You’ve purchased a beautiful vessel – congratulations! Now it’s on to the foreseeable next step: finding a place to store the craft. To rent or to purchase a yacht slip: that is the question. Read below as we examine the positives and negatives of each choice. Use the information to make an informed decision – and enjoy owning that seaworthy gem!
In theory, renting seems preferable to purchasing. The practice of renting demands less of an initial financial commitment than purchasing outright, and it offers flexibility. Imagine a yacht owner’s chagrin after purchasing a slip and then discovering a different location more to their liking soon afterward. With rental, this situation would be easily remedied. The yacht owner would simply find another slip and try that location. Those with wanderlust can attest that renting offers the ability for change.
However, anyone who ever borrowed a toy as a child will tell you that the biggest disadvantage to rental is that the object in question is not inherently yours. A rental slip does not count as an investment; instead, it’s simply a port of call for that yacht until…..it’s not. It bears mentioning that for many yacht owners, this impermanence is not a deterrent. The way they see it, someone else is responsible for the slip upkeep and any association dues. Fewer elements to worry about means more time to spend on other pursuits – like exploring the open water.
What of those yacht owners who see permanence as an advantage? If you expect to be an active boater and are looking to keep your yacht on the same slip for the foreseeable future, purchasing may well be the right option for you. Keep in mind though that slip prices can fluctuate with supply and demand, like any commodity. Resale values can skyrocket when the economy is doing well – and this is a positive for a slip’s value. If this does not matter to you, proceed.
Yacht owners who do purchase their slips must determine whether they’re willing to pay any applicable association dues as well. If you’ve found a slip you’re considering making your own, it’s a good idea to ask plenty of questions and to contact a reputable marine insurance agent. Often, a slip purchase will require maintenance payments, property taxes and more. Before you call that slip ‘home sweet home’ for your yacht, discover exactly what expenses you will be responsible for covering.