How much yacht can you actually afford?
The price on the listing is only the start. Plan on about 10% of the boat's value each year to run it, and budget for the costs of buying too.
Updated 2 min read
Key points
- Yearly running costs are often around 10% of the boat's value.
- Buying costs (survey, taxes, registration, delivery) usually add several percent to the price.
- Set a total budget first, subtract the costs, and shop with what is left.
Think in total cost, not price
A €200,000 boat is not a €200,000 decision. Count the purchase price, the one-off costs of buying, and what it costs every year to keep the boat in good shape.
The rule of thumb: about 10% a year
Many owners find that a year of ownership costs around 10% of the boat's value. For a €200,000 boat that is about €20,000, covering the berth, maintenance, insurance, haul-out and antifouling, fuel and extras. Older boats, larger boats and heavy use push the figure up. Light use of a newer boat can bring it down.
Costs at the time of buying
- A pre-purchase survey and haul-out.
- Taxes and registration, which depend on the boat's VAT status, age and flag.
- Delivery or transport to your home berth.
- Safety equipment, and the first round of fixes the survey finds.
Plan for these to add several percent to the price. Ask your broker for an estimate on the exact boat before you make an offer.
How to set your number
- Decide the most you can spend in total, including the first year.
- Subtract the buying costs and one year of running costs.
- What is left is your purchase budget.
A smaller boat you can afford to maintain is a better purchase than a bigger one you cannot.
General information, not legal, tax or financial advice. Rules change; check your own case with a professional or ask us.