Boat Valuation

Boat Valuation

I provide yacht and motor boat valuations, mainly for finance and insurance purposes. They are ‘open market’ rather than ‘replacement’ values.

If you need a boat valuation only, whether for insurance, finance or probate, I can view the yacht while it is afloat: the valuation will be based on the assumption that all underwater parts are in good order. Valuations are anyway based on the further assumption that the structures, fittings, equipment etc are in a state consistent with the external appearance.

Valuations are expressed in the general terms as an “open-market value, as & where lying, assuming a fully-informed purchaser and a willing vendor, and having been on the market for between 30 and 90 days”.

Because of the present uncertain economic climate, at the moment I add a further caution that a forced sale is likely to be for significantly less than an open-market value.

Insurance valuations should not be confused with replacement values or costs, which may be substantially higher in some cases. In the UK, underwriters will not normally insure a yacht for its theoretical replacement value.

Valuations are calculated partly by depreciation (if the craft is relatively new) and on known average sale values achieved by yachts of similar type and condition.

Valuations are usually given as a range between two sums, because (unlike for example with cars) there are relatively few examples of each class of yacht on the market at any one time, and those boats may vary widely in condition and equipment. It is therefore quite unrealistic to give a precise single figure. The exception is when valuing for probate, when a precise sum will be required by the HMRC.

As a guide, valuations are charged at one-third of a full yacht survey price, but subject to a minimum.

Contact

Call 01929 480064 or email Anthony Byrde to discuss your own requirements further