As we approach the end of 2022, the yacht sales market is showing some encouraging signs – despite the expected natural slowdown as we approach Christmas and our New Year holidays. We have reviewed the markets in all five offices as per. Please see below.
Despite depressing world news in all our markets, many yacht buyers are taking the view that they will not delay their yacht search and that life goes on. We are very active in all five offices, with a particularly high level of enquiries in the USA and UK. We will see if this translates into sales in early 2023.
In the USA market, there is a definite continuing downturn of interest in motor yachts as the price of fuel is discouraging buyers from moving forward.
We are seeing interest in sailing yachts from clients who have owned motor yachts in the past, and in more planet friendly ways of generating power – solar, Watt & Gen and so on across the board.
Berthing is a serious issue in all our markets. In the USA, many yacht owners have to dry sail their yachts. In the Mediterranean centres like Palma, the ports are very full and prices are super high – although there is supply at more economic prices in less sought after locations. In Sweden, the winter storage halls have filled up and it is hard to find space. In France and the UK berthing is also an issue. This means that yacht buyers who have not made berthing plans are unlikely to find it easy to complete a purchase in this market unless they are prepared to berth in a less attractive location than they would prefer or unless they dry sail.
Because of the price of berthing, people selling their yachts, particularly those who have only a limited programme for them, are moving away from the sales centres particularly in the Mediterranean. This means that a yacht search in 2023 can involve complicated travel arrangements for purchasers to see the yachts interesting to them. We predict that this will adversely affect the sales of yachts in these out of the way locations as buyers do not have the time to visit a yacht only half way up their wish list as they are nearly always time poor and keen to be focused on a live yacht search over a period of a few days.
Bigger yachts over 60 feet, are pushing the smaller yachts out of the centres of yacht sales like Palma as the docks are filled and the pricing for the berthing of smaller yachts is disproportionately high
The UK Revenue have confirmed this month that UK yachtsmen with European yacht paid yachts that did not visit the UK prior to Brexit will continue to be need to pay VAT if they return to the UK.
We have had a busy month bringing yachts to the market. Despite this, there is still a shortage of recent, high quality yachts on the market across the board.