How To Buy Your First Yacht

The safest way to decide how to buy your first yacht may be to choose one that you are certain you can handle. If you are an experienced yachtsman, but have never owned your own yacht, you are probably fine in choosing one that falls within your price range. If you are inexperienced and just have money to burn, your first yacht can be a bottomless money pit if you do not maintain it properly. If you are going to finance your yacht, seek out a lender and have them explain the loan structure so you do not spend a lot of time searching for a yacht that is out of your price range.

1. Once you are ready to buy your first yacht, contact the seller. If you are not a seasoned sailor, take one with you that knows how to sail a yacht. As the seller lets you inspect the yacht, ask them why they are offering it for sale. See if you can determine if they are motivated, or just fishing for offers.
2. Ask the owner to take the yacht for a sail. See if you are happy with the way it performs on the water. Have the seller demonstrate the best way to sail the yacht, and see if they will allow you to take the helm. Sailing can be an intoxicating experience, so do not let your emotions get the best of you. The last thing you want to do is make a hasty offer to buy.
3. If you want this to be your first yacht, offer to buy it. Remember what your lender told you about the financing terms, and do not make an offer that you can not afford. You will probably have a back and forth exchange with the seller, until you arrive at an equitable price.
4. Finalize the sale and contact your lender. Inform the lender you are about to buy your first yacht, and give them the particulars of the sale. The lender will determine the amount they can finance, and set up your closing time. Gather your down payment, if one is required, and take the funds to your closing. Have the seller meet you at your lender’s office to finish all of the necessary paperwork to close the deal on your first yacht.