Moderated Discussion Areas
ContinuousWave: Post-Classic Whalers
depreciation on new whalers
|Author||Topic: depreciation on new whalers|
posted 01-13-2004 09:01 AM ET (US)
I don't know whether this should be posted in marketplace or here......
I guess specifically for TG-190, who may or not change his name to TG-260, if and when you sell your 190 nantucket (which i gather from posts you made back a few months that you paid about 35k for) would you mind posting an idea for what you sold it for? I guess I am curious how these boats hold their value. Perhaps its moot and you will just trade it in to the dealer...
posted 01-13-2004 09:11 AM ET (US)
The most depreciation in value occurs in the first ten minutes of ownership. After that, the rate is much more tolerable, and with age, some Boston Whaler boats can actually increase in value.
It would be interesting to hear how a Boston Whaler dealer handled a rapid trade-in and trade-up situation.
The SeaRay dealers have made this into a fairly painless process. They get people into boating with a smaller SeaRay, and if the customer wants more boat, they painlessly trade them up and up, getting them a bigger SeaRay every couple of years, until they are into the 50-footers.
posted 01-13-2004 10:25 AM ET (US)
I am looking to go bigger, but I still may just opt to keep the Nantucket, and put the money into offshore charters. I like the Nantucket a lot.
As far as what I would get (without a haggle): $28K on a trade.
I would expect the depreciation to subside in typical whaler fashion in the coming years.
I have posted a question on the 2001 26 outrage, if somebody could help me out there I would appreciate it.
posted 01-13-2004 10:56 AM ET (US)
The thing to remember is that if retail was $35k, then the dealer can buy a new boat from Boston Whaler for less than $28k. I find that when trading cars, I figure what I will pay difference and I don't even want to know what the dealer will give me for my car or what he says his car costs. He can put any number in the deal, he wants. All that counts is difference.
posted 01-13-2004 11:14 AM ET (US)
I did the rapid trade-in that you mention going from a 2003 Montauk 170 to a 2000 18 Outrage. I used the same dealer. The process was simple, I just gave the Montauk package back with less than 10 hours on the engine they gave me a trade in value equal to the purchase price less 15%.
Although I had wiggle room when negotiating the final price of the Outrage I had no wiggle room on the Montauk trade-in value.
Like you said, that depreciation happened in the first ten minutes of ownership. I was naive to think they would have given me more and I am sure I could of sold it privately for more if I had the time. I had "bigger-boat-itis" and happily signed all documents that were thrust in front of me as the dealer made it very painless to make the transition., seems like a dream when I think of it : )
I'm happy now, even though if I had really known up front what I had wanted it is likely I would not have purchased the Montauk in the first place and thus saved a few dollars.
posted 01-13-2004 11:25 AM ET (US)
True, the trade-in # is only one component of the deal. They can pad it in either direction so you don't feel like your getting too ripped off. The fact remains that they make money either way.
Like I said, i would expect the depreciation to moderate the more years into ownership one gets. The big advantage (if you want to call it that) of a trade is the tax advantage because the trade value comes off the price of the newer purchase before the tax is added in. So, the tax on $28K is 6% in NJ or $1680. I would have to sell the boat privately for more than $29680 for it to be worth my time.
Purchase our Licensed Version- which adds many more features!
© Infopop Corporation (formerly Madrona Park, Inc.), 1998 - 2000.