Boat Brokerage Fees in the USA - 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 02-12-2010
Zanshin's Avatar
Senior Member
 
Join Date: Aug 2006
Location: Germany
Posts: 2,179
Thanks: 0
Thanked 14 Times in 14 Posts
Rep Power: 9
Zanshin is on a distinguished road
Boat Brokerage Fees in the USA

I have a question on broker fees in the USA. I've been told that they are a flat 10%, but somehow I have trouble seeing how the effort and work involved in selling a $10,000 boat is 50x more when selling a $500,000 boat. Are the percentage rates fixed or are they negotiable?
__________________

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.

Last edited by Zanshin; 02-12-2010 at 09:58 AM. Reason: fixed typographical error
Reply With Quote Share with Facebook
  #2  
Old 02-12-2010
night0wl's Avatar
Senior Member
 
Join Date: Mar 2006
Location: Fort Lauderdale
Posts: 1,404
Thanks: 0
Thanked 18 Times in 18 Posts
Rep Power: 9
night0wl is on a distinguished road
Everything is negotiable...however as with any transaction, you often pay for what you get. If price is such a big deal, you could try selling the boat on your own. Craigslist, Google Base....local advertising, Boat Trader, Used Boat, etc.
__________________
S/V Jendai
Beneteau 343
Reply With Quote Share with Facebook
  #3  
Old 02-12-2010
bljones's Avatar
Senior Member
 
Join Date: Oct 2008
Location: South Coast Ontario
Posts: 8,178
Thanks: 32
Thanked 72 Times in 65 Posts
Rep Power: 8
bljones has a spectacular aura about bljones has a spectacular aura about
Keep in mind that the costs to sell a $500K boat are higher- Bigger price tag means that owners expect bigger ads in the mags and more of them, and since the boat will most likely be on the market far longer than a properly priced $10K boat, those costs will add up.
Besides, I would bet that many times a broker will break even or lose money on the $10K and sub $10K boat. Not to defend brokers, but most don't earn a salary, and their expenses come out of their own pocket, and most don't sell many $500K boats in a career, let alone a year.
Reply With Quote Share with Facebook
  #4  
Old 02-12-2010
Zanshin's Avatar
Senior Member
 
Join Date: Aug 2006
Location: Germany
Posts: 2,179
Thanks: 0
Thanked 14 Times in 14 Posts
Rep Power: 9
Zanshin is on a distinguished road
bljones - I agree that the brokers are probably losing money on the small boats, I'll modify my original example a bit: selling a $150K boat earns the broker $15,000 and I can see how the time and effort involved on the brokers for that type of sale is justified. But the next size up, or same boat but brand new and not 6 years old selling at $300K doesn't involve significantly more effort and I would think that somewhere along the line an absolute $$ cap should be reached instead of continually scaling with the boat price. I have seen 5% brokerage fees offered in the UK and Australia (online on the web, who knows how truthful those really are) and was curious if options existed in the USA as well.
__________________

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
  #5  
Old 02-12-2010
Senior Member
 
Join Date: Aug 2006
Location: wherever
Posts: 5,262
Thanks: 8
Thanked 17 Times in 16 Posts
Rep Power: 11
xort has a spectacular aura about xort has a spectacular aura about xort has a spectacular aura about
Many brokers have a minimum fee for selling low priced boats.

Many brokers will ask for 10%, to be split 50/50 with the listing/buyer brokers. But they will often give some back during the negotiations to make the sale. The thought is that if a buyer is willing to pay the full monte; great, everybody feeds at the trough. But if the deal is in jeprody, 8% now is much better than 0% later. But you never know, some brokers have their heels dug in and will screw up a deal real good in more ways than one.

I hate dealing with brokers!
Reply With Quote Share with Facebook
  #6  
Old 02-12-2010
Senior Member
 
Join Date: Aug 2006
Location: wherever
Posts: 5,262
Thanks: 8
Thanked 17 Times in 16 Posts
Rep Power: 11
xort has a spectacular aura about xort has a spectacular aura about xort has a spectacular aura about
IIRC, there are a few brokers who will get you listed on yachtworld for a fee and then let you do your own deal. I don't know what the ramifactions are for either party.
Reply With Quote Share with Facebook
  #7  
Old 02-12-2010
Senior Member
 
Join Date: Oct 2000
Location: Portland, OR
Posts: 666
Thanks: 1
Thanked 6 Times in 6 Posts
Rep Power: 15
olson34 is on a distinguished road
Red face Anywhere From 1% to 10%

A) a really good hard-working broker is probably worth the commonly-quoted 10%.

B) The other 80% of the brokers are worth a lot less -- and in the bottom 25% are the ones that are only in it for the tee times and liquor.

C) It takes as much (or more...) time to complete the sale on an 8' dinghy as it does a 30 footer. People just seem to agonize more over smaller stuff and $. This drives the good ones crazy.
Agreed that "low priced" boats are the hardest ones to make any $ on.

D) Sometimes a local surveyor can give you a short list of good brokers. Ditto other sailors.

When we were shopping hard, with cold cash in hand, we found some that were really hard working and quite a few that..... well.....


The guy that completed the sale to us was worth whatever the seller paid him. He was honest and helpful.

Nowadays I'm retired from my day job, and once masqueraded as a yacht broker for a few years, several decades ago. I loved meeting the sailors, but it was a difficult way to put food on a table, on a year-round basis.

Good luck!

L
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
THE Yacht Builder List T37Chef Boat Review and Purchase Forum 26 07-08-2011 05:51 AM
Making Passage w/o a Rudder wind_magic Seamanship & Navigation 60 07-16-2010 01:23 PM
How heavy is too heavy II ? PCP General Discussion (sailing related) 14 09-21-2007 09:48 PM
Fine-Tuning the Autopilot, Part Two Dan Neri Gear and Maintenance Articles 0 10-13-2003 08:00 PM
Rust Never Sleeps John Kretschmer Gear and Maintenance Articles 0 02-27-2003 07:00 PM


All times are GMT -4. The time now is 07:28 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.