I like to think of the purchase price of the boat as an
investment. I know it probably won’t
increase in value, but for me it is an investment. Whether it was a “Venti
Carmel macchiato with two pumps and whipped” or a new issue of Go Boating, I
would be spending the money on something.
I figure the money I spent on the boat and the hours of pleasure I get
from it are a lot cheaper than hours I could be spending on a psychiatrist
couch. Come to think of it, it’s not
just an investment but a health benefit.
So let’s be real. The boat is using money that could be
gaining interest (small as that might be) in an investment account. It’s always
good to remind yourself where the money is going and how much. Not that you’ll
care, but at least you won’t be surprised.
There are other costs which I like to break out into
“variable costs” and “fixed costs”.
Variable costs are items like fuel and oil. The amount of money it costs
me is based on how much I use the boat. Anything that is consumable, time
limited or based on wear and tear or hours used, can be considered a variable
Fixed costs are just that, fixed, no matter how much I use
the boat. This can include slips, insurance, license etc. I still have to pay the fixed costs even if I
leave the boat in my yard on the trailer.
And don’t forget to throw in a few extra costs like GPS, charts, skis
is not only a fixed cost it is a major cost on some boats. Make sure you check buying the insurance
before you buy the boat. Don’t commit to the deal and find out you can’t buy
the insurance because the boat is too big or too fast. I own a specialty
insurance agency, take my word on this.
Last and probably
more important than any other factor is your personal preferences. What do I really want in a boat? This can
actually override all the common sense factors; it’s the wild card in the
“selection deck”. It is very important,
but don’t let it get in the way of buying a good boat.
Make sure the boat
you buy is something you can handle and afford. Choose something that fits the
way you live and where you live.
Remember, if you can’t afford the boat or can’t handle the boat, it will
sit in the driveway and never see the pounding waves. And if you just have to
get it, buy it. But if you are not sure, keep looking, there’s always another
boat coming into the used boat marina.
Want to figure how
much your boat cost? Send me a note and
I’ll email you a cost analysis spread sheet. You can plug in the numbers and
see what your boat is costing you. Or what that new boat you are thinking about
buying, might cost.
Labels: Boat Insurance, boat maintenance, boat safety, Boat shows, boating, boating service, boats, cost, cost of ownership, marine insurance, power boats, sail boats, Sailboat