - Do average folks really own these?

Boat loans on boats that have a head and sleeping quarters qualify as a second home and the interest can be deducted from itemized tax returns. But most folks who have income over $200,000 start to lose the deductions they can take due to their higher income. The alternative minimum tax kicks in and deductions go away.

When you are taking boats that cost a million or more, those people don't care about the deduction.

This boat is a corporate owned boat (if I remember right). The water is about 12 feet or more below the doc. It is a monster. Thats my daughter in the front.

This one, on the other hand, was moored in the same marina as the boat above last season, and probably has no loan (or actual value for that matter). I'm sure the harbor master asked them to re-locate. I've seen it at various location in the vacinity. PARTY!

This is the gauntlet I must run every time I launch my 14ft MFG. Most folks are nice and wave from the decks of these monsters. I know the navy blue one is privately owned by a local well to do resident.

Some people just have money and can afford the big stuff. Some of us can just afford 14 and 16 foot second hand boats we repair and modify ourselves. But we are all boating and having fun.

 

[DRIFTER_016]

Re: Big Boats and Yachts - Do average folks really own these?

This is my new dingy.

Here's a picture of the tender

And here's the TV

Actually you can rent this thing!!!!!!
But for some reason I couldn't find a price.
I guess it's that if you have to ask thing.
You also have to rent it for 2 weeks minimum. If I had to gues @ a price it would be $50K/week. So for a $100K you can live like a Saudi prince for two whole weeks!!!!!

Why so expensive?

type/year:
Luxury Motor Yacht/2003
refit: 12 million dollar refit i
beam: 4.40m (47' 2")
l.o.a.: 78.60m (257' 10")
crew: 26
charter Guest: 12
max speed: 18 knots
cabins: 6
engines: Two Deutz V12M SB 628

Probably has something to do with the 26 Crew!!!!