Where is the Market?

That this 42 Krogen is still for sale might be saying something about this present market, any thoughts out there?

Graham

Graham's referring to Stout. I split this post from the classifieds.

It's not the market, it's the price.

What I've seen, being no expert...

A boat that is head and shoulders above the norm, and priced near the norm will sell fast.

A boat that is about the norm and priced below the norm will often sell fast.

A boat that is head and shoulders above the norm, and priced high might represent a great value but it will take a buyer that understands that value.

Most buyers ive seen try to get the most boat for the buck. Thats simply because either they cannot afford a higher priced unnit, or have a signifigant other in their lives that is affecting the purchase, or they underestimate what it takes to transform boat A intoo boat B. You see it all the time. Low price wins unless the boat is trashed.

My opinion is a boat that has had a ton of money spent on it is a bargain, but thats just me.

Don't know about the market in USA I think you are a lot of lucky buggers with price and choice . Here in Australia there is nothing worthy of purchasing in the 35' to 42' trawler type boats for under $200000 . In the last 8 weeks I have had 4 boats surveyed and failed when it came to negation on the asking price after survey . Its seems to be a sellers market ??

Actually the market right now is good. Not 2008 good but that's fine. Brokers are dealing with a shortage of some of the boats they'd like to have. If a boat isn't selling, it's either condition or price or sometimes location. The other major reason is not using a broker and getting that exposure. The vast majority of boats in that price range are sold by brokers.

I always loved the design concept of the kk42's. However all the recent threads about expensive fixes of waterlogged bottoms has turned me off.


Yachtworld has a 1997 KK42 in Fla with a solid frp bottom This seems like the way to go or even a newer 39.


IMHO JohnP

Having a good KK 42' on the market for a while could mean all kinds of things not to do with the market trend. Compromises, people putting money down to hold, deals not jelling from lack of finance-ability, promises, Brokers, personalities, and even interests inside the KK community itself......way too many reasons to speculate.

JohnP said:

I always loved the design concept of the kk42's. However all the recent threads about expensive fixes of waterlogged bottoms has turned me off.

Yachtworld has a 1997 KK42 in Fla with a solid frp bottom This seems like the way to go or even a newer 39.

IMHO JohnP

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I think the whole waterlogged bottom issue is overblown. It's rare, I believe and can depend on how it is store in cold climates. Two surveyors "sounded" the hull on PH and it came up fine. She's hull 90, 1985.

As for the price of Stout? I haven't seen the boat. PH is also a 1985, with new fuel tanks, ESI fuel polishing system, new raised helm, new genny, teaks removed and side and fore decks refinished, new fridge and freezer, new propane range, new Tecma heads. While she doesn't have hydraulic stabilizers, she does have poles and paravanes, which is my preference. Compared to the boats I've been on, she's on the high end of an'85 model and we purchased her for <$200k. I consider myself very lucky to have her, particularly, with the Canadian $ plummeting since we purchased.

I'm aware of a very late model KK42 that went very close to her asking price of $450k+. She was impeccably maintained.


Jim
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The asking price for Stout went down significantly a few weeks ago iirc. Great boat, but even with all the upgrades and being in such nice condition, it is still an old boat. I would think with the asking price being lowered, it will sell soon.

How much does it cost to sell a boat through a broker?
A percentage of the sale price I assume .... 6% .. 10% ?
If I tried to sell Willy myself I'd probably ruin many sales w my direct mouth.
When the time comes it would'nt hurt to get some scope.

manyboats said:

How much does it cost to sell a boat through a broker?
A percentage of the sale price I assume .... 6% .. 10% ?
If I tried to sell Willy myself I'd probably ruin many sales w my direct mouth.
When the time comes it would'nt hurt to get some scope.

Click to expand...

It costs 10%. With any boat of appreciable value such as the one in question, it just broadens the potential buyer pool.

Some brokers also have a minimum of $5K. So it's 10% on boats costing >$50K and a flat $5K on boats of less than $50K. I am sure this varies by broker.

The expensive add-ons for a boat like a Krogen 42 are seldom recovered. The boat may sell faster, but there is a price level for each year of a boat's make. Much higher than that price and the boat won't sell.

Our stabilizers, dinghy crane, solar and wind generation, fiberglass deck (as opposed to teak) new tanks, built in furniture, etc will just get the boat sold, not much higher in price than a boat without those features.

That is why if you can buy the boat with everything on it you want.

10% is correct. However, you can also work a deal with your listing broker, such that if he/she winds up handling both ends of the deal, the commission is cut to 7-8%. Most will agree to this.

BandB said:

It costs 10%. With any boat of appreciable value such as the one in question, it just broadens the potential buyer pool.

Click to expand...

KK42's value peaked in 2006/2007. I don't think those values will ever be met a again. Given the 8 plus years since then and the economy, can you say depreicating asset?

We've owned Hobo going on nine years and hope to have for another 5-10. When it's time to sell she will priced in the lower end to sell her. She doesn't owe us much now and even less later.

IMO todays buyer is often unfamiliar with the size boat they are looking at and is unable to tell a well maintained boat from one that is not so they buy exclusively on price.

bayview said:

IMO todays buyer is often unfamiliar with the size boat they are looking at and is unable to tell a well maintained boat from one that is not so they buy exclusively on price.

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...and yet within the same make and model, we found that a higher priced vessel does not necessarily mean it's in better condition. That said, I'm certain that Stout is a very nice boat from what I've been able to determine from the website.


Jim
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Stout is an amazing boat, IMHO, and worth much more than the sum of her parts. That said, another issue aside from those already mentioned here is financing. I assume that due to her age there are few if any banks that would consider giving a loan on the boat, and the fact is that there are not many people who are able to simply cut a check for close to $300k (and those who are able to do so may very likely be looking at newer boats). That also shortens the potential buyer pool. Also, I think most people do searches on Yachtworld based on criteria, including price, and if someone is searching for a 1985 boat, they may very well have put the search price much lower. All this said, for someone Stout is going to be a very, very nice boat.

Carolena said:

Stout is an amazing boat, IMHO, and worth much more than the sum of her parts. That said, another issue aside from those already mentioned here is financing. I assume that due to her age there are few if any banks that would consider giving a loan on the boat, and the fact is that there are not many people who are able to simply cut a check for close to $300k (and those who are able to do so may very likely be looking at newer boats). That also shortens the potential buyer pool. Also, I think most people do searches on Yachtworld based on criteria, including price, and if someone is searching for a 1985 boat, they may very well have put the search price much lower. All this said, for someone Stout is going to be a very, very nice boat.

Click to expand...

The KK42 market is a tight one. I met a fellow who was actively looking for 5 years with one failed offer before settling on a private sale. He looked at a lot of boats over that time. When the really good ones come up they go for near what the current owner is asking: these were both 1998 models and the people who bought them knew the owner and how these vessels were cared for. The knowledgeable buyers of these boats have a clear idea of what they want and are willing to wait for the right boat.



Jim
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real prices

For your reading enjoyment

boatpoker said:

For your reading enjoyment

Click to expand...

I wonder if the '83 and '86 sold in WA via the same broker, were the same boat each time.
The '83 sold in Feb and Mar.
The '86 sold in July and Sep.
Broker flips maybe?

Hawgwash said:

I wonder if the '83 and '86 sold in WA via the same broker, were the same boat each time.
The '83 sold in Feb and Mar.
The '86 sold in July and Sep.
Broker flips maybe?

Click to expand...

The listing dates on the 86's would indicate that's quite possible. The listing dates on the 83's would indicate not.

Thanks all for the posts to my query, great reading.

I seem to remember one of those boats listed by the fair have broker was on the market twice. Can't remember the circumstances. I believe I talked to the owner who eventually purchased it.


Jim
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