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Barquito
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Similar question as Blowfish recent post. Does anyone have experience buying boats in cheap locations (Great Lakes possibly), sailing for a while, then selling the boat in a more expensive location? Would this work as an ongoing tactic for reducing the cost of cruising?
 

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People do that with vehicles, motorhomes and other big ticket items, so why not boats, especially trailerable ones. If you have the money now is the time to buy. If you have the time to invest, best get started. It seems to me this kind of pursuit is geared more towards being a retirement hobbie. There are always opportunities, it is just a matter of being in the right place at the right time and getting the right price.
 

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Well


For example the poeple that bought my first J24 came down from Maine because at that time the boats up there were going for much more money , I think that is a bit rare in real life


If i bought a boat in Ny and kept it in the state for more than 90 days i would have to pay all the sales tax and reg fees which is a big chunk of change
 

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My buddy and I used to buy motorcycles in michigan and run them down to Florida for resale, buy a car or truck down there that needed some work and bring it back up to michigan for resale. Did it for about four years and neither of us had real jobs.

Not sure how the boat market would be, would need to check prices and ensure that going prices at both ends had enough difference to more than offset the transport costs. If the margin is low, it could help offset the cost of a cruise, but not make a profit.
You'd also have to take into account storage fees etc while you are selling the boat.

When we were doing the bikes, the price difference was huge,a $100 bike up here would fetch $500 or more down there, a $1000 bike may bring the same actual profit but nowhere near the same margin.
So we stuck with the cheap bikes most of the time.
Was a great life, spend the time up here test riding bikes, and the time there hanging out on the beach

Ken.
 

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Just based on my scanning Yacht World for the last few yrs people with bigger (37ft+) boats on the lakes tend to want significantly more for them. Not saying any of them have ever gotten it, just that my non-scientific observations.
 

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In the financial world it's called "arbitrage". Two factors would seem to indicate that you might be able to do it in the boat market: One, supply and demand for boats will differ between geographic locations and that should lead to price differences between markets; and two, it costs a lot in time and money to move boats from one market to another. The further apart the markets are the greater the possiblity of price discontinuties existing between them. If you really want to have some fun -- look further afield in foreign markets (where the differential value of currency may work for you). Look in places where "dreams" are confronted by "reality" -- for example, Panama and New Zealand might present opportunities for distressed sales by people who decided not to go any further in pursuit of the dream of sailing around the world.

That said, it's worth remembering that it does take time and effort and there is risk involved in attempting to move a valuable asset from one place to another. Moving a boat from NZ to the US takes months and in that time market conditions can change. In addition, your lack of "insider" knowledge about the distant market where you may buy the boat might end up costing you much of the profit you'd hope to make on the transaction.

I think to make this work you'd have to have superior understanding of what a boat is worth in the market you want to sell it in, and an ability to accurately judge the costs and risks of moving the boat to that market. Without those two things, Vegas is probably a better bet for getting rich while having fun. :)
 

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99% landlubber, 1% sailor
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He's right. you would really need to know what you're doing, and have either close ties with a yacht hauler or be one in order to be able to easily deliver the market you want , control costs, and maintain asset liquidity.
 
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