Selling rules

[david_e]

I am selling privately (£65k aprox) and have two, strong, interested parties both travelling to view within a week.

If buyer 1 wants it what are my options? I am thinking, what do I tell the second buyer travelling a few days later but am cautious of not losing the second buyer if buyer 1 turns out to be a timewaster.

Non refundable deposit of say £1,000?

Would the sale be subject to survey?

Is there an obligation to refund the deposit if the survey shows something minor and or horrible (very unlikely).

Is it reasonable to withold the bill of sale - only because my purchase price is below the sale price?

Obviously I will wait for cleared funds before releasing the boat, but any other things to be wary off?

 

[nordic_ranger]

If buyer no.2 is travelling a great distance it would be courteous to tell him that you have interest in the boat and you will revert back to him should the deal fall through.

To ask for a 10% deposit would be in line with commercial selling techniques and any deposit is at your discretion. When you meet the purchaser you will be able to gauge the type of person he is and play it from there.

Not to refund a deposit is at your discretion however a good Surveyor can find minor problems with most boats. You as the seller must be willing to put right at your expense any faults found or to adjust the price accordingly to meet that cost.

Most older boats sell for above there original purchase price which is made up from inflation and improvements made to the boat over the years. A purchaser would expect the original Bill of Sale to help claim clear title to the boat.

 

[Shanty]

RYA do a useful booklet "Buying a secondhand yacht - the legal aspects". As the title implies, its written for those buying rather than selling, but it contains a lot that will be relevant to you. In particular, it contains a draft sale agreement, and a draft bill of sale.

A lay person's take on your specific questions:
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Non refundable deposit of say £1,000?


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Deposit is normally refundable if survey reveals serious defect - making the deposit non refundable is likely to put buyers off.

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Would the sale be subject to survey?

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If it isn't, the buyer is taking a big gamble - normally they are.

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Is there an obligation to refund the deposit if the survey shows something minor and or horrible (very unlikely).

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Normally, minor no, major yes if the buyer decides to back out of the deal.

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Is it reasonable to withold the bill of sale - only because my purchase price is below the sale price?

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No. The fact that you are losing money on the deal makes no difference. If you find that embarassing, get over it.

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Obviously I will wait for cleared funds before releasing the boat, but any other things to be wary off?

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Make sure your marina / boatyard / moorings association is aware of the date of transfer of ownership, so you don't keep getting bills (but watch out for companies that try to charge a brokerage fee just because the boat was on their premises at the time of sale).

 

[GeorgeP]

It's a bit like selling a house. It's for sale until the contract's signed. I'm sure the viewers are looking at other boats, and they understand you have other viewers looking at your boat.

As Nordic Ranger says, check out the RYA booklet.

Good luck.

 

[hlb]

We sold a barge a few months ago, same position, two offers on the same day.

You would be amazed at the depths folk will sink to. Buyers offer price turned out to be a starter for ten and wanted to get a lower price on a weekly basis. Not because of faults. JUst wanted to pay less. Then they wanted the sale to go through a broker. Not surprised they did not want to part with over a hundred grand without some formalities.

Not the only bad experience I've had with selling things. There appears to be no sence of ethics or fair play anymore.

Just every man for himself. Beware.

 

[david_e]

Thanks all. Shanty the purchase price is below the asking price, I bought it exceptionally well, just thinking that they will see an opportunity to negotiate over "you aren't losing money etc".

Any way, we will see how things pan out over the next few weeks.

 

[david_e]

Your comments make sense, especially when viewed the other way round, dealing with brokers. I remember travelling 260 miles to see a boat that had a major fault and had failed a survey, the fault was mentioned/featured in the surveyors report in the brokers file, they just didn't bother mentioning it.

 

[Swagman]

Nothing helps sell anything better than a competitive bid.

IMHO until such time as money changes hands you should be fair to yourself and other prospective purchasers and give them both an equal chance.

Let buyer one know that buyer two is coming, and if buyer one is prepared to make a full priced unconditional offer then's the time to take it and put buyer two off.

Let buyer two know buyer one is coming also - and if he beats buyer one to the result you want - accept his offer instead.

Good luck
JOHN

 

[Shanty]

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As Nordic Ranger says, check out the RYA booklet.

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Which RYA booklet was that?

 

[Shanty]

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....... Shanty the purchase price is below the asking price, I bought it exceptionally well, just thinking that they will see an opportunity to negotiate over "you aren't losing money etc"......

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My apologies. Misread your comment.

However, I would still expect that the buyer should get the bill of sale. Normally, its handed over at change of ownership - in exchange for the buyer's cheque. At that stage, he's going to find it difficult to do any serious haggling. /forums/images/graemlins/smirk.gif

 

[hlb]

Ahha. But buyer turns into buyers wife and starts a whole new debait. As if she's never spoken to husband.

Not pleasant and soon fended off. But makes for a very nasty experience.

Even had one guy who looked at the boat. Curtiousy of marina. Said the bilge was full of sewage. WE rushed back and found it in presine white with not a hint of water let alone sewage. Mind, we noticed the pen knife marks he'd made in the woodwork and the corner of the mirror, he'd chisseled away.

In my understanding. When some one says thats a deal. Thats the end of it.

But not today.

Today, they then say. Well the insurance/ marina costs/maintainance/??? were more than I thought.

Bit like buying a bra from M&S, take it back for any reason.

These days, at no point does the buyer feel committed.

Maybe easier to add in a guarentee for the next millenium of all parts paid for, as with washing machines. For extra cost.

They all go for that one these days, dont they.

So. Boat, ten grand, plus deposite, plus tax, plus APR 35%. Optional damage wavour. 45% Add VaT. Dont forget the loyalty card option. Umm less .125% Plus expences 50%. So £ 100 grand, but all on easy payments and nothing to pay for the first three years.

Except the interest is still building up and you now owe about 1.5 million. /forums/images/graemlins/crazy.gif

 

[MarkGrubb]

Make sure it is clear when the insured risk transfers from you to the new owner, this may not necessarily be once you have the money and he has the bill of sale, if he's agreed to take delivery at a different place or on a different date.

I bought my boat last year and took delivery in the boat yard where she sat. I wasn't able to sort out the 3rd party insurance until a couple of days after money and bill of sale had been exchanged, so I made sure it was clear in the contract that the insured risk did not transfer to me until I accepted delivery, which I did a couple of days later once I had the insurance organised.