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Old 10-09-2019, 04:45 PM   #97
Art's Avatar
City: SF Bay Area
Country: USA
Vessel Model: Tollycraft 34' Tri Cabin
Join Date: Feb 2011
Posts: 9,617
Originally Posted by bligh View Post
I have not read this entire thread, but there are some cracks in your 'logical reasoning'.
For one many people have the cash but still get a loan. Maybe if one had "X" times the cash of the cost of a certain boat, the logical conclusion would be to buy the boat. So each boat buyer likely has a different definition of what "can afford" means to them in relation to their cash on hand.
Another assumption you make is that all boats depreciate. Sure most of the do. But a lot of boaters buy boats that are already depreciated and dont really depreciate much as long as basic maintenance is performed regularly.
Another thing to keep in mind is some buyers choose to take a loan so they can invest cash in stocks or real estate or whatever woul give them a higher rate of return on investment than the interest rate (cost) of a loan.
Correct, bligh!

We currently own three boats as well as several autos and trucks/suv. Two SUV's are the ones that somewhat depreciate... cause... when we purchased they had not yet fully depreciated and are not of a year or model providing intrinsic value. Pretty much the rest of em are worth what we paid years ago [depreciasion not accounted for] or worth considerably more... such as; 1967 Buick Wildcat - Classic Luxury Muscle car and a really cool 1985 vintage Chevy Cheyenne 1T, 4WD, 4 spd, w/ HP 350 cid/325 hp engine and 4" lift.

Regarding the boats: Last two sold we made considerable additional $$$ money above purchase price; even after years of owning. Our Tolly is worth about the same [maybe a tad more] as our purchase price 10 years ago. Cute tow behind Crestliner 4-seater w/ 50 hp Johnson and galve trailer is worth over 2X. People love it! We've had it for 9 years. 1989 19' Blue Water brand, cuddy cabin ski boat is a whole different story... family death and all that. It's 100% profit when we eventually sell, sans some restore stuff. Haven't completed it yet. Probably will keep it for a while... fun in the sun. Maybe to tow behind our RV. And, Oh Yeah; almost forgot the RV, it's worth more than paid for!

As you can see - we purchase carefully and take care of out units. For me [once we decide to purchase]; cash on the barrelhead gets deals done very quickly - and, at "my" right price! Otherwise, I'm never afraid to walk away from any deal, or to go full-in - depending on circumstances.

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