How to buy a yacht: a complete guide

Are you thinking about buying a yacht in the UK? Owning your very own yacht can be a rewarding experience whether you’re interested in fishing, sailing or just getting a nice tan while out at sea with friends and family.

Buying a yacht is usually a big financial decision. So take your time, weigh your options, and get clear on what you’re looking for.

Our handy guide is a great starting point. We look at how to choose the right yacht, the cost of different yachts, and how to go about buying one.

Table of contents

What makes a yacht a yacht? How to buy a yacht: a step-by-step process Flagging your yacht How to choose the right yacht? Types of yachts What is your budget? When do you want to buy your yacht? How many people will be on board? Are there any size restrictions? Where will you take your yacht? Equipment & technology How much does it cost to buy a yacht? Sailing yachts Motor yachts Luxury yachts Maintenance costs Crew costs Where can you buy a yacht?

What makes a yacht a yacht?

There isn’t an exact definition for the word ‘yacht’. Generally, a vessel is considered to be a yacht when it’s used only for recreational or pleasure purposes.

Yachts are also typically big enough (around 40–70ft) to have sleeping quarters, a kitchen, and a bathroom. And, they are large enough to need either sails or a motor to move forward.¹ ²

How to buy a yacht: a step-by-step process

Here’s a short step-by-step instruction on how to buy a yacht.³

1. Look at many different yachts at boat shows or agree on viewings with the broker. Take your time and see as many boats as you can before deciding which one you want to buy.
2. Once you find a yacht you want to buy, you can make your offer and you’ll receive a contract from the broker. Make sure the contract has an up-to-date inventory of the yacht. At this point, it is common to make a deposit (about 10% of the total amount) into an escrow account.
3. Your offer is accepted, rejected, or countered. It may take up to one to two weeks to close the deal.
4. A survey of the boat is conducted by a professional surveyor, which you will have to cover. This is well worth the money, as a surveyor will give you an accurate assessment of the yacht's condition. If you’re buying a used yacht, these professionals can help point out flaws that can help you in getting a lower price, if the seller can’t fix the fault before the closing date.
5. Take the yacht out on the water for a sea trial. This is usually covered by the seller and can also be done before the boat survey. You’ll be able to test how the yacht operates in the water.
6. Once the survey and sea trial are successfully completed, you’ll accept the yacht in writing. If you don’t complete the deal after this step, you won’t get your deposit back.
7. Secure a registration and insurance for your yacht.
8. You’ll give the final signatures and complete the change of ownership at the time and place set out in the contract.

If you’re buying a yacht from overseas, the international transfer costs and exchange rate mark-ups can make your purchase significantly pricier. This is where the money services provider Wise can help.

Open a Wise account and you can securely send and spend money in over 40 currencies, converting your pounds using the fair mid-market exchange rate without a mark-up and only adding a small, transparent currency conversion fee. It’s not a bank account but offers many similar features.

Considering the hefty price tag on some of the yachts, using Wise could save you a bundle, especially on large amount transfers.

Learn more about the Wise account 💰

Flagging your yacht

Flags are used to communicate different things to other boats. It can be important to use the right flags in the right positions to avoid misunderstanding and even fines, especially when travelling.

In the UK it is mandatory by law to fly an Ensign – a maritime flag that is used as the national identification of a ship. This will be the largest flag on your yacht and you’ll most likely be flying the Red Ensign.

Special or privileged Ensigns (White Ensign, Blue Ensign, and Light Blue Ensign) can be flown only with special permission.

If you’re part of an organisation like a sailing club, you can fly a burgee on your yacht that shows the club’s emblem or logo.

You can also fly a house flag, which is a smaller flag, that also shows organisation membership.

When you enter the waters of a foreign country, you can fly a courtesy flag. This flag says that the yacht respects the local laws and requirements.

Another flag that’s relevant for entering foreign waters is the Q flag. The ‘Q’ stands for quarantine, meaning that you’ve not yet checked your yacht in with local authorities.

Good to know: land flags or national flags should not be flown at sea. Because they resemble some signal flags they can cause confusion at sea.

Take a look at the Royal Yachting Association's page on flag etiquette to learn more about the sizes of flags and where you need to position them.

How to choose the right yacht?

Choosing the right yacht can take a bit of time. There’s a plethora of different yachts available, but with the help of our guide and by doing your own research, you’ll be able to find the best yacht for you.

Let’s walk through a few key considerations you’d want to know before deciding on a yacht you want.

Types of yachts

The three basic types of yachts are: sailing yachts, motor yachts, and gulet yachts.² A gulet yacht is a hybrid version, that has both sails and motors. From here we can break down the types further.

Sports yachts are yachts that are used mainly for water sports, fishing, or cruising. They can be recognised by their sleek designs and they can cruise at faster speeds because of their powerful motors.

Open yachts and different kinds of cruisers are otherwise uncategorised types of standard yachts that are used for entertaining and cruising.

Catamaran yachts have two hulls, making for a smooth ride with more stability. They are also well suited for use in shallow waters.

Luxury yachts have high-end finishes and technology as well as other premium features.

Superyachts or mega yachts are luxury yachts that are the largest and most expensive yachts available, measuring above 78 feet in length. These opulent yachts are usually managed by a professional crew.

There are many more types of yachts in these categories, which we won’t cover here. Once you narrow down your options, you’ll be able to go into further detail with the help of a good broker and online resources.

Moving on, here are some of the important things you need to consider when choosing a yacht. Take some time to consider what you’re willing to compromise on and what you’re not willing to negotiate on. If you’re going to be taking family with you, also ask for their wishes.

What is your budget?

There are many different yachts available for all budgets. Some brands will cost you a lot more, while others give you more or less the same experience at a lower price point.

Besides the cost of the boat, also consider the maintenance budget. Putting up a yacht will mean yearly recurring expenses.

When do you want to buy your yacht?

Think about when you will actually want to start sailing. Perhaps you’re planning on saving up to buy a more expensive yacht in the future. But maybe a smaller or cheaper yacht will give you the same sense of joy sooner.

How many people will be on board?

Choose the size according to how many people you want your yacht to sleep. If you’re planning to only rarely host more people, consider chartering a yacht for those occasions. This way you can optimise your expenses and get the type of yacht you really need.

Are there any size restrictions?

Depending on where you’ll be keeping your yacht, check to see if there are any size restrictions.

Where will you take your yacht?

Choose the right yacht depending on the locations you’ll be sailing. Do your research online or talk to more experienced people, if you’re not sure.

Equipment & technology

Modern yachts are technologically more advanced with better equipment, making it a lot easier to handle even larger yachts.

How much does it cost to buy a yacht?

As we already saw, there are many many different types of yachts you can buy. The cost of a yacht can vary from a few thousand pounds to millions!

The different factors that will affect the price of the yacht are the age and size, the model, and the brand. Premium brands will cost more, and you might get a relatively similar yacht for a lower price from a less prestigious maker. You’ll still want to do your homework beforehand to make sure you are getting a good-quality yacht.

Don’t be afraid to ask for advice from a good broker – they will have a lot of experience and can help you find the right yacht.

Keep in mind that you can get a decent used yacht for a much lower price.

And remember to check out the Wise account to potentially lower your costs when buying a yacht from abroad and sending money internationally.

Wise doesn’t have any hidden costs, your pounds are converted using the fair mid-market exchange rate, and you can always see the small currency conversion fee upfront.

Wise also offer dedicated support for large amount transfers to ensure your transactions go smoothly and securely.

Sign up with Wise today 💰

Sailing yachts

In general small sailing yachts can cost around £10,000. Yachts that are a bit larger (25ft–30ft) usually cost from £25,000–£50,000. The biggest sailing yachts cost around £100,000.⁴

Motor yachts

Smaller motor yachts will start from about £50,000 and larger motor yachts cost hundreds of thousands.⁵

Luxury yachts

The average luxury yacht in 2023 cost £532,000, with prices ranging from £250,000 to £12.5 million.⁶

Maintenance costs

The maintenance costs for your yacht will be around 5-10% of the yacht’s value annually, so make sure you budget accordingly. Maintenance costs include things like repairs, equipment, insurance, and mooring.

Crew costs

The amount of people you need varies from just a couple to dozens for large superyachts.

Here’s what you can expect for crew sizes:

Yacht size	Crew members
Smaller superyachts (80-100ft)	2-8 crew members
Medium-sized yachts (100-200ft)	8-20 crew members
Large superyachts (over 200ft)	Over 20 crew members and superyachts exceeding 328ft can have 30–50+ crew members

Here are some typical crew salaries:⁷

• Skipper – £12,000 per month
• First mate – £8,000 per month
• Chief engineer – £10,000 per month
• 2nd engineer – £8,000 per month
• Chief stewardess – £8,000 per month
• Bosun – £7,000 per month
• Deckhand – £4,500 per month
• Chef – £5,000 per month
• Purser – £5,000 per month

Where can you buy a yacht?

So, where to buy a yacht from? Luckily there are many dealers and brokers to choose from. Chances are that you can buy your yacht from a provider close to you, so just open up Google and see what your options are.

Here are some sellers we found online to get you started on your search:

• TheYachtMarket
• Topsail Marine Yacht
• Clipper Marine
• Universal Yachting
• X-Yachts
• Yachts.co
• Norfolk Yacht Agency

You can also find different yacht sellers from other countries. However, always make sure they are legit and carefully add up all the costs before committing to the purchase.

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Buying a yacht is a big decision, so take your time. Make sure you know what kind of yacht will give you the exact experiences you’re looking for. Once you’re clear on what you’re after, everything else will fall into place.

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Sources used:

1. Wikipedia - Yacht
2. Van Isle Marina - When is a boat a yacht?
3. Lux Yachts - The process of purchasing a yacht
4. Taylor Watkins - How Much Does it Cost to Buy a Yacht?
5. GJW Direct - How Much is a Yacht? The Average Prices and Costs of Yachts
6. Luxury Lifestyle Magazine - How much does it cost to buy a luxury yacht in 2023
7. Insure4boats - The cost of owning a superyacht in 2023

Sources last checked on date: 20-Mar-2024