Buyer's Broker Topic ... Again

[JohnO]

Hey All – I know others have posted questions on this topic but wanted to revisit it in today’s seller’s market … that is, the pros / cons of a buyer’s broker.

Aside from helping with the process, it seems that a key value is in finding off-market or almost-to-market leads. We have targeted our search specifically to KK42s in the 1980-1990+ vintage (approx. $200-$300k). We feel like we can navigate the buying process reasonably well, but wondering if engaging a broker would really be helpful in sourcing a boat.

Appreciate any thoughts. Also, would a larger firm that has an East Coast and West Coast presence be preferred over others (i.e. broader market coverage) ... we are in the PNW, but open to a purchase on the E coast, specifically Florida, and shipping home. Would also appreciate recommendations on a broker and/or firm. Thanks much!

 

[Crusty Chief]

PM sent.

 

[Judy at JWY]

I will withhold giving the pros and cons of using a buyer's broker so as not to appear self-serving. However, in the spirit of providing helpful information, I offer a few comments:

I am not sure that looking for "pocket listings" should be the primary reason for using a buyer's broker. Yes, we brokers all know of boats that might be for sale or have clients we can check in with to ascertain their level of selling interest, but I don't think that should be your primary motivation in using a buyer's broker.

If you should continue on this course, interview the broker: what percentage of yacht sales does s/he serve as Buyer's Broker? How many such sales have they concluded in the past year or two? Can they provide letters of recommendation from both buyer and seller on the last 5 such closings? How many trawlers have they sold? How is their reputation in the trawler/brokerage market (a buyer's broker must have excellent rapport with other trawler brokers).

Wishing you success on your endeavor.

Judy

 

[Hippocampus]

My buyers broker (Dave Balfour at nordhavn) has kept me from buying the wrong boat several times. This is worth so much beyond the dollars involved. There’s people in this field where it’s an avocation not just a job. Then there’s the group of smooth talkers with great marketing skills where it’s all about the money honey. If they do highly polished videos, go and speak at the various trawler functions that says nothing about their motivations and integrity. Ask if you can speak to other clients. I’ve spoken with and have been on the boats he’s been involved with years and years in the past. They’re still friends not just clients. That speaks volumes.

 

[IRENE]

With the information you have provided, I recommend you contact Jeff Merrill at JMYS.com.

 

[JohnO]

Thanks all - good advice all around... we'll continue to take our time and find the right agent. Inventory is pretty slim right now anyway, and I'm guessing it won't get any better through the summer.

 

[Ted]

https://www.yachtworld.com/boats/1983/kadey-krogen-pilothouse-3823631/

 

[JohnO]

Thanks Ted - saw this one. Layout doesn't work for us. She's now under contract as well... Appreciate the head's up though!

 

[Hippocampus]

It depends. Would make an informed decision. Lots of other excellent houses other than Jeff’s. See above.

 

[Shrew]

Thanks Ted - saw this one. Layout doesn't work for us. She's now under contract as well... Appreciate the head's up though!

KK42 1980 -1990 with a specific layout. You're slicing the cheese pretty thin, particularly in this market. You my be looking for some time.

What was wrong with the layout of the vessel in the link?? What layout are you looking for??

 

[BandB]

Hey All – I know others have posted questions on this topic but wanted to revisit it in today’s seller’s market … that is, the pros / cons of a buyer’s broker.

Aside from helping with the process, it seems that a key value is in finding off-market or almost-to-market leads. We have targeted our search specifically to KK42s in the 1980-1990+ vintage (approx. $200-$300k). We feel like we can navigate the buying process reasonably well, but wondering if engaging a broker would really be helpful in sourcing a boat.

Appreciate any thoughts. Also, would a larger firm that has an East Coast and West Coast presence be preferred over others (i.e. broader market coverage) ... we are in the PNW, but open to a purchase on the E coast, specifically Florida, and shipping home. Would also appreciate recommendations on a broker and/or firm. Thanks much!

A buyer's broker can save you tremendous time and effort and may well prevent you making a serious mistake.

Interview a potential broker in the same way you would a potential employee. Then listen carefully to their questions. That part may be more important than your questions. A good broker will ask you enough questions to really understand your needs.

 

[KnotYet]

My limited experience suggests looking on your own and bringing in a buyers broker
only if you need some help with arranging the deal.

I have been in a contract with a broker who has brought to my attention exactly
zero boats that resemble what I am looking for. The only one we looked at was one
that I had already found when I entered into the contract with them 10 months ago.

I am hesitant to mention other possible boats because if they set up a showing,
I will be bound to use them even after our contract expires in a few months.

I realize that this is the busiest period for boat sales in a long time and inventory is low
but I have seen a few listings I might be interested in come up in the last year.
I guess I expected a bit more effort. OTOH, if someone suggested a broker that really
worked out well for them I might at least talk to them and then decide. Good luck.

 

[JohnO]

KnotYet – thanks for your perspective … your experience is what I’m concerned about and would like to avoid.

I don’t want to minimize the value of brokers … I recognize that having representation is very helpful at all stages of the process, whether a buyer or seller. TF has been a great resource for us as we’ve ventured back into the boating world … lots of very knowledgeable folks and great info. I'm just looking for points of view and recommendations so that I can make as an informed decision as I can.

Also – Shrew – you are right ... looking for a specific make/model is already slicing the cheese thin, especially in the current market. The vintage is a function of what we can afford. As to the layout, what I've seen in the KK 42s is that there are generally 2 different floorplans … the boat you referenced has neither (in fact, I’ve not seen that layout before), and it's not a plan that works for us ... the layout we're looking for is queen island master forward, twin stateroom port (with pullman bunk) and 1 head vs. ensuite head in master with the queen offset to starboard. Thank you again for sharing the link!

 

[JohnO]

Oh - and if you could arrange for it to be in Florida post hurricane season that would be awesome!

 

[Redpiper]

Thanks Ted - saw this one. Layout doesn't work for us. She's now under contract as well... Appreciate the head's up though!

Not under contract anymore ! ... We closed today

 

[slowgoesit]

Not under contract anymore ! ... We closed today

Congrats on your new boat! My only issue was the almost 8000 hours on the FL135. Looks WELL maintained though.



To the OP, Don't compromise on your layout desires! Other than condition, I think that's one of the single most important factors in choosing a boat. Good luck in your search!

 

[Redpiper]

Thank you ! Yes, that's a bunch of hours, but the boat seems to have had a charmed life. Lived in a boathouse since '91 and cared for by a very knowledgeable conscientious owner. And I agree about layout - to each their own as it really motivated me on this boat. To each their own according to how they plan to use the boat and every one is a compromise.

 

[Comodave]

Bob Smith once told me that the watermen on the Chesapeake would bring in their Lehmans at 20,000 hours for a preventative rebuild. If it has been maintained 8,000 hours wouldn’t be a deal killer for me.

 

[tiltrider1]

We used to think 4,000 hours was old when most boats only had 2,000 hours. Now we think 8,000 hours is old as most boats have 4,000 hours. In a few years we will think 10,000 hours is old once most boats are at 6,000 hours. Truth is we just don’t know what is old yet.

 

[BandB]

We used to think 4,000 hours was old when most boats only had 2,000 hours. Now we think 8,000 hours is old as most boats have 4,000 hours. In a few years we will think 10,000 hours is old once most boats are at 6,000 hours. Truth is we just don’t know what is old yet.

Wifey B: I use to think 40 was old. I imagine most here thought 60 was and now think 80 is except a few who think 100 is now.

 

[JohnO]

Congrats RP!