The news is full of the current property market boom, as millions try to leave city life for more rural areas and purchase houses with land or large gardens. Covid has driven people to seek space and fresh air over access to convenient city amenities.
The super wealthy are having their own boom too – but they aren’t looking for more land, in fact they are avoiding land and buying up all superyachts as they try to avoid all covid restrictions and lockdowns that may reoccur ahead.
So far well over £1bn has been spent on Superyachts in 2021.
The trend stared last summer and is the hottest sales streak on record according to Boat International. More than 50% of superyacht sales are in the US so people there could cruise in US waters, avoiding travel restrictions.
Many yacht owners “did not want to go near land” due to the pandemic.
Incase you are wondering a Superyacht is defined as being longer than 24 metres and typically needing a crew.
40m+ has had a large recent boom with the 30m+ group having been on boom since 2020.
Demand currently outpaces supply and the most successful models are sold at least two years in advance,
These size Superyachts usually cost between €1m and €5m (£860,000 to £4.3m) second-hand, and have running costs of about €200,000 per year for crew, mooring fees and fuel, said Boat International editor-in-chief Stewart Campbell. They can be kitted out with anything from spa pools, sun decks, gyms, or yoga decks.
Some interesting deals are reported on the secondary market. An example by West Nautical Sales and Chartering who had a customer who bought one 60m yacht. Several buyers fought for it and they had a long price negotiation get it. Then the owner sailed on it for four years and now has sold it at €100,000 more than he paid, even after owning it for four years!
Considering the industry has faced over a year of no boat shows, companies have had record breaking order intakes. Experts in the field see the Yacht word staying at high levels of interest and sales for many years to come.
Can We Help?
If you are a proud boat owner and would like to raise extra funds without having to sell your boat, please contact Almagrove Private Asset Finance to see how we can help you.