Equipment Depreciation - SailNet Community

   Search Sailnet:

 forums  store  


Quick Menu
Forums           
Articles          
Galleries        
Boat Reviews  
Classifieds     
Search SailNet 
Boat Search (new)

Shop the
SailNet Store
Anchor Locker
Boatbuilding & Repair
Charts
Clothing
Electrical
Electronics
Engine
Hatches and Portlights
Interior And Galley
Maintenance
Marine Electronics
Navigation
Other Items
Plumbing and Pumps
Rigging
Safety
Sailing Hardware
Trailer & Watersports
Clearance Items

Advertise Here






Go Back   SailNet Community > On Board > Boat Review and Purchase Forum
 Not a Member? 


Reply
 
LinkBack Thread Tools
  #1  
Old 03-30-2007
zaldog's Avatar
Member
 
Join Date: Mar 2007
Posts: 86
Thanks: 0
Thanked 0 Times in 0 Posts
Rep Power: 8
zaldog is on a distinguished road
Question Equipment Depreciation

Anyone have a formula for equiptment or upgrade depreciation. I am looking at a 1978 Bristol 29.9, the curent owner has a shopping list of upgrades that he did 5 to 7 years ago that include.

winter cover 2003-4
new port lights and fule lines
new gps chartplotter ( garmin 215) new Simrad wp30 auto pilot 2002
AWL Grip entrie vessel 1999
Rebedded entire deck 2001
New V Birth Cusshions 2003
mainlsail Full batten 2000
150 genoa 2003
Bimini Cover and frame 2001
Crusing Cool Dock Side AC 2002 (which I would hardly ever use being that I will be on a can in Monroe Harbor.

The list goes on to the tune of $19,259.00 that was done 5 to 7 years ago.

The overall condition of the boat is very good. The Original 18HP Yanmar has 656 hours on the engine meter stated to be true.

My question is what is this work/equipment worth now, how much does it add or subtract from the base value of the boat. I want to make an offer on this vessel and am trying to figure how much to offer. I am working through the sellers broker. Thanks in advance for any ideas or suggestions.
Reply With Quote Share with Facebook
  #2  
Old 03-30-2007
Sequitur's Avatar
... a logical conclusion
 
Join Date: Feb 2007
Location: At Sea
Posts: 430
Thanks: 6
Thanked 0 Times in 0 Posts
Rep Power: 8
Sequitur is on a distinguished road
I would suggest that it is now fully depreciated.
__________________
Cheers,
Michael

To view links or images in signatures your post count must be 10 or greater. You currently have 0 posts.

1908 Wildschut Skűtsje

To view links or images in signatures your post count must be 10 or greater. You currently have 0 posts.


To view links or images in signatures your post count must be 10 or greater. You currently have 0 posts.
Reply With Quote Share with Facebook
  #3  
Old 03-30-2007
Guesser's Avatar
Newbie
 
Join Date: Mar 2007
Posts: 95
Thanks: 0
Thanked 0 Times in 0 Posts
Rep Power: 8
Guesser is on a distinguished road
Deprecation is done, unless you're running a business than you might be able to squeak a few more years out of it for tax purposes, but otherwise, the upgrades really do not add any value. I'd offer 20-25% less than asking, which I'm guessing is around $28-30K and then find a middle ground that you can both live with.
Reply With Quote Share with Facebook
  #4  
Old 03-30-2007
zaldog's Avatar
Member
 
Join Date: Mar 2007
Posts: 86
Thanks: 0
Thanked 0 Times in 0 Posts
Rep Power: 8
zaldog is on a distinguished road
Your correct deprciation is not the correct term here. Values is. Thanks for the input Guesser.
Reply With Quote Share with Facebook
  #5  
Old 03-30-2007
camaraderie's Avatar
moderate?
 
Join Date: May 2002
Location: East Coast
Posts: 13,877
Thanks: 0
Thanked 3 Times in 3 Posts
Rep Power: 15
camaraderie is a jewel in the rough camaraderie is a jewel in the rough camaraderie is a jewel in the rough
Well... I would not say there is NO value there. the Awlgrip if in good condition is certainly a plus and the Garmin has maybe 20% of original value since the prices have dropped so much. Ditto the Simrad. Everything else on your list either seems to be standard maintenance (port lights, fuel lines, deck bedding...none of these are upgrades...they are FIXES) or upgrades that have limited life and value at this age...sail, cushions, bimini. None of these are anything special and one would EXPECT them on a used boat.
Less than 20 original engine hours a year is quite extraordinary...but lack of use can be as bad as too much use.An engine survey after your offer will help clarify that.
Take a look at the asking prices on line for similar vessels and then ask the broker for a PRINTOUT of actual selling prices for this model in the last 2 years. This should give you a good range for your offer based on the overall condition of the boat. It is nice that the PO invested in the boat's maintenance...at least until several years ago (why nothing since then???)...but it aint something you have to reimburse him for.
Reply With Quote Share with Facebook
  #6  
Old 03-30-2007
sailingdog's Avatar
Telstar 28
 
Join Date: Mar 2006
Location: New England
Posts: 43,291
Thanks: 0
Thanked 11 Times in 11 Posts
Rep Power: 13
sailingdog is just really nice sailingdog is just really nice sailingdog is just really nice sailingdog is just really nice sailingdog is just really nice
It depends if those things are in good condition or not...more than the age of them. A paint job done last year, but without proper prep work is worth far less than a paint job that was done four years ago with really good prep work. But Cam's point about a lot of that list being "routine maintenance and upkeep" is pretty spot on.

Some of them will have some value left, others will be past any added value to the boat, since they will soon need to be replaced or redone.
__________________
Sailingdog

To view links or images in signatures your post count must be 10 or greater. You currently have 0 posts.

Telstar 28
New England

You know what the first rule of sailing is? ...Love. You can learn all the math in the 'verse, but you take
a boat to the sea you don't love, she'll shake you off just as sure as the turning of the worlds. Love keeps
her going when she oughta fall down, tells you she's hurting 'fore she keens. Makes her a home.

—Cpt. Mal Reynolds, Serenity (edited)

If you're new to the Sailnet Forums... please read this
To view links or images in signatures your post count must be 10 or greater. You currently have 0 posts.
.

Still—DON'T READ THAT POST AGAIN.
Reply With Quote Share with Facebook
  #7  
Old 03-30-2007
Senior Member
 
Join Date: Jun 2006
Posts: 2,394
Thanks: 0
Thanked 1 Time in 1 Post
Rep Power: 11
cardiacpaul is a jewel in the rough cardiacpaul is a jewel in the rough cardiacpaul is a jewel in the rough
While its nice that the PO keeps decent records, it doesn't add any "value" to me. The things mentioned would have either been maint. items or given the age be done again anyway.

The low hours on the engine isn't a big concern but low hours are almost as bad as really high hours. Have it checked out.
__________________
We are not primarily on earth to see through one another, but to see one another through

Some people are like slinkies: not really good for anything... but you can't help laughing when you push them down the stairs
Reply With Quote Share with Facebook
  #8  
Old 03-31-2007
sailingdog's Avatar
Telstar 28
 
Join Date: Mar 2006
Location: New England
Posts: 43,291
Thanks: 0
Thanked 11 Times in 11 Posts
Rep Power: 13
sailingdog is just really nice sailingdog is just really nice sailingdog is just really nice sailingdog is just really nice sailingdog is just really nice
Actually, CP, IMHO, low hours are probably worse for an engine than high hours with proper maintenance, since most people go by engine hours for the engine maintenance schedule, and the high hour engine is going to be checked more frequently with proper maintenance.
__________________
Sailingdog

To view links or images in signatures your post count must be 10 or greater. You currently have 0 posts.

Telstar 28
New England

You know what the first rule of sailing is? ...Love. You can learn all the math in the 'verse, but you take
a boat to the sea you don't love, she'll shake you off just as sure as the turning of the worlds. Love keeps
her going when she oughta fall down, tells you she's hurting 'fore she keens. Makes her a home.

—Cpt. Mal Reynolds, Serenity (edited)

If you're new to the Sailnet Forums... please read this
To view links or images in signatures your post count must be 10 or greater. You currently have 0 posts.
.

Still—DON'T READ THAT POST AGAIN.
Reply With Quote Share with Facebook
  #9  
Old 03-31-2007
Senior Member
 
Join Date: Jun 2006
Posts: 2,394
Thanks: 0
Thanked 1 Time in 1 Post
Rep Power: 11
cardiacpaul is a jewel in the rough cardiacpaul is a jewel in the rough cardiacpaul is a jewel in the rough
dog, agreed... a fellow I know was bemoaning that he had to change his fuel filters.... he said they only had 20 hours on them... installed in 2004
__________________
We are not primarily on earth to see through one another, but to see one another through

Some people are like slinkies: not really good for anything... but you can't help laughing when you push them down the stairs
Reply With Quote Share with Facebook
  #10  
Old 03-31-2007
sailingdog's Avatar
Telstar 28
 
Join Date: Mar 2006
Location: New England
Posts: 43,291
Thanks: 0
Thanked 11 Times in 11 Posts
Rep Power: 13
sailingdog is just really nice sailingdog is just really nice sailingdog is just really nice sailingdog is just really nice sailingdog is just really nice
Quote:
Originally Posted by cardiacpaul
dog, agreed... a fellow I know was bemoaning that he had to change his fuel filters.... he said they only had 20 hours on them... installed in 2004
I'm guessing... that he doesn't take the boat out much... I have that many hours on the tiny outboard on my boat..... but I sail as much as I can... and try to spend as much time down at my boat as possible.
__________________
Sailingdog

To view links or images in signatures your post count must be 10 or greater. You currently have 0 posts.

Telstar 28
New England

You know what the first rule of sailing is? ...Love. You can learn all the math in the 'verse, but you take
a boat to the sea you don't love, she'll shake you off just as sure as the turning of the worlds. Love keeps
her going when she oughta fall down, tells you she's hurting 'fore she keens. Makes her a home.

—Cpt. Mal Reynolds, Serenity (edited)

If you're new to the Sailnet Forums... please read this
To view links or images in signatures your post count must be 10 or greater. You currently have 0 posts.
.

Still—DON'T READ THAT POST AGAIN.
Reply With Quote Share with Facebook
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools

 
Posting Rules
You may post new threads
You may post replies
You may post attachments
You may edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is On


Similar Threads
Thread Thread Starter Forum Replies Last Post
Equipment for Ocean Sailing Mark Matthews Learning to Sail Articles 0 09-18-2000 08:00 PM
Equipment for Ocean Sailing Mark Matthews Cruising Articles 0 09-18-2000 08:00 PM


All times are GMT -4. The time now is 10:33 AM.

Add to My Yahoo!         
Powered by vBulletin® Version 3.8.7
Copyright ©2000 - 2014, vBulletin Solutions, Inc.
SEO by vBSEO 3.6.1
(c) Marine.com LLC 2000-2012

The SailNet.com store is owned and operated by a company independent of the SailNet.com forum. You are now leaving the SailNet forum. Click OK to continue or Cancel to return to the SailNet forum.