How to Buy a Yacht

Start with use, not with a yacht

Almost every acquisition that goes wrong began with a yacht rather than a brief. Before any listings are opened, the decision that matters is how the yacht will actually be used: the cruising grounds, the number of weeks aboard, whether guests are family or a rotating list, whether the yacht will be offered for charter, and who will be responsible for it when you are not there.

Those answers set length, layout, draught, range and crew number far more precisely than any wish list. They also set the annual budget, which is the figure most owners underestimate.

Assemble the team before you view

A buyer is normally represented by a buyer's broker, a maritime lawyer, a surveyor and, where an existing yacht is concerned, a technical superintendent. The seller has a central agent who represents the seller's interests, not yours.

• Buyer's broker — search, shortlist, comparison and negotiation.
• Maritime lawyer — memorandum of agreement, flag, ownership structure and VAT position.
• Surveyor — condition, machinery, class and compliance.
• Superintendent — refit scope, yard periods and realistic costings.

Offer, survey and closing

An offer is made subject to survey and sea trial, usually with a deposit held in escrow. The survey and trial either confirm the condition or produce a schedule of defects, which is the normal basis for renegotiation or withdrawal.

Closing transfers title through a bill of sale and the agreed protocol of delivery and acceptance. Flag, registry, VAT treatment and crew employment are settled in parallel, not afterwards.

New build is a different exercise

A new build is a multi-year construction contract with staged payments, a build supervision team and a delivery date that moves. It suits owners who want a specific result and have the patience for it. A recent brokerage yacht with a documented refit history is usually the faster route to being on the water.