Selling a Boat Without a Broker

[Sailor_Al]

I'm considering selling my boat without a broker. I expect to keep everything "up and up", use a lawyer, and title company. I feel that 10 percent is a lot of money when the brokers are expecting the boat to sell itself, and they are not providing much for comparisons. It's a hot market and I'm wondering it I shouldn't try it on my own.

Has anyone else been down this path? Was it worth it?

 

[Sailor Sue]

We sold our last two boats without a broker. A Frers 33 15 years ago, and a Tartan 372 10 years ago.

 

[dlochner]

I've done both, sold with and without a broker.

Whether using a broker will work for you depends on a lot of factors, the big two are time and effort. It will take time to effectively market your boat, placing ads (and paying for them), answering emails, and the most time consuming is showing the boat. If you live close to the boat and if your schedule is flexible, then showing it may not be much of an issue. On the other hand if you work or live some distance from the boat this can be a highly time intensive endeavor, not to mention frustrating when you get the tire kickers who have little intention to buy.

A broker will give you a wider market reach even if they do not actively market your particular boat. The boat will be listed on the broker's website and on YachtWorld.com. The broker will also handle all the paper work, so you will not have attorney fees nor will you have additional marketing fees. The broker can also coach you on how to make your boat more salable. And the broker wastes his time on the tire kickers, not yours.

Perhaps the greatest value the broker has is dealing with issues if something threatens the deal. He is a buffer between you and the buyer and can help negotiate a resolution.

 

[Don S/V ILLusion]

You can pay a broker a nominal fee for a yacht world listing which depending on the amount, might be of value to expand the market. Otherwise, brokers serve little more than as a phone answering machine in my view, some not even good for that.
Good appropriately valued boats sell themselves.

 

[danm1]

I don't use brokers and a feel sorry for the sellers who do when they pay their commissions, but I have time and, I think, objectivity. A well priced boat in good condition should have multiple offers within a short time in today's market. If it doesn't, it is not well priced. The best thing about a broker is that they are invested in the sale, not the boat. They don't care if the buyer thinks your "valuable" improvements were a mistake, or if the buyer plans to use the boat as a planter. They can deal with a buyer you might not like. The second best thing is that a broker whose office is near a boat can show it easily and as often as necessary. Third best is that they can do the paperwork (although it's really not difficult if you check State or USCG websites as appropriate).

 

[capta]

Otherwise, brokers serve little more than as a phone answering machine in my view, some not even good for that.

Actually, unless you want to be available almost any time, your broker should be available to show the boat when a prospective buyer wants. Ours has done video showings for those far away and in different countries, something I have neither the time or inclination to do. My time is worth more than saving 10% in most cases.

 

[jssailem]

If a Broker can get more for the boat than you think it is worth, then the Broker is worth his/her commission.

 

[dlochner]

If a Broker can get more for the boat than you think it is worth, then the Broker is worth his/her commission.

Interesting notion. What about the buyer's perspective. He thinks he can get a lower price because the seller isn't paying a commission.

In the end, the value of the broker to the seller is convenience and time. As @capta says, what is your time worth?

 

[Benny17441]

It just depends how valuable is your own time; for an absentee owner it can be a no brainer.

 

[NYSail]

I used Craig’s list for two boats and sold them quickly. No lawyers or title companies. Dealt with a couple of fake buyers but no big deal…..

 

[DougM]

I sold my boat last year without a broker.
I had it on the market through a couple of websites during the summer. It was fairly easy to sort out the ”tire kickers” from the serious buyers. Near the end of the season I got two solid offers on the same day and accepted the better of the two. I received more net money for the boat than I would have had I used a broker. The buyer, who was a knowledgeable sailer, did not request a survey, but did have the chance to read an insurance survey that was done last spring. He signed an “as is” contract, and paid with certified funds.
The title transfer was as simple as with a car, done at the Secretary of State office. All he had to do was pay the sales tax there. In the end he got a good boat.

 

[Terry Cox]

Hi Al, sold our first boat without a broker and used our Credit Union as escrow. Also used a standard Sales Agreement to document the sale. Went through without a hitch.

Sold our first and third homes the same way using a standard Sales Agreement. As long as both parties accept the terms with a willingness to close the deal, it should work out just fine. I did use a brokerage attorney to handle the terms and escrow due to the amount of money involved at nowhere near what a broker fee would have cost us. I kid you not, within two hours of placing a For-Sale-By-Owner sign in our front lawn, we had a firm buyer. That buyer stopped as they drove by before I could even get back in the house from placing the sign.

As they say, it's all about curb appeal, curb appeal, curb appeal. Same goes for the boat. And be flexible when the time comes to settle the price. Playing hard ball with the first serious buyer could nix the deal and then be stuck with several more months of slip fees before the next serious buyer enters the picture.

 

[FastOlson]

As they say, it's all about curb appeal, curb appeal, curb appeal. Same goes for the boat.

That was an important part of our selling process for our prior boat, too. Really important. I figure that if the prospect does not actually 'want' the boat, then it's probably a waste of time to argue about the price.
Aside: some posters keep referencing the "ten percent" like it's an actual or ancient l law. It's only a custom.
(FWIW, real estate transactions dropped the notion of a fixed unchanging commission many years ago.)

 

[Morgan donor]

I sold two 38' boats one with, one without a broker. The broker was from a highly regarded dealership/marina. He was an easy hour drive away and NEVER showed the boat. He had the listing at least a year likely more. So my advice is make sure your boat is convenient for the broker for best results.

Craigslist brings dreamers and scammers these days. Ask them to set a time to see it and usually they go away. But ultimately CL brought the buyer who was local.
Boat Trader didn't do much. Facebook MP didn't exist 7 years ago ( or I didn't know about it).
A broker acts as a "filter". If you have the time & temperament to deal with the clueless, dreamers, and the occasional qualified buyer and the 10% fee is meaningful, go for FSBO.

 

[Banooma]

Selling my Catalina 28 locally and without a broker this spring on Craigslist was pretty straightforward. I didn't even bother posting it elsewhere. I heard from 3 potential buyers and two flaked out or dropped out. It took longer waiting for the survey schedule than it did to show the boat and agree to the price. The one that rose to the top was direct and honest and it worked out pretty easily. The biggest concern I had was dealing with a potential bad check, a liability I assume would be professionally managed by a qualified brokerage. In my case, the buyer had the certified check drawn from his own bank in my presence, which was right down the street from the marina. I drove down the road a few miles to my bank to make the deposit. Piece of cake. Now he's got a boat I hope he'll enjoy as much as my family did, and I have a fund toward purchase of the next one.

 

[SEMPERAVANTI41]

I sold my Hunter 41 DS 2 years ago thru a broker in Florida. Happy with the results. It all depends on the broker and the price point of the sale.

 

[DArcy]

I sold my last boat and bought my current boat without brokers with no problems on either transaction. There are good brokers and bad, my experience in buying a boat is it is hard to find a good one. All of the listings by brokers that I contacted were very slow to respond, some never did, some were very terse and not at all helpful. All of the private listings by sellers I reached out to were very responsive. If you decide to go with a broker, do your research and get recommendations. Sometimes they really do not add any value and may actually slow the process down.

 

[JamesG161]

Find a good Broker, since he does all the correct paperwork, like clearing the title.

Most Brokers split their fee 50:50 with the Buying Broker.

Saving yourself say $10k is not much for the services done and peace of mind.
Jim...