Buying a boat

If this is the first boat that you have bought, it is advisable to deal through a reputable yacht broker. The broker is acting on behalf of the seller, but will also protect the buyer by ensuring that there are no outstanding debts on the boat and that the seller really is legally entitled to sell.
The broker will also provide the correct forms to transfer legal title from the seller to the buyer. A good broker can offer advice on types of boats and will try to match the buyer to an appropriate type of vessel. If you have no real idea of what type of boat you want, then it is sensible to look at a lot of different craft. Eventually, one boat will “speak” to you and will feel right. There is no rhyme or reason to this, it just happens!

It is unlikely that any boat will be perfect in every respect, because there are too many variables in function and design. For example, A fast boat may be cramped and have a violent motion while a comfortable craft may be slow. There is, too, the choice of construction to consider, whether to have a craft that is built of GRP, wood, steel or ferrocement. All of these materials have their good and bad points but all are viable choices. When you have found the boat that you want to buy, unless the price is very low then make an offer, “Subject to Survey”. The alternative offer is, “As Is, Where Is”, meaning that you will take the vessel just as she stands with no further inspection. If buying through a broker, the offer will be made to the broker who will contact the owner. If the offer is accepted, then it is customary to put down a 10% deposit, which is held by the broker. This puts the sale on hold, usually for fourteen days, preventing anyone else from buying the boat while you are commissioning your surveyor and getting the report.

Once you have the report, then read it carefully. There are bound to be minor faults listed, such as lights not working, loose fittings, or minor cosmetic damage. These will not affect your decision to buy, but if a major fault has been revealed, such as the presence of significant osmosis in the case of a GRP boat, or rot in a wooden one, then you can re-negotiate the price in the light of these findings, or withdraw from the sale. In this event, the deposit is refunded to you, less any costs incurred.

If you wish to save some expense, it is quite in order to ask your surveyor to only carry out a partial survey. Perhaps you are an engineer, quite accustomed to assessing or repairing diesel engines. In that case, you might ask for a report only on the hull and rig, being competent to inspect the machinery yourself.

Insurance surveys

A report for an insurance company is not quite as in-depth as a purchase survey and is consequently somewhat cheaper. The main considerations are the safety and seaworthiness of the craft and so the standard of appearance and non-essential equipment is not so important.

Second hand surveys

It is not unusual for a seller to show the prospective buyer a survey from a previous sale or one that was commissioned for insurance purposes. Be very wary of these for two reasons. Firstly, even a one-year-old survey is seriously out of date. Osmosis can appear in one season and if the craft has been robustly raced, then damage could have occurred. Secondly, and more importantly, you have no redress against a surveyor that you have not commissioned and with whom you have not signed a contract, so if major faults come to light after purchase, you will have to rectify them at your own expense.