Why are Boats so Expensive?

After spending a lot of time on the water on my sea-doo and going on boat rides on my friend’s boats, My wife and I decided to upgrade the old sea-doo and buy our first boat. So I went around making inquiries, which made me realize just how costly owning a boat can be. So I did a lot of research on the topic to better educate myself on what goes into making them so expensive.

So why are boats so expensive? Boats are expensive because of the cost in manufacturing, including building materials and demanding building requirements enforced on boat builders, the low demand for boats, and researching prices.

Other things contribute to the high expense of boats. Although they are considered minor, they may be of some import, as you will find out later in this article.

What Makes Boats Costly?

There are quite a lot of reasons that we can attribute to boats being pricey but the major ones as include as mentioned above:

Manufacturing costs
Low demand for boats
Researching costs
Customization

Manufacturing Costs

The expenditure that goes into the making of a boat is mostly why they are so high-priced. Boats are mainly built by hand as opposed to cars whose parts are now usually made through automated means.

The facilities for boat-building are required to be amply spaced and meet strict safety and environmental regulations. Their large sizes and complexity in building demand a significant number of skilled yet costly workers. Also, as innovations in boat-building advances, the basic design gradually changes, and this also affects pricing as the marine industry evolves to accommodate these new advances.

The process of building a boat is a complicated one. Take into consideration how daunting the building proses of the hull can be. This prosses can take several months of applying fiberglass resin, gel coat, and other building materials to the mold. After that long prosses, the workers can start dressing the hull. This includes installing an engine, seats, lighting, electronic devices, bilge pumps, and gauges to mention a few of the basics, which, of course, have an impact on its cost.

Low Demand for Boats

In many parts of the world, boats are considered luxury with commercial boat users being the exception to this rule. However, if you compare it to cars, a lot fewer boats are produced each year, evidently due to how expensive they are. Most people would prefer to take out a rental on holidays and vacations rather than purchase a new boat. This affects the production of new boats meaning manufacturers cannot lower the boat prices as is done with cars because of their high volume efficiency due to the low level of demand for boats.

Researching Costs

In today’s technological world, advancements, where building boats are concerned, such as modeling in 3D, computer simulations, and advanced computer software, have been made. While these contribute significantly to the sophisticated vessels we see on our waters these days, they, unfortunately, add more to the cost as well.

Customization

When you buy a brand new boat, there is a lot of customization that goes on. People usually want to make their new boat feel and look more personal. Boats that are made specifically to suit a client’s taste may cost more due to extra adjustments made to the boat before it can be delivered to the customer.

Costs Involved in Boat Ownership

Immediate Costs

Buying your boat can cause a lot of introspection concerning the kind of boat that is best for you. Some of the things to consider are:

Prize tag
Is worth it for what you will be using it for
Storage space
Can afford its maintenance

Well, taking the time to find answers to all these uncertainties before making any final decisions is a step in the right direction.

If you decide to buy, then information regarding the costs likely to be incurred will come in handy, such as what goes into the immediate purchase and other additional costs.

The immediate buying costs can also be affected by trailer costs to transport the boat from the place of purchase. Also, the payment for a storage facility where the boat will be stored when not in use.

When purchasing a new boat, you should also consider having the boat insured to cover any likely damages, accidents, or theft as you can never be too safe. (it is better to be safe than sorry as the saying goes)

Boat Storage Options and Possible Costs

After the boat has been bought, the next thing to consider is how and where you will be storing it. You can choose to rent an indoor space for storage or get a boat cover installed depending on whether or not you have enough storage space to keep it on your property.

Weather changes also play an essential part in how you should store your boat. Things to consider are rain, snow, or harsh winter conditions that can have adverse effects on the boat as well as its engine.

For boats stored outside, they can cost up to $15 per foot of shrink-wrapping, but storing the boat indoors could costs more because the boat is well protected from the elements. So they cost an average of $50 per foot to store. So although it is more costly to store your boat indoors, if you can afford it, it is a good idea to do so. The boat will be safely stowed away inside, brought out to the docks when it is needed, then cleaned and then put away again until next time.

You can also choose to keep your boat at a marina. Although doing so means paying for the time, it remains there, and the expense incurred will depend on whether it is stored inside or outside if the fees include charges for maintenance and cleaning and boat usage time.

Costs of Boat Maintenance

The cost of maintaining your boat varies across different kinds of boats and their many sizes. In comparison to how cars are maintained, such as servicing for the brakes and tires, oil change, substituting old batteries for newer ones, among other things. Boats need similar maintenance with a few differences, including storage, winterizing (in places with colder climates), maintenance of the hull, and cleaning with some dependency on the conditions the boat is mainly used, such as in fresh or saltwater.

The cost to maintain a boat and engine can increase according to the size, and vessels that are used in saltwater tend to cost more in cleaning fees than boats used in freshwater.

Buying a Boat on a Budget

Boats, as we know, are considerably more expensive than cars. Still, one thing that they have in common is that you will find them available across a wide range of prices, and that is good news because no matter your budget, finding a boat for you should not be too difficult. If you are in the market for a new boat, rest assured that there are ways to make sure your expenses do not exceed your estimated budget. The following is a guide for how you can achieve precisely that.

Consider Getting a Used Boat

Used boats are generally cheaper to buy than their newer counterparts. Although, as with the purchase of used items, caution should be taken, especially a careful examination and review for any faults or damages as well as the seller’s authenticity, should be made. You need to be entirely sure before the purchase.

Pay in Cash

Paying cash upfront for your boat helps you to spend less money because you won’t have loan interests that accumulate over time.

Shop at Boat Shows

Do your research to find boat shows where different boat brands and dealers will assemble in one place to do your shopping. Boat shows usually feature discounted boat prices and cheaper deals, which is a plus when buying on a budgetary basis.

Cheaper Alternatives to Owning a Boat

This may come as a surprise, but you don’t need to own a boat to go boating or do whatever activity you enjoy on the water. Sometimes, owning a boat and maintaining it is too much of a hassle, or you simply cannot afford it. This is why I have compiled a list of alternatives to boating that are not only easy on your pocket but relieve you of the pressures of boat maintenance duties. These are:

Renting a boat: Renting a boat these days is just as easy as renting a car. It is also considerably cheaper than going out and buying a new boat, which is why you ought to give it some serious thought if you want to be a boater without actually owning a boat.

Partial ownership: Being part owner of a boat means you get to divide all responsibilities, financial or otherwise with a partner. It also means sharing the use of it but is worth considering because you can both come to a compromise that works for you both, and it is cheaper than single-handedly buying your boat.

Joining a boat club: Several boating clubs offer membership programs with access to boats for their members’ pleasure and indulgence. This is an excellent alternative to dropping out lots of cash for a boat you will probably not get much use out of and takes maintenance burdens off of you.

Chartering a boat: You can choose to charter a boat if you want to spend some time on the water. Some places offer a captain and crew to man the boat, so you and your companions fully focus on the trip, but if that is not your preference, then you can choose a bareboat charter where you handle driving the boat yourself.

Social sailing: If you enjoy having lots of people around you on boating trips and making new friends, then social sailing is the best kind of option for you and you can save money as well because it’s like chartering a yacht but without the high costs which are always a good thing. You get to make lots of new friends as well as lovely memories.