Where is the brokers incentive to sell my boat ??

clyst

clyst

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Where is the brokers incentive to sell my boat ??

The broker's yard displays may boat in his yard and charges me commission for the sale . So far so good . Heres the sting in the tail . If the boat is not sold within 6 months I'm charged storage at a rate of 50p per foot per week till sold /forums/images/graemlins/confused.gif

So as soon as the boat arrives in the yard the commission is in the "bank" the longer it takes for him to sell my boat the more money he makes . Summin wrong here surely . /forums/images/graemlins/laugh.gif
 
Re: Where is the brokers incentive to sell my boat ??

Should negotiate a reduced commission if it is not sold in a certain timescale.

But then if you have a boat that is going to take a long time to sell then I can see why they'd want storage fees - otherwise you're just getting "free" storage.
 
Re: Where is the brokers incentive to sell my boat ??

[ QUOTE ]
Should negotiate a reduced commission if it is not sold in a certain timescale.

But then if you have a boat that is going to take a long time to sell then I can see why they'd want storage fees - otherwise you're just getting "free" storage.

[/ QUOTE ]

Free storage ---yes----- so there is their incentive to sell it . Not to sit on their arses and wait for the 6months to run out .

Where is their incentive to sell my boat ???? There isn't one is there ??? /forums/images/graemlins/confused.gif
 
Re: Where is the brokers incentive to sell my boat ??

Go on, tell us what it is /forums/images/graemlins/smile.gif
 
Re: Where is the brokers incentive to sell my boat ??

Presumably the more boats they put through that space at 8% is worth a bit more than your storage fees or they would be in the storage business.
 
Re: Where is the brokers incentive to sell my boat ??

I think you have to have faith that they are in the business of selling boats rather than storing them.

Of course, if they have space and arent geting boats to sell, it's better to have a boat that doesnt sell paying for the space, rather than empty space.

It all comes down to trust in the end.

Sellers could always leave their boats on a pontoon, or mooring .... they have to be somewhere, and somewhere usually has to be paid for.
 
Re: Where is the brokers incentive to sell my boat ??

most brokerages I know are on marina owned land. they get charged for having boats on 'their' yard. I doubt many make any money on the fee they charge for hard standing.
 
Re: Where is the brokers incentive to sell my boat ??

I don't know what your boat is, but lets say it is an average 10m (33 feet) boat worth £35k.

Bill for storing your boat for 6 months at the rate of £0.50 per foot per week would be 33x.05x26 = £429.00

Assuming they sell your boat for what it is worth, £35k (I have not assumed an asking price, merely what it is worth) then their comission would be 35,000x8% = £2800.00

You don;t mention is the storage charge is plus VAT? If not, then the amount returned to the broker would be 429/1.175 = £365.10.

I would hope that the broker would rather make £2,800 every quater, than £365 every 6 months. While your boat is sitting there he can't have another boat to sell. Lets say he has room for 6 boats in his 'lot'.

If he does what you are suggesting he might do, then if they are all average size he stands to make £4,380.00 per year.

If he actually tries to sell the boats within the time frame (6 months) then he stands to make £33,600.00

If he really tries to sell boats quite quickly, say within 4 months, then he stands to make £50,400.00

Seems like a pretty good incentive to me. What the charge stops people doing is using him for free storage and not accepting reasonable offers on their boats - which IMHO is only fair.
 
Re: Where is the brokers incentive to sell my boat ??

Wherever your boat is stored it is going to cost you something. The broker earns commission on the sale and, that is his incentive, you could always let him know that you are interested in another boat he is selling but will not pursue the matter further until your own is sold. /forums/images/graemlins/smile.gif
 
Re: Where is the brokers incentive to sell my boat ??

Unless he has an awful lot of rent free land, on which to store boats, I'm sure he would rather have a fast turn over and whack the money in the till, kerrrrchink. His reputation and future business is based on his performance as a boat seller,not storer.
 
Re: Where is the brokers incentive to sell my boat ??

However, if he doesn't have many boats to sell then he could get a slow seller in to keep ppl coming to look. Alternatively if he had reasonable turnover then storage of a boat (when he doesn't need the space) would actually earn him more money (potentially) ...
 
Re: Where is the brokers incentive to sell my boat ??

Either way it's cheaper to leave your Boat at the brokers for the winter at a humungous price, either flogging it at a good profit, or cutting storage fees for the winter. /forums/images/graemlins/laugh.gif

The broker would sooner sell the boat, I'm sure.....

How anybody could think otherwise is quite beyond me /forums/images/graemlins/confused.gif
 
Re: Where is the brokers incentive to sell my boat ??

[ QUOTE ]
Either way it's cheaper to leave your Boat at the brokers for the winter at a humungous price, either flogging it at a good profit, or cutting storage fees for the winter. /forums/images/graemlins/laugh.gif

The broker would sooner sell the boat, I'm sure.....

How anybody could think otherwise is quite beyond me /forums/images/graemlins/confused.gif

[/ QUOTE ]

The broker owns the land . I agree if the boat is removed from the site by the owner then a payment is due .
My point is ------ his commission is in the bag as soon as the boat arrives . He will get that what ever . What Im saying is the longer the boat remains on his site the richer he becomes . At an average income of some £60 per 30ft boat after 6 months aint bad as I said his commission is guarenteed and is as good as in the bank.
 
Re: Where is the brokers incentive to sell my boat ??

50p per foot per week, isn't exactly going to make him rich is it. He would rather have a quick turnover, than wait 6 months to make any money.
Where else can you store a 30ft boat free for 6 months then £15 a week.
 
Re: Where is the brokers incentive to sell my boat ??

Are there any brokers out there lurking around who are going to spill the beans and tell us how it is done.

All smoke and mirrors.
 
Re: Where is the brokers incentive to sell my boat ??

I think Jezbanks has it. Among those who want to sell boats, like those who want to sell houses, are those with unrealistic views of their worth. The agent of either might say, OK, let's try it at that price. If the boat, or the house, doesn't sell they'll suggest dropping the price. In either case the unrealistic owner may say "No way - my pride and joy is worth more than that". But whereas the estate agent can say "Fair enough", keep it in his window at the original price and not spend anything on advertising until the vendor stomps off in a huff to find another agent, the boat agent is stuck with an unsellable boat occupying valuable space.

Of course he wants to sell. But he must retain some device for cutting out dead wood.
 
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