Ridiculous Pricing

[REM835]

Saw in another post a dealer in Indiana actually had several used boats. Of the 8 listed this one actually has a price on it. Am I reading it correctly or are they really that nuts!?

I am getting ready to list my SX192 in 2 weeks and couldn’t sleep at night robbing blind like that.

 

[anmut]

Have you been sleeping since Covid made everything nuts?

Seriously, though - boat prices will be studied in high school economics classes in 50 years as classic supply vs. demand pricing.

 

[Ronnie]

That looks about right at this point in time.
Demand is still high and supply low.

I’ve been thinking about selling my boat and am considering asking $50k for it. $50k was the MSRP when it was originally sold in 2010. I’d include a lot of extras and think anyone who would pay $50k for it is nuts but I would not consider it robbing the blind since I would disclose everything, even the current NADA value. If I lose sleep it would be because someone did pay my asking price and I would be wondering if I did not charge enough.

 

[anmut]

That looks about right at this point in time.
Demand is still high and supply low.

I’ve been thinking about selling my boat and am considering asking $50k for it. $50k was the MSRP when it was originally sold in 2010. I’d include a lot of extras and think anyone who would pay $50k for it is nuts but I would not consider it robbing the blind since I would disclose everything, even the current NADA value. If I lose sleep it would be because someone did pay my asking price and I would be wondering if I did not charge enough.

I've considered it too - buy low, sell high. But that formula is too black and white, doesn't include "can't buy a new boat until market calms down."

 

[2kwik4u]

I've considered it too - buy low, sell high. But that formula is too black and white, doesn't include "can't buy a new boat until market calms down."

I laughed out loud and disturbed my otherwise productive coworkers with that last part.

@REM835 $38k seems a little high for that, but honestly not absurd in this market. I would list my AR190 at $32k right now if I was going to sell it. I paid just over $30k for it.....Good SX192 should fetch $30k-ish or better in this market.

Also, stuff a few hundreds from the high sell price of your boat into your pillow at night. You'll sleep just fine

 

[REM835]

I agree with you all. Covid has prices high for sure. Hadn’t seen one that ridiculous though. I almost traded it three years ago on a 240 but couldn’t swallow what dealer was going to give.

Have a Norris Lake trip planned for next week to say my good byes. Access to a ski for the rest of the year. I can go a year or two without and buy back in when it busts.

 

[Beachbummer]

I've considered it too - buy low, sell high. But that formula is too black and white, doesn't include "can't buy a new boat until market calms down."

Value at time of exchange is driven mostly by scarcity, not actual cost to produce. This is hard to remember all the time, but when you see something nuts, it always explains what is happening behind the scenes.

 

[Ronnie]

I've considered it too - buy low, sell high. But that formula is too black and white, doesn't include "can't buy a new boat until market calms down."

Buying a new/replacement boat isn’t in my immediate plans and the next boat I do buy, if any, won’t be a bow rider I have to tow around, it will be cruiser/live aboard that’s always in the water.

I have plans to use my 242 until the end of this month but may throw up a feeler ad on Craigslist for it just to see what a realistic sale price/price range is. Part of me is afraid that someone will actually pay the ridiculous price I’d be asking for. I don’t know about other markets but here in the Silicon Valley there are a lot of potential buyers with plenty of disposable income to spend. $50k is less then they net on their yearly bonuses. These are the people that pay $200k more than the $1m asking price of a home and they pay in cash, these same people are willing to pay $30k more than MSRP for the first cars of new model like the C8 corvette. I sold my 2006 fx cruiser waverunner for $5k a few months ago I paid less for it over 10 years ago. when I told my local Yamaha dealer about it he immediately told me I severely underpriced it as they just sold a 2008 for $13k, which is over $3k more than the ski cost new In 2008 And I’m sure a lot more than they paid for it on trade in.

$39k for a 2016 seems crazy too me and probably most people in my demographic but it only needs to be reasonable/acceptable to one person/buyer. Dealers know this and price accordingly, I don’t see any reason private sellers like us should not do the same.

 

[REM835]

it will be cruiser/live aboard that’s always in the water.

I was going to sell in the spring and that was my plan. On five different Marina slip lists. 80th in line on the shortest. Figured may as well get a few trips and then wait and hope to buy cheaper.

 

[SamCF]

A boat is usually an impulse buy and rarely a smart financial decision. It's hard to critique prices on such a poor investment. Supply, Demand, Inflation, Access to Financing and Instant Gratification drive prices. Measure of value is what something is worth to you vs what something is worth to someone else. My dealer told me he sold a boat at 17% interest the week I bought mine. That was probably a bad decision for that guy, but he might have had the time of his life and say it was all worth it. I think prices are right inline once you consider the lack of new inventory and the additional cash in the economy due to the stimulus payments.

 

[Ronnie]

I like the analysis @SamCF , when do you think prices will normalize / go the other way? When supply caches up with demand but when is that? Yamaha might think twice about ramping up production and just increase the msrp of the boats they do produce.

@REM835 , thanks for raising this. I was only focused on the monthly cost of slip not the availability. I’m going to make some calls to check on availability, I may need to get on the wait list for a slip now for a boat I don’t intend to buy for at least four years.

 

[Yambers]

That boat is worth $80k to someone willing to pay it..

 

[Seadeals]

Saw someone trying (granted) to sell a boat just like mine for $35k. Paid 17 in 2012!

 

[FSH 210 Sport]

I see it like this.

No one has a problem making an equally large profit in terms of percentage on a house. A house is an investment in many ways, one of which is selling at a profit to upgrade.. so why not, in this rare instance, a boat? And it’s not just boats right now, used cars especially are getting above market prices, as well as houses.

 

[Inlikeflinn]

I like the analysis @SamCF , when do you think prices will normalize / go the other way? When supply caches up with demand but when is that? Yamaha might think twice about ramping up production and just increase the msrp of the boats they do produce.

@REM835 , thanks for raising this. I was only focused on the monthly cost of slip not the availability. I’m going to make some calls to check on availability, I may need to get on the wait list for a slip now for a boat I don’t intend to buy for at least four years.

I’ve been on the waitlist for dry storage (parking space) in my local harbor for a year now. Want a 24-28’ center console but no space for it at home. Settled for an AR190 because it fits. I’m so impressed with this first Yamaha that I’m thinking to upgrade to 212 when things settle a bit.

 

[FTBS311]

Supply & Demand!! I've seen 2021 195S already for sale as high as $55k, thought about selling mine for a profit since we paid $42k. But then we would be without a boat for some time. Its crazy with many boat brands right now.

 

[biffdotorg]

Helping a buddy buy a boat two years ago and we passed on a 2016 AR192 as it was priced at $20K and we had seen them selling well under $20K. It's past July 4th now, the first time buyers will start giving up on this season and prices will drop.

 

[josh195]

If I remember correctly their prices have always been high-even before COVID. But there's not too many boat dealers around Indy plus the current demand and this is what you get.

 

[RobbieO]

I’ve been on the waitlist for dry storage (parking space) in my local harbor for a year now. Want a 24-28’ center console but no space for it at home. Settled for an AR190 because it fits. I’m so impressed with this first Yamaha that I’m thinking to upgrade to 212 when things settle a bit.

Looking at your profile, looks like you did the upgrade already. Congrats!