Big Boat Sales Continue to Fuel Yacht Brokerage Gains In August

Big-boat sales in August continued to push the total value of U.S. brokerage sales higher than in 2010. For the month, 2,746 boats were reported sold at a total value of $261 million, according to YachtWorld.com member brokers. This was $9 million, higher than the previous August, when nearly the same number of boats were sold (2,748) for $252 million.

Even though the number of boats changing hands has tracked very close to, or just below, the number sold in the first eight months of last year, the total value of boats sold rose dramatically higher than 2010 during the period from May to August. For the year to date, 21,238 boats were sold for $2.46 billion, an increase in valuation of nearly $300 million over 2010.

Another recent development has been the lower average time before a listed boat was sold. Since 2009, and through May, 2011, the average time-to-sell has gradually increased, but since June, that trend appears to be turning.  Smaller boats, at least, are selling more quickly, particularly boats under 26 feet, which averaged two to four weeks less time on the market in July and August compared to the summer of 2010.  For all size boats as a group, in August, the average time-to-sell was 255 days, down from 273; for the year to date, the average was 278 days, down 6 days from 284.

Even though the number of yachts changing hands has tracked very close to, the number of boats sold in the first eight months of last year, the total value of boats sold rose dramatically higher than 2010 during the period from May to August. For the year to date, 21,238 boats were sold for $2.46 billion, an increase in valuation of nearly $300 million over 2010.

Sales of boats over 55′ account for all of this difference in valuation. In August, sales in the category were up 19%, an increase of $13 million on sales of $83 million. Year to date, while only 5% more big boats were sold than in 2010, valuation was up 44%, rising from $685 million to $988 million.

— John Burnham, Dominion Marine Media