Boat Auctions: Why Banks Want Your Offer
On March 10, 2010 in Entertainment
This year has been simply the best of years for buying water toys at state or local repo auctions. As a frequent boat auction attendee myself it’s typically accepted that a boat sold at auction will deliver a 15-20% savings when compared to retail.
That’s not bad, especially when you figure larger yachts retailing over $100,000..the savings can really be big. However, boat auctions has only served to up that percentage.
Boat auction in the states — especially in the big four states (California, New York, Florida, and Arizona) are seeing financial institutions like banks and credit unions more aggressive in their re-marketing strategies of non-performing assets. SunTrust Banks Senior vice president Don Parkhurst states with regards to their repossessed boat inventory, “You’ve just got to lower the price to where you can move it. You’ve just got to take the hit.”
The surge in auctioned boats across the U.S. with most every lender has attracted buyers who can now literally buy a late model repo for suprisingly less than what a new boat buyer threw down 3-4 years ago for the same make and model. Boat auction sources like National liquidators and Boat Auctions Direct have indicated that with the value decline of the U.S. dollar coupled with the rise of repo boats shrewd overseas buyers particularly from Australia, UK, and Canada taking advantage of this high tide.
So how can you take advantage as well? The key is regularly reviewing auction listings. Frequenting auctions, online listings, classifieds, and dealer liquidations. Only by comparing asking prices and recent sales of similar models of the type of boat you’re interested in can you reap savings of 50% or more. It’s really not much luck as it is smart shopping with the right tools.