You decided to do it. You read, studied and saved your money. As your funds came within a few months of being "enough" (a term that does not really exist in yachting), you began the search. The search led you to the internet and sites like Yachtworld, ebay and craigslist. You went on some demo sails. You agonized over what would be great to have versus what you could afford. Now you have located the right yacht. The price is high but in the ballpark. Is this the one? The list below is a blueprint-but by no means a complete-checklist to get you started.
1. Research- you need to have an idea of what type of sailing you will be doing, are you planning a world cruise or are you sailing on your community lake? Is there a racing club? Do you plan on racing? If there is a club, what yachts/classes are raced there? What features are important to you and your significant other? Will you entertain on the yacht? Will your family be using the yacht? What is your experience level? What will your dockage and storage cost? How much is your insurance? (I recommend US Boat insurance 877-578-0739). How much is a survey? Will you pay sales tax and/or registration? After dockage, storage and insurance quotes, how much yacht can you really afford? I recommend paying cash for whatever yacht you decide on. My experience is, if you can't pay for it, you more than likely cannot afford to own it. Are you willing to partner? This may get you a bigger yacht but I would say 85% of American yachters are "over-yachted" and this forces many exit the lifestyle prematurely. Keep money put away for unexpected repairs, they will come. That leads us to budget--what can I afford?
2. Budget- Americans have a very poor example of what we can/can't afford and fiscal responsibility from big brother--our own government. We tend to buy too much yacht, or finance too much yacht without really looking at the big picture. There is nothing cheap about yacht ownership but there are ways to go yachting on a small budget. If you get through the research phase of the purchase and you are ready to move forward, congratulations!! If not, don't be discouraged, there are many books on sailing at your local library as well as a ton of information via the internet. You can spend years planning, learning and educating yourself on sailing and seamanship without spending much money at all. The Lin and Larry Pardey family of books and videos are excellent ways to get started, and their tips and techniques are still valid today.
Above all things, do not make the mistake of over-yachting yourself. Do I need all those gadgets? Do I need a 45 foot yacht? Everyone's budget and needs are different. A bigger yacht doesn't make you a better sailor. Can I afford this yacht? That is a question only you can answer. Stressing your budget on "the" one is not a model that will sustain itself.
3. Search- this may be the most fun of the entire process! The internet has made finding a great yacht very easy and exciting! There are so many good websites to find sailboats for sale that I dare not mention them in fear of missing a really good/new one!! Start with a google search. I will say it is important to know your budget but don't be afraid to search out boats in a higher price category as prices ALWAYS come down and many yachts are sold at nearly 50% or less of their original asking price. If you are handy, you may be able to step way up in yacht if you are able/willing to work on it!! Always price compare the yacht you are looking at against every other possibility!! Yachts tend to lose their owners huge amounts of money but you can minimize some of your losses by tough negotiations on the front side of the deal. Take a look at a typical yacht listing found on a website-
Make: Jeanneau
Model: Fantasia
Length: 27 ft
Price: $ 17,500
Year: 1986
Condition: Used
Location: Milwaukee, WI, USA
Boat Name: C'est Si Bon
Hull Material: Fiberglass
Number of Engines: 1
Fuel Type: Diesel
Total Power: 10 hp
Number: 3804449
LOA: 27 ft
Beam: 9 ft 2 in
Min. Draft: 4 ft 11 in
Ballast: 1650
lb
Jeanneau Fantasia – C'est Si Bon
C'est Si Bon
The Fantasia is an excellent small cruiser which sails and points extremely well and holds her
own against much bigger boats. She has a modern layout below decks, offering good
accommodation for a couple or those with a young family.
Measurements
Southwind Marine LLC - Christopher Schorse
162 E. Lincoln Avenue, Milwaukee, WI 53207, USA
Toll-free: (866) 771-8938 Tel: 414-769-0000 Tel: (414) 769-0000 chris@southwindmarine.com
http://www.yachtworld.com/southwindmarine
Displacement: 5400
lb
Displacement Type: Dry
Load
Fuel Tanks #: 1
Fuel Tanks Capacity: 6 gal
Fuel Tanks Material: Steel
Holding Tanks #: 1
Holding Tank Capacity: 10 gal
Holding Tanks Material: Steel
Number of double berths: 2
Number of Heads: 1
Number of Engines: 1
Primary Engines: Inboard
Drive Type: Direct Drive
Engine Make: Yanmar
Engine Model: 1GM10
Engine Year: 1986
Total Power: 10 hp
Propeller Type: Folding
• Depthsounder • Log-Speedometer
• Wind Speed and Direction • Repeater(s)
• Navigation Center • Plotter - Norstar Chart Plotter
• Autopilot • Radio - w/ Ipod Interface
• Compass • VHF - ICOM w/ Command Mic in
Cockpit
• Electric Bilge Pump • Microwave Oven
• Marine Head • Heating - Electric
• Refrigerator - Ice Chest • Battery Charger
• Shore Power Inlet - 30 amp, Plus
90' Shorepower Cord
• Inverter
Propulsion
Features
Electronics
Inside Equipment
Electrical Equipment
Jeanneau Fantasia – C'est Si Bon Page 2 of 9
• Solar Panel • Swimming Ladder
Outside Equipment/Extras
Sail Inventory/Equipment
• Main Sails (3)
- Quantum high end main 2010
- UK racing main 2006
- old working main
- Mainsail Cover
- Single Handed Reefing System
• Head Sails (3)
- 155 UK racing Genoa 2006
- 155 Genoa, Good Shape
- 120 UK Genoa, Good Shape
- Head Sail Cover
- Harken Roller Furling System
• Spinnakers (2)
- Assymetrical, UK 2010 w/ Chute Sock
- Symetrical, UK 2004, w/ Chute Sock
Spinnaker Pole
• 4 Self Tailing Winches, 1 Mast Winch
• Boom Kicker
• Single Handed Rigged
• Standing Rigging, Cable, New 2006
Safety/Misc Equipment
• Life Lines
• Jacklines
• Safety Harnesses (2)
• Life Jackets (4)
• Life Sling
• Crew Overboard Pole
• Search Light
• Fire Extinguisher (2)
• Fenders (6)
• Mooring & Docklines
Jeanneau Fantasia – C'est Si Bon Page 3 of 9
• Anchor, QCR (2)
• Winter Cover, Canvas
• Winter Storage Cradle, Steel
Jeanneau Fantasia – C'est Si Bon Page 4 of 9
Photos
Jeanneau Fantasia – C'est Si Bon Page 5 of 9
Jeanneau Fantasia – C'est Si Bon Page 6 of 9
Jeanneau Fantasia – C'est Si Bon Page 7 of 9
Jeanneau Fantasia – C'est Si Bon Page 8 of 9
Jeanneau Fantasia – C'est Si Bon Page 9 of 9
4. Negotiating and contracts- In this world of legalese and attorneys, you can really get twisted up over all the language that is used in today's sales contracts and the subsequent negotiations thereof. Yacht sale agreements are no different. Below I am including a basic purchase agreement that you can have a look at. I will say two things (1) Get a survey (2) read your contract carefully. Purchasing a Yacht is a process and should be treated as such. There is no such thing as a perfect boat but there are boats that can wreck your budget in short order. You as the buyer are in control so act like it. Enjoy!!
Yacht Brokerage
YACHT PURCHASE AND SALE AGREEMENT
THIS AGREEMENT is entered between_________________________________________, whose
address is __________________________________________________________ (“BUYER”),
and _____________________________________________, whose address is
______________________________________________________________ (“SELLER”), the
owner of the _______________________________________________ described in the
attached Specifications and Equipment list (the “YACHT”).
BUYER and SELLER recognize Test Marine LLC, a Wisconsin limited liability company, as
the BROKER handling the sale of the YACHT on behalf of the SELLER.
1. Purchase and Sale Price. BUYER agrees to buy, and SELLER agrees to sell the YACHT and
its equipment for a total purchase and sale price of $______________________, subject to the
terms and conditions set forth in this Agreement.
2. Deposit and Payment. Upon full execution of this Agreement, BUYER shall pay as a
deposit $_________________. The deposit shall be paid to BROKER, and held in BROKER’s
escrow account subject to the terms of this Agreement. The balance of the selling price shall be
paid in collected funds to BROKER at the closing, for transmittal to SELLER.
3. Contingencies. This Agreement is subject to such of the following contingencies (if any)
as are initialed by BUYER below:
a. _______ Survey: BUYER shall have the YACHT surveyed at BUYER’s expense to verify
the condition of the YACHT and the information contained in the attached Specifications and
Equipment List. Any such survey shall be non-destructive. If the YACHT must be hauled for
such survey(s), SELLER may select the boatyard at which the survey(s) is/are to take place, and
shall deliver the YACHT to such locations at the SELLER’s expense. All costs of hauling,
surveying and launching the YACHT shall be BUYER’s responsibility to pay. BUYER agrees that
any surveyor selected by BUYER is exclusively BUYER’s agent, and that neither SELLER nor
BROKER shall have any responsibility or liability for any claims or disputes arising out of the
accuracy of completeness of such survey(s).
Test Marine LLC
Phone: (354) 123-0000 Fax: (000) 184-0000 162 E. Lincoln Avenue, Milwaukee, WI 53207 Web: www.testmarine.com
b. _______ Sea Trial: A sea trial shall be scheduled by mutual agreement between BUYER
and SELLER. If the YACHT must be launched for such sea trial, all costs of launching and rehauling
the YACHT shall be BUYER’s responsibility to pay.
c. _______ Financing: This Agreement is subject to the availability to BUYER of
satisfactory financing for the purchase of the YACHT.
d. _______ Insurance: T his Agreement is subject to the availability to BUYER of
satisfactory insurance for the purchase of the YACHT.
4. Final Acceptance or Rejection. BUYER shall have until 5:00 pm Central Time on
__________________ to satisfy him/herself regarding survey, sea trial, financing and insurance,
and to deliver to BROKER written notification of BUYER’s acceptance of the YACHT and its
equipment. BUYER may also by such time and date deliver to BROKER a written rejection of the
YACHT and its equipment. If neither notice is received by BROKER by such date and time,
BUYER shall be deemed to have rejected the YACHT and its equipment.
a. Acceptance: In the event a notice of acceptance is received from BUYER, the purchase
and sale transaction shall proceed to closing as set forth below.
b. Rejection and Return of Deposit: In the event the BUYER rejects the YACHT and its
equipment, this Agreement shall terminate and neither BUYER nor SELLER shall have any
further rights or obligations hereunder. In such event BUYER and SELLER authorize BROKER to
refund BUYER’s deposit to BUYER, after deducting any unpaid fees or charges incurred against
the YACHT by BUYER, including any unpaid costs of survey, hauling, launching or services
ordered by BUYER.
5. Closing. The closing of the YACHT purchase and sale transaction shall take place at
BROKER’s office, or at such other place as may be mutually agreed upon by BUYER and SELLER,
not later than 5:00 pm Central Time on _____________________________. The closing shall
be completed as follows:
a. SELLER shall deliver to BUYER all documents necessary to transfer good and absolute
legal title to the YACHT and its equipment. SELLER shall also deliver to BUYER all keys and/or
combinations for the YACHT and its equipment.
b. BUYER shall deliver to BROKER, for transmittal to SELLER, the balance of the purchase
and sale price, in collected funds.
6. Delivery and Risk of Loss. All risk of loss or damage to the YACHT and its equipment, or
to persons or property aboard the YACHT, shall be with the SELLER until closing. Delivery of
legal title to the YACHT and its equipment, right of possession, and transfer of risk of loss to
BUYER shall take place at closing.
7. Seller’s Representations and Warranties. SELLER represents, warrants and agrees:
a. SELLER has the full legal power and authority to enter into and perform this Agreement.
b. SELLER has good marketable title to the YACHT and its equipment and will, prior to
closing; obtain such consents or permissions as may be required to complete the purchase and
sale transaction.
c. The YACHT shall be sold, and acquired by BUYER, free and clear of all liens,
encumbrances, mortgages, duties, taxes (other than sales or use taxes imposed on BUYER), fees
or claims of any description whatsoever. SELLER authorizes BROKER to satisfy any such
obligations as may be known, and which remain unpaid at closing, from any sale proceeds in
BROKER’s possession.
d. SELLER shall defend and hold BUYER and BROKER harmless against any and all claims of
every description whatsoever as may adversely affect BUYER’s use and possession of the YACHT
and which were incurred prior to closing.
e. SELLER shall not use the YACHT after completion of the BUYER’s survey(s), except as
may be necessary to move the YACHT to storage or to carry out any sea trials requested by
BUYER.
8. Buyer’s Representation and Warranties. BUYER represents, warrants and agrees:
a. BUYER has the full legal power and authority to enter into and perform this Agreement.
b. BUYER shall pay all sales or use taxes as may at the time be imposed by any taxing
authority as a result of the sale and purchase of the YACHT and its equipment.
c. BUYER shall pay all costs and fees necessary for the registration, re-titling or transfer of
documentation of the YACHT.
d. BUYER EXPRESSLY AGREES THAT THE YACHT AND ITS EQUIPMENT ARE PURCHASED AND
SOLD “AS IS”, AND THAT NO WARRANTIES OR REPRESENTATIONS, EXPRESSED OR IMPLIED,
HAVE BEEN OR WILL BE MADE DIRECTLY OR INDIRECTLY BY SELLER OR BROKER ON WHICH
BUYER MAY RELY CONCERNING THE CONDITION, CAPABILITIES OR USE OF THE YACHT OR ANY
OF ITS EQUIPMENT. BUYER FURTHER EXPRESSLY AGREES THAT HE/SHE HAS NOT RELIED UPON,
AND WILL NOT RELY UPON, ANY ORAL REPRESENTATINOS BY THE SELLER OR BROKER AS THE
CONDITION, CAPABILITIES OR USE OF THE YACHT OR ANY OF ITS EQUIPMENT. BUYER
RECOGNIZES THAT YACHTS AND THEIR EQUIPMENT MAY HAVE BOTH APPARENT AND HIDDEN
DEFECTS, AND THE BUYER ACCEPTS RESPONSIBILITY FOR DETERMING THE CONDITION OF THE
YACHT AND ITS EQUIPEMENT, AND THE EXISTENCE OF ANY DEFECTS, PRIOR TO THE NOTICE OF
ACCEPTANCE (Paragraph 4a).
9. Damage to the Yacht Prior to Closing. In the event the YACHT is damaged after notice
of acceptance (paragraph 4a above) and prior to closing, such damage shall be repaired by
SELLER AT SELLER’s expense. Such repairs shall be subject to BUYER’s approval. In the event
such repairs are not completed, or cannot be completed, to BUYER’s satisfaction to allow the
purchase and sale transaction to proceed to closing as previously agreed, BUYER and SELLER
agree as follows:
a. The BUYER and SELLER may attempt to negotiate a reasonable price adjustment.
b. In the event agreement on a reasonable price adjustment cannot be reached, BUYER
may cancel this Agreement. In the event of such cancellation, BROKER shall refund to BUYER
the balance of any of BUYER’s funds as are in BROKER’s possession, after deducting any unpaid
fees or charges incurred against YACHT by BUYER, INCLUDING any unpaid costs of survey,
hauling, launching or other services ordered by BUYER.
10. Default by Seller. In the event of SELLER’s default which prevents the completion of the
purchase and sale transaction, in addition to any other rights BUYER may have, SELLER shall pay
all costs incurred by BUYER in connection with any survey(s) conducted on behalf of BUYER.
11. Default by Buyer. BUYER and SELLER agree that in the event of BUYER’s default which
prevents the completion of the purchase and sale transaction, the amount of damages
sustained by SELLER cannot be readily ascertained. It is therefore agreed that in the event of
BUYER’s default after notice of acceptance (paragraph 4a above) which prevents the
completion of the purchase and sale transaction, BUYER’s deposit (paragraph 2 above) shall be
retained by SELLER as liquidated damages and neither SELLER nor BUYER shall have any further
obligations under this Agreement. BROKER is hereby authorized by SELLER to disburse such
deposit as follows:
a. Any unpaid fees or charges incurred against the YACHT by BUYER, including any unpaid
costs of survey, hauling, launching or other services ordered by BUYER, shall first be paid.
b. BROKER shall receive one-half of the balance of such deposit, or BROKER’s agreed
commission had the sale been completed, whichever is less.
c. The balance of the deposit shall be paid to SELLER.
12. Southwind Marine Services. BUYER and SELLER recognize that Southwind Marine LLC is
engaged in the business of operating a boat storage and service facility, in addition to yacht
brokerage. In the event Southwind Marine LLC is selected by either of the parties to furnish
additional services relating to this transaction in addition to acting as BROKER, such as services
relating to launches, lifts, sea trials or any other services, the fact Southwind Marine LLC
furnishes and receives payment for such additional services shall in no way create a “conflict of
interest” on the part of Southwind Marine LLC.
13. Time is of the Essence. BUYER and SELLER agree that times and dates set forth in this
Agreement are of the essence, and may be changed only with the mutual written consent of
both BUYER and SELLER.
14. Governing Law. This Agreement shall be construed in accordance with the laws of the
State of Wisconsin.
15. Binding Effect. This Agreement is binding upon and insures to the benefit of the parties,
their successors, heirs, executors, administrators and assigns.
16. Survival. This Agreement shall survive the closing of the purchase and sale transaction,
and shall not be merged in or otherwise affected by the execution, tender, delivery or
acceptance of any documents related to this transaction executed or delivered at or
subsequent to the closing.
17. Arbitration. BUYER and SELLER agree to make every effort to resolve amicably any
dispute, controversy or claim relating to this Agreement, including but not limited to its
interpretation. Any such dispute, controversy or claim which cannot be resolved amicably, or
through some other alternative dispute resolution process agreed to by both parties, shall be
referred to binding arbitration, which shall then be the sole and exclusive forum for the
resolution and settlement of any such dispute, controversy or claim. Unless both parties agree
to some other arbitration process, the arbitration shall be conducted in accordance with the
commercial arbitration rules of the American Arbitration Association, and held at Milwaukee,
Wisconsin. The arbitrator’s award shall be final and binding on BUYER and SELLER, and shall be
complied with without delay. The award shall fix and apportion the costs of arbitration. In the
event BROKER becomes party to any arbitration, and is found not to be at fault, the arbitrator’s
award shall reimburse BROKER for costs and attorney fees by the party(s) found to be at fault.
The arbitrator’s award may be enforced in any court having jurisdiction over the party against
whom the award has been rendered, or where the assets of the party against which the award
has been rendered can be located. The parties agree that the issuance of an arbitration award
shall be a condition precedent to either party’s institution of any legal action or proceeding in
any court on a matter relating to this Agreement, and that neither party shall resort to any
court except to compel arbitration, refer questions of law, or to confirm, vacate or modify the
arbitration award.
18. Additional Provisions.
BUYER and SELLER have executed this Agreement at Milwaukee, Wisconsin, as of the date(s)
written below. If BUYER and SELLER execute this Agreement on different dates, this Agreement
shall be effective as of the date of the last to sign.
BUYER:
Signature: ______________________________________ Date: ________________________
Witness: _______________________________________
Signature: ______________________________________ Date: ________________________
Witness: _______________________________________
SELLER:
Signature: ______________________________________ Date: ________________________
Witness: _______________________________________
Signature: ______________________________________ Date: ________________________
Witness: _______________________________________
