Originally Posted by Jasper Windvane
I did some more research .. what I found: the NADA value of a sailboat can be up or down about 10%. The sales figure reported by brokers is unreliable, because it is in the broker's interest to inflate the prices. I did the google thing, and this is from a couple of places. Not very scientific. Just what I found on google. If the up 10% is correct; a $15000 boat "could" be worth
$16,500.. or $13,500 .. Sounds about right. The owners/sellers don't like to hear this though. Being a boat seller is like getting stabbed with forks. If the boat goes for NADA plus 10% and the broker takes 10%, .. the broker is taking 10% of the higher amount. Of course, NADA value is based on original equipment. I suppose if a boat buyer gets a boat with a brand new engine, sails, rigging, self tailing winches, an inflatable, ..
Well if you read it on the Internet, it must be true!
I don't deny that inflated reporting may occur in some cases, but I do not buy into the argument that brokers benefit from artificially high prices. Brokers make money from 1) happy repeat customers (both buyers and sellers) and 2) high turnover. Over-priced boats do not sell, and the brokers therefore do not get paid. To the extent that fairly priced boats lead to higher sales volume, the brokers actually benefit from lower prices - which is why they sometimes sell the boats for less than they are willing to admit on soldboats.com.