Buying before selling conundrum

MoodyNick said:
Seen a boat today which we are very keen to buy. I am not saying what or where, just that I know it wont hang round very long.
Click to expand...

So why is this boat selling and yours not? Are you sure that it wont hang round? Maybe you have the buyers red mist?

Personally I wouldnt dream of buying a second boat with a loan. It leaves you vulnerable particularly in dodgy economic times. If you read her Ladyship's proclamations, we could be staring a new great depression in the face and you might never be able to sell the Moody at a sensible price. I disagree with her but in truth we neither of us know anything certain about the future except that it is very uncertain at the mo.

Now is not the time for gambling using loans.
 
Richard10002 said:
What's the difference between "worth" and "sellable for", on the open market?
Click to expand...

Worth is what the emotionally attached owner believes is the price at which he would sell. And not a penny less. He may include what he paid for it and all the gear onto it since. Some even add the mooring costs in.

Sellable for is the actual offers received. You might recognise if you are not in the sellable for zone if:
1. No one comes to look
2. No one even scoffs at the asking price
3. No one even makes an offer because it is so far below the asking price that the Owner may be offended.
 
Assume it will take as long again to sell as it already has been on the market. Are you comfortable financing a marine mortgage for that long?

If yes then buy your new dream find. If no hesitate and think of the pressure you will be under to drop the price of your Moody.

Lastly get it sorted before this September scuttlebutt cherbourg cruise as we all like to see you there!!
 
MoodyNick said:
Seen a boat today which we are very keen to buy. I am not saying what or where, just that I know it wont hang round very long.

Since intending to sell our Moody 44 (highly spec'd and in good condition, ideal liveaboard for a couple, BTW!) we've been saying we wouldn't commit to another boat until she is sold. Now we are talking about breaching this rule.

One way is to get finance on the new boat, then pay it off immediately on selling the old one. She is already Part One registered.

Never done this before. Googling around it seems interest rates are based on LIBOR.

Any suggestions who I should phone first, tomorrow morning ?

PM me if you prefer.

Oh.... I should mention again that we have Moody 44 for sale in good condition !
Click to expand...

Hi,We did exactly that and got away with it. The boat we brought was a real result and we would have regreted it for ever had we not made an offer. The previous boat had just been bought up to what we wanted and this had cost almost 15k.We sold at a loss on what she owed us but were quids in with the purchase. I must stress that after 45 years in the motorcycle business we were fully aware that anything you wish to sell is only worth what you can get for it. When we sold our first house to buy another we sold in three days. Two neibours came and saw us,both who had had their properties on the market for months. They suggested very strongly that our price had lowered the value of their properties.Our view was that we had just showed the real price for such a property,not the pie in the sky price that they were asking. Price your Moody realisticaly,use a good broker and make an offer on what you fancy-you never know!
 
We too did this and it was OK. We kept losing boats because we hadn't sold, so decided to change the rules of the game. Borrowed a bit of money from Barclays Marine to cover the shortfall and based all sums on v realistic appraisal of what we'd get for the previous boat and costs etc.

Have never looked back.

Have to agree that there are potential pitfalls. My advice, if you do it, would be - don't follow the market down ie continual small reductions in price. Ascertain the right selling price and undercut it - financially you'll win over the longer term.
 
rotrax said:
Hi,We did exactly that and got away with it. The boat we brought was a real result and we would have regreted it for ever had we not made an offer. The previous boat had just been bought up to what we wanted and this had cost almost 15k.We sold at a loss on what she owed us but were quids in with the purchase. I must stress that after 45 years in the motorcycle business we were fully aware that anything you wish to sell is only worth what you can get for it. When we sold our first house to buy another we sold in three days. Two neibours came and saw us,both who had had their properties on the market for months. They suggested very strongly that our price had lowered the value of their properties.Our view was that we had just showed the real price for such a property,not the pie in the sky price that they were asking. Price your Moody realisticaly,use a good broker and make an offer on what you fancy-you never know!
Click to expand...
Had 2 boats at once 3 times up to now, each time in dodgy economic times. It's the price gap between the two boats that matters, not how much you think your boat is "worth".
Make sure you put in a realistic low offer on your dream yacht, having taken into account a sensible advice of what your boat is likely to sell at. If the offer is not accepted, walk away. If it is then go for your dream boat. In all my above transactions my purchases were about 20% below the asking prices, as were my sales. But the deals went through! That's the way the game is played!
 
Reverend Ludd said:
Don't do it Nick.
It's crazy talk because you have the fever.
Click to expand...

If I could afford to own 2 boats at once.......I just would have bought a big long 60 footer expensive one in the first place... having 2 40 footers at the same time seems a little ...well .... not optimised... in a strange sort of way
 
two boats

We did it with a house once! We saw our dream house gave a substantial deposit so as the seller could move on, they allowed us 6 months to sell our existing house. It worked well a;though our solicitor thought I was mad. We sold the old place before moving as it happened.

Why not offer a decent holding deposit. Agree a price and ask for time to sell yours while there is some sailing season left.

You are in a strong position at the moment how desparate is the seller?
 
You must log in or register to reply here.

Share this page

Top