Cost/Benefit of Chartering/Buying

AllWinds

Member
Joined
28 Feb 2024
Messages
30
Visit site
Sorry if this has been discussed before, I had a bit of a search and while I've found similar threads I am interested in feedback from people who have perhaps experience with my particular question.

My partner and I are both lifelong sailors and sail pretty much everything from Wind/Kitesurf equipment to Beachcats and Dinghies and of course larger Cruising boats. Over the last few years, we have spent between 3 and 4 weeks chartering boats at a cost of between about 6000 and 10000 Euros per year. Generally trying to keep to the lower end of that price range, but that hasn't always been possible. We tend to Charter in April and October to keep the costs down and to avoid silly season where possible. I would quite like to sail more but the cost of chartering in high season for a week or two would come close to doubling our charter spend for a year.

We are looking at taking a sabbatical for 3 or 4 months in 2026 and would like to spend that sailing if at all possible.

I've been following the boat market for about two years now and I think the market (in our price segment) is starting to swing around to being more favourable to the buyer. Many boats that would be in our budget, (<100000 Euro) that would potentially interest us are going through regular price reductions and I've come across a few which we could afford, one of which we were very close to purchasing only to find that the paperwork would not have been available for us to register the boat where we would like to.

I'm trying to find out where the pain threshold is between buying a boat and paying the associated upkeep costs and just chartering a boat in the area you are interested in sailing. There are of course advantages to chartering in that we can always sail shiny newer boats, we don't have to do the maintenance and we can easily sail from different locations depending on where there might be charter bases available.

However, there are (in my opinion) also disadvantages, such as not being flexible about when and where you return the boat and getting to know your own boat instead of having to learn the intricacies of a new boat every time you sail. Flexibility in where the boat is moored, able to leave stuff on it and not always drive with an overloaded car to the marina, ability to use the boat whenever you want, sail in winter (which I quite in enjoy) etc.

I've looked into Marina prices in Tuscany (which would be the likely place we would keep the boat) and it ranges from 10000 Euro a year for <13m in Scarlino to about 6000 Euro in Cecina with other areas coming in between. Some Marinas would do a winter-only contract which would allow us to take the boat out of the water in high season and store it on land when dry dock places are more readily available. Some Marinas allow you to rent your spot out during the summer if it's not being used if you are on a yearly contract.

I've done an Excel sheet with costs on a yearly, 2 year and 10-year basis and I reckon a budget of 10000 Euro a year would see you close to covering a large chunk of the expenses and if you can keep a boat in the <100000 Euro price range somewhat in reasonable condition you may not lose too much on your investment. It's clear you are not going to make money on a boat (even though I do have some contingencies to try and offset some of the expenses), but am I being naive to assume that the money we currently spend on charters could be put into the upkeep of our own boat and give us more time on the water.

Sorry for the somewhat long-winded question, but I'm interested in hearing from people who might have been in a similar situation in the past and whether you would do it again or not.

Cheers
All Winds
 

Tranona

Well-known member
Joined
10 Nov 2007
Messages
42,181
Visit site
I have been in a similar position except that we never looked at 3-4 months in a block. Doubt you will find any charter firm that will charter out one boat for that length of time in one block. Their business model and insurance is based on short term lets so that the boat is returned regularly for maintenance and security.

We chose to buy our boat under a 6 year charter management agreement, paying 50% upfront and getting anything up to 10 weeks usage although in reality it was difficult to get more than 6 weeks spread across the year. At the end of the contract the boat became ours. The breakeven point of the value of the charters against the cost of money borrowed to buy the boat was between 3-4 weeks a year and the value of the boat at transfer was greater than the initial payment. This was over 20 years ago and of course much has changed not least the size of the initial investment in the boat. However some operators offer different arrangements that give more time to the owner so the boat may only be committed for charter for 8-10 weeks in high season. This type of arrangement appeals to semi retired or retired people who do not want full time liveaboard but prefer say 6-8 weeks in spring and autumn.

Owning a boat is much more difficult to assess as you have to consider mooring/storage costs, maintenance and guardinage. As you have discovered there are many different arrangements. The last 2 years we had our boat in Greece it was "dry sailed" in the way you described - only launched when we needed it. The problem with this is that you are restricted to the limited places that offer this sort of service. It was OK in Greece (we were in Corfu most of the time) as it was quite common but still needs a lot of organisation and you need to keep on top of maintenance to avoid spending the first days of your trip fixing the boat. An alternative but relate arrangement is a small (3-6 person) professionally managed syndicate which ensures the boat is ready to go as soon as you arrive. Small syndicates of like minded people helps get the personal attachment to the boat that is missing on charter management.

Another option to consider is buying an ex charter boat but keeping it available for charter to avoid paying the VAT and getting some income. This was quite popular when we started, but went out of fashion when new boat prices fell in the early 2000s so operators were buying new boats rather than hanging onto older paid for ones. However suspect it has come back because of the high cost of the newer and bigger boats and uncertainty of demand year on year. I am a bit out of touch now but think it might be worth pursuing. I also don't know much about the Italian market, but Greece and Croatia are I think much bigger and probably more flexible in the type of arrangements you can make.

Hope this helps
 

Refueler

Well-known member
Joined
13 Sep 2008
Messages
20,060
Location
Far away from hooray henrys
Visit site
I can only come at this from a much lower price range ... so lets leave out the boat purchase.

I was working on ships - then ashore abroad - the amount of time to use the boat in UK was limited to spells within the 2 - 3 months actually in UK.
Because I had bought my boat and paid it off within 1st year - it was basically then a mooring / maintenance cost.
With the Sailing Club fees - it was economic - but pain to get to / from the boat and to do any work on it. Decision was made to move her to a drying berth in a marina. Costs shot up - South Coast ! - The convenience was there though .. batterys charged .. water tanks full ... fuel etc.

When I costed out the year ... even though it was only a 25ft Motor Sailer ... in a budget marina ... the amount of use really did not justify it. I could have rented a better boat for similar ...

I finally moved fully from UK and time for the boat was less. Decision time .... sell or keep.
By then the boat was part of the 'family' my second wife liked it ... so decided to move her to present location. This of course has changed the whole financial side as the boat sits in my own private at bottom of garden.

You'd think I had learnt a lesson ? Last year - I decided to buy a bigger boat (11,4m) not suitable for my channel - so it has contract with Yacht Harbour. Luckily fees here are far less than UK ... so its OK. But if I had been looking in UK ... I think I would consider renting.

The one factor though that I believe most will agree with ... "Its MY boat ... I can do with it what I want" ..... and as OP says - you can leave all your crap on it etc. For me - I would pay the extra for this factor.
 

AllWinds

Member
Joined
28 Feb 2024
Messages
30
Visit site
Cheers both of you for your answers, much appreciated.

Another option to consider is buying an ex charter boat but keeping it available for charter to avoid paying the VAT and getting some income. This was quite popular when we started, but went out of fashion when new boat prices fell in the early 2000s so operators were buying new boats rather than hanging onto older paid for ones. However suspect it has come back because of the high cost of the newer and bigger boats and uncertainty of demand year on year. I am a bit out of touch now but think it might be worth pursuing. I also don't know much about the Italian market, but Greece and Croatia are I think much bigger and probably more flexible in the type of arrangements you can make.

Hope this helps
This is an option that I hadn't heard of before and might be interesting in our particular case as we could have a small income from the boat when we don't want to use it and could have the boat to use as much as we like outside of the main summer months.

How many weeks of use a year do you think makes it worthwhile for you to own rather than charter? Or are the soft factors (like being able to leave stuff on the boat etc) play a larger role for you?


You'd think I had learnt a lesson ? Last year - I decided to buy a bigger boat (11,4m) not suitable for my channel - so it has contract with Yacht Harbour. Luckily fees here are far less than UK ... so its OK. But if I had been looking in UK ... I think I would consider renting.

The one factor though that I believe most will agree with ... "Its MY boat ... I can do with it what I want" ..... and as OP says - you can leave all your crap on it etc. For me - I would pay the extra for this factor.
May I ask where you are? At 11.4 meters your boat size is quite close to what we would be looking for at +/- 12m. Personally the "its MY boat" plays quite a large role. My better half quite likes the shiny new boats when chartering which we can never afford and she sees just the costs the increased costs with our own boat and the increased time we would have on maintenance as Tranona mentioned particularly when using the "dry sailing" model .
 

Tranona

Well-known member
Joined
10 Nov 2007
Messages
42,181
Visit site
Cheers both of you for your answers, much appreciated.


This is an option that I hadn't heard of before and might be interesting in our particular case as we could have a small income from the boat when we don't want to use it and could have the boat to use as much as we like outside of the main summer months.

How many weeks of use a year do you think makes it worthwhile for you to own rather than charter? Or are the soft factors (like being able to leave stuff on the boat etc) play a larger role for you?
Chartering is tightly regulated in most states so if you are looking for income you will need to work with an established operator and get the boat coded to operate commercially. In the sort of size range you are looking at there is usually excess supply of boats so you need to buy a boat that is popular with charterers. I don't think there is a clear cut off point where one way is better than the other. Owning the boat and chartering some of the time you don't use it compared with owning a charter boat and using it when not out on charter are very different. I don't think many people do the former unless they have a specific type of boat that offers something that the regular charter fleets don't. If you own through a management deal such as this sailionian.com/yacht-ownership/yacht-partnership/ you will be restricted to specific types of boat, usually from one of the big 3 builders. I used this as an example because they are more flexible than others but there are all sorts of schemes run by big operators like Sunsail or Kiriacoulis (I bought my boat through them) and many others. There are many variations on the partnership deals. Some pay an income if you finance the whole boat, others offer more "weeks" including in other areas where they operate.

The reason I went that route was in preparation for retirement and was happy to commit to 6 years of 3 or 4 weeks usage and finally getting a boat I knew well for longer term use. It worked well and after taking it over spent 2 years with more use then sailed back to the UK and sold it. There is of course risk and if your circumstances change it is difficult to get out of the deal. On the other hand if you own a boat you have more flexibility, but forgo the financial benefits of sharing ownership with the charter operator.

In your situation as you described it I would be looking at something like this theoneyacht.com/portfolio/bavaria-cruiser-41-2017/ If you are EU resident you would have to pay VAT unless you could come to an arrangement to keep it as a charter boat. If you are UK resident you would not need to pay VAT but keep it in the EU under the Temporary Admission rules. In many ways an ex charter boat is potentially better than many privately owned boats despite the higher level of usage. They usually come with better equipment and are better maintained by most operators. I have concentrated on Greece as I know that better, but Croatia is very similar in terms of the types of boats and deals on offer. Probably less choice in Italy as it does not have the mass market charter scene like the other 2 E Med locations.

Hope this gives you some ideas, but there is really no clear cut best way. You just have to research the options to find the one that matches your expectations. Word of caution (as an accountant in another life) spreadsheets are great but they really are only dumb machines and constructed by you reflecting your prejudices at the time. The reality is that owning and /or using a 12m boat in the Med is costly and a big commitment. I was fortunate as my project worked out well but more importantly we had a great time over the 12 years or so.

Hope this gives you some ideas
 

ylop

Well-known member
Joined
10 Oct 2016
Messages
2,328
Visit site
Every time I write a big cheque I think - we should just bloody charter
Every time we discuss on a Wed/Thur going to the boat because the weather is looking good - I think thank god we have a boat we can just go to when it suits.
Every time I spend a day doing some nuisance repair I think - I wish I could charter
Every time I turn up at the boat and 30 minutes later have the sails up I think thank god I don't have to spend two hours loading all out stuff and familiarising myself with the various quirks and hiding places on this boat
Every time I get back to my mooring, empty the fridge give the heads a wipe down and am ready to leave, I think I'm so glad I don't have to pack and clean the whole boat like a charter, I'm in the car on my way home before we'd have done the handover checklist for the return
Every time I have a worry about a "return journey" and have a bail our option to leave it somewhere else for a week and get the train home I think - that would be impossible on charter.

Right now the factor that tips the balance for me is we are nowhere near bored of sailing West Coast of Scotland. If I was wanting to go to lots of different areas, it might swing the balance. That won't help you, but perhaps reiterates your opening statement and Tranona's point about it not really being a simple spreadsheet calculation as it will be soft factors not money that carry the weight.
 

Refueler

Well-known member
Joined
13 Sep 2008
Messages
20,060
Location
Far away from hooray henrys
Visit site
Cheers both of you for your answers, much appreciated.

May I ask where you are? At 11.4 meters your boat size is quite close to what we would be looking for at +/- 12m. Personally the "its MY boat" plays quite a large role. My better half quite likes the shiny new boats when chartering which we can never afford and she sees just the costs the increased costs with our own boat and the increased time we would have on maintenance as Tranona mentioned particularly when using the "dry sailing" model .

Ventspils - Latvia. East Baltic .....

Approx 57 24 N 21 36 E

Not exactly anything like the area you mentioned interested in. Our season runs from about now till late October ... winter is ice and anything from -10 to -25C ... but summers can be +30C
 

mattonthesea

Well-known member
Joined
28 Nov 2009
Messages
1,382
Location
Bristol
ayearatsea.co.uk
Do you have to keep her in one place? We cruise for several months each year; as we travel from a to b haul out is at a new place each autumn. It's a bit of a pain to organise but word of mouth usually finds us a cheapish, slightly tatty yard. The cheaper yards tend to be less accessible from the sea but that doesn't matter if your only going in once.

On the spreadsheet side (I love a spreadsheet 😁) it's cost about £700 per week of sailing since 2016, including repairs, moorings, storage, updates and general maintenance - but not including costs of cruising. Caveats: 19 & 20 were kyboshed for reasons of partner's work and world health respectively. I'm not sure you could charter an equivalently old, 10m boat. We mainly anchor (sometimes, courtesy of the wind, for 5 days). I have assumed a massive loss on sale of the boat and probably forgotten all those small purchases that just happen on Amazon.

The main downside for is not being able to go sailing in, say, Turkey next year. It would take us a while to get there!
 

Hoolie

Well-known member
Joined
3 Mar 2005
Messages
8,101
Location
Hants/Lozère
Visit site
I think it's more of a lifestyle issue than cost. We have our own boat that, of course, has continual maintenance problems but we like it - and so does our cat! We sail when we can without constraints apart from the weather which is often very windy where we keep our boat on the French western Med. Continually having to book charters seems so much extra hassle than just going down to the boat for a few days ...
 

Laser310

Well-known member
Joined
15 Sep 2014
Messages
1,343
Visit site
I've looked into Marina prices in Tuscany (which would be the likely place we would keep the boat) and it ranges from 10000 Euro a year for <13m in Scarlino to about 6000 Euro in Cecina with other areas coming in between.

Just because the marina has a tariff sheet on the website doesn't necessarily mean they actually have empty spots...

Did you check? That 6000 EUR marina might be full.
 

AllWinds

Member
Joined
28 Feb 2024
Messages
30
Visit site
Every time I write a big cheque I think - we should just bloody charter
Every time we discuss on a Wed/Thur going to the boat because the weather is looking good - I think thank god we have a boat we can just go to when it suits.
Every time I spend a day doing some nuisance repair I think - I wish I could charter
Every time I turn up at the boat and 30 minutes later have the sails up I think thank god I don't have to spend two hours loading all out stuff and familiarising myself with the various quirks and hiding places on this boat
Every time I get back to my mooring, empty the fridge give the heads a wipe down and am ready to leave, I think I'm so glad I don't have to pack and clean the whole boat like a charter, I'm in the car on my way home before we'd have done the handover checklist for the return
Every time I have a worry about a "return journey" and have a bail our option to leave it somewhere else for a week and get the train home I think - that would be impossible on charter.

Right now the factor that tips the balance for me is we are nowhere near bored of sailing West Coast of Scotland. If I was wanting to go to lots of different areas, it might swing the balance. That won't help you, but perhaps reiterates your opening statement and Tranona's point about it not really being a simple spreadsheet calculation as it will be soft factors not money that carry the weight.
This sounds like my internal dialog and the thoughts I have every time we return a charter boat. My partner is possibly a bit more on the stay chartering side than me but even she has on occasion asked the charter company when the boat we have been on would be for sale. Then I'm the one putting the brakes on as the boats we charter would almost always be out of budget.

Do you have to keep her in one place? We cruise for several months each year; as we travel from a to b haul out is at a new place each autumn. It's a bit of a pain to organise but word of mouth usually finds us a cheapish, slightly tatty yard. The cheaper yards tend to be less accessible from the sea but that doesn't matter if your only going in once.

On the spreadsheet side (I love a spreadsheet 😁) it's cost about £700 per week of sailing since 2016, including repairs, moorings, storage, updates and general maintenance - but not including costs of cruising. Caveats: 19 & 20 were kyboshed for reasons of partner's work and world health respectively. I'm not sure you could charter an equivalently old, 10m boat. We mainly anchor (sometimes, courtesy of the wind, for 5 days). I have assumed a massive loss on sale of the boat and probably forgotten all those small purchases that just happen on Amazon.

The main downside for is not being able to go sailing in, say, Turkey next year. It would take us a while to get there!
Theoretically no, but we would like to be able to get to the boat as often as possible and it would be a bonus if it was possible by public transport. We like Tuscany because it's about 6/7 hours drive, is also accessible by train, has an interesting cruising ground where you can get somewhere reasonably easily (islands of the Tuscan Archipelago, Corsica or even Sardinia) and has some fairly decent infrastructure. The Ligurian coast would also be an option and is a little closer (we live in Switzerland) but the cruising ground does not interest me as much or North Croatia. We were in Croatia for 2 weeks in April and the Marina fees there were eye-watering so I think that rules there out and we would have to drive every time to the boat.

In the future, I would love to leave the boat in both Brittany, Galicia and at home in Ireland for periods when I can organise a little more time to spend on the boat. But Tuscany would allow us to use the boat at least 6 to 8 weeks a year plus some long weekends.

For your £700 a week cost of sailing. Approximately how many weeks a year is this for? Presumably, the cost per week would reduce slightly. £700 a week is a little cheaper than chartering and already includes all the usual extras you would pay for a charter, but of course you have the initial cost of purchase and older boats will probably cost a little more to maintain.


Just because the marina has a tariff sheet on the website doesn't necessarily mean they actually have empty spots...

Did you check? That 6000 EUR marina might be full.
Yes, at the time we asked these Marinas they did have space. We sailed into the Marinas and asked for availability for the type of boat we were checking in with as we tend to charter the type of boat that we would be interested in buying. Just we would be buying a little older.

Thanks to everyone for your replies. It's this kind of first-hand knowledge that we really want.

Cheers
Allwinds
 

AllWinds

Member
Joined
28 Feb 2024
Messages
30
Visit site
Hi, I am just wondering what was your decision and the outcome of your brainstorming? I have just started mine!
We are still weighing it up. Also looking into the possibility of putting a boat into Charter at the moment. We are not in a huge hurry. We want to have our boat for the end of 2025 or start of 2026.
 

wonkywinch

Well-known member
Joined
30 Jul 2018
Messages
1,943
Location
Hamble, UK
Visit site
I've done an Excel sheet with costs on a yearly, 2 year and 10-year basis and I reckon a budget of 10000 Euro a year would see you close to covering a large chunk of the expenses and if you can keep a boat in the <100000 Euro price range somewhat in reasonable condition you may not lose too much on your investment
Boat buying comes from the heart, not the head. Only when you bin the spreadsheet and step on a boat and get the feeling you'd like to own it regardless of cost can you move forward.

Buying a boat is also not a replacement for chartering as I haven't found a way yet to teleport our Hamble based boat to the Whitsundays or BVI or Greece or any of the other places we've chartered since buying.
 

Tranona

Well-known member
Joined
10 Nov 2007
Messages
42,181
Visit site
Boat buying comes from the heart, not the head. Only when you bin the spreadsheet and step on a boat and get the feeling you'd like to own it regardless of cost can you move forward.

Buying a boat is also not a replacement for chartering as I haven't found a way yet to teleport our Hamble based boat to the Whitsundays or BVI or Greece or any of the other places we've chartered since buying.
The OP is in the med. I know from personal experience owning a charter boat under a management contract can work very well (see post#5). Not for everybody but is a very economical way of getting good holiday type usage of a boat in a desirable location without all the cost and effort of full ownership. Likewise a yacht share syndicate can work well. Both established methods of part ownership.
 
Top