Throughout the entire process of marketing and selling your yacht, the negotiation phase is, by far, the one area that will substantially impact the final selling price of your yacht. And the easiest way to ensure that the negotiation stage favors you is by being prepared.
To prepare yourself, your broker or yacht consultant must clearly establish exactly what you want to achieve during the negotiation of your yacht. Doing so readies you to face all the different outcomes from the other party. If you and your broker or yacht consultant don’t establish what you want, you may be forced to compromise, and you won’t get what you want. For this reason, it’s very important that your broker or yacht consultant gather as much information as possible about the buyers you’re negotiating with. And the more information you have about the people with whom you’re negotiating, the stronger you will be.
Now, while sellers want the highest price and buyers want the best deal, the two have to meet somewhere in the middle for the sale to happen. Finding a common agreement might seem easy in theory, but there’s a lot of emotional attachment and biases (cognitive biases and sunk cost bias) which play a part in the negotiation process.
While the selling process can take months, the negotiation talks can take hours, minutes, or even seconds. And you’ll either sell your yacht, leave money on the table, or lose the deal entirely. When you are negotiating the sale of your yacht, be aware of these 3 common problems:
Your yacht broker or consultant should help you be realistic and detach yourself from any emotional bias during a negotiation to help you get the best outcome.
An offer for your yacht might come in the form of a Letter of Intent (LOI) or Memorandum of Agreement (MOA). This should be thoroughly read and reviewed by your broker or yacht consultant before any decisions are made. Carefully review all of the terms of the offer with your brokerage team.
Below are some of the items that you and your broker must take into consideration with each offer:
This is the time period provided to the buyer to learn, review, inspect and decide if the yacht is in an acceptable condition. Therefore, the buyer may:
If the buyer determines the evaluations and inspections to be unacceptable, the buyer may:
In the final steps of the transaction, your brokerage team must coordinate and complete any remaining details.
Settlement and closing shall take place only when all of the following occurs: