Brokerage Sales Decline in July, Average Prices Rise

Brokerage boat sales declined in July, with the volume of sales off by 8 percent and the total value of boats sold off by 1 percent, compared to July 2013. According to SoldBoats.com, 3,287 boats were sold for $297 million, whereas a year ago, July sales were 3,569 boats valued at $300 million.

Brokerage Sales for July 2014

Powerboat and sailboat sales were lower by similar percentages, with 2,753 powerboats sold, a decline of 8 percent from 2,981, and 534 sailboats, a 9 percent decrease from 588 in the previous July. The aggregate price paid for powerboats was virtually level, at $257 million, while for sailboats it declined 5 percent, from $43 to 40 million.

The biggest decline in sales was evident among boats 26 to 35 feet, with 1,234 boats reported sold, down from 1,447, a 15 percent fall. The smallest boats, less than 26 feet, also sold more slowly, with 1,124 boats changing hands, an 8 percent decrease.

In contrast, sales of boats 46 to 55 feet increased by 19 percent, with 182 boats sold, and sales of boats 36 to 45 feet also held the line, increasing 1 percent with 663 units sold. The latter category was also notable for showing significant growth in the total price paid, a 10 percent rise from $78 million to $85 million.

Because the volume of sales for the month declined at a faster rate (or in some cases rose at a slower rate) than the total value paid, average sale prices generally improved during the month in the U.S. From July 2013 to July 2014, the average price paid among powerboats increased by 8 percent and among sailboats, 4 percent. In sales of all boats under 45 feet, average price increased, especially among boats 36 to 45 feet, up 8 percent from $119,000 to $129,000, and boats 26 to 35 feet, up 8 percent, from $53,000 to $57,000.

Among larger boats, sales and pricing trends were mixed. While, as noted, sales increased 19 percent for boats 46 to 55 feet, the total price paid increased only 6 percent, resulting in a lower average selling price, down from $287,000 to $255,000. In comparison, sales were steady for boats 56 to 79 feet, off 1 percent with 70 boats sold, and total value increased 6 percent, to $41 million, which pushed the average sale price up 7 percent, to $592,000.

Source: YachtWorld