Marine Survey giving "estimated market value"?

K

Knipet

New member
Is it typical for a marine survey to establish an estimated market value?
As a former commercial real estate appraiser I was shocked to see that the surveyor who inspected C-Sharp on behalf the a prospective buyer gave an estimated market value, not by actual comparables but by using pricing guides such as Soldboats.com, BUC Used Boat Pricing Guides, NADA, Yachtworld.com, other online sales lis2ngs or dealers.

Other than the NADA, I am not familiar with these other "sources". I know NADA is the National Automotive Dealer Association which represents franchise dealers and their guides are used as a tool to lowball trade in prices for the dealers and are notoriously low.

I was just very surprised to see the marine surveyor would give an estimated market value. I equate a marine surveyor with a home inspector who's job would be to establish the actual condition and uncover significant defects whereas an appraiser would establish a market value based on a thorough analysis of actual retail sales adjusting for condition and features.

This surveyor came up with a estimated market value which was about 13% lower than the price the potential buyer and I agree upon.
 
Complicated by market value vs insurable value.

I plan ro sell my Venture 23 in spring I have no ideal what worth.
C-brat lists askingbnot selling prices and no uniform condition. Equipment etc.

Guess it is worth what someone will pay. Price can compare to new also.

They are no accurate guides. NADA etc used to determine lone value.
 
Stick to your guns Steve!

I wouldn't put any stock into what that Boat Surveyor says about the value of your boat. Remember, it's a C-Dory and not like other boats on the market and doesn't compare to others in value.

In the short time that you and Joanie have owned C-Sharp, you guys have made some real improvements into your investment with electronics, solar, kayak rack, new main and kicker motors etc....If your prospective buyer hesitates at the asking price, let him or her go on their way. Another prospective buyer will be on your doorstep the following day. You have a very nice 22 Cruiser that will go to a deserving family very soon! My opinion, but also with some experience on selling a well loved and used boat in a condition like yours in the past.
 
The reason that Yacht Surveys usually have a value price is that the survey is often used for insurance purposes. The insurer wants to know that the boat is at least sound, up to current codes and a "low" insurance risk. The insurer also wants to know what an "independent" person (surveyor) thinks the value of the boat is.

The most common references are BUC (This supposedly shows the actually selling price as gleaned from yacht brokers). The NADA is always off for C Dory's and boats of unique and relatively infrequent sales. The use of Yacht World and Boat Trader etc, can be a bit misleading.

Homes have multiple other reasons for their pricing--including neighborhoods, current sales, comps, condition etc. My understanding is that the home surveyor looks for any major issues which may come up as repair or safety issues for the sale of the house--and not of the value of the house.

If I see a low value on a C Dory from a survey, I refer the surveyor to this site. When we sold the 22 the surveyor had already done his homework, and was very close on the value. Sometimes brokers will "influence" surveyors, for financing purposes....Hate to say that--but never use a surveyor "recommended" by the selling broker.... There are some good surveyors.....
 
Steve, I would certainly suggest that surveyor take a look at the C-BRATS site sales records.

I know when I insured my boat, (and I did not have a survey as it was nearly knew and only 80 hours,) the insurance wanted a survey record, usually, but due to the age and hours, (less than 1 year), they were willing to take comps off this site. He wanted to use NADA and Kelly, initially, and I told him "No Thank you" and then learned through the secretary that he had a very similar C-Dory, same year, in his files. WE settled on what I paid, (agreeable with the comps), and there have been no issues.

Harvey
SleepyC :moon

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hardee":28jv0ree said:
Steve, I would certainly suggest that surveyor take a look at the C-BRATS site sales records.

I know when I insured my boat, (and I did not have a survey as it was nearly knew and only 80 hours,) the insurance wanted a survey record, usually, but due to the age and hours, (less than 1 year), they were willing to take comps off this site. He wanted to use NADA and Kelly, initially, and I told him "No Thank you" and then learned through the secretary that he had a very similar C-Dory, same year, in his files. WE settled on what I paid, (agreeable with the comps), and there have been no issues.

Harvey
SleepyC :moon
Click to expand...

My insurance company never questioned the value of my C-Dory or requested a survey report. It was 4.5 years old when I bought it.[/quote]
 
When I had my C-25 surveyed pending purchase, the surveyor asked what was the contract price, and put that amount down as the market value. So that is how much thought and knowledge he put into that!
 
State Farm Insurance Company now offers boat insurance at very competitive rates. And they will also do an "agreed value" policy, up or down in coverage, regardless of what market sale statistics may indicate. This has been an incentive to place my antique and classic cars with them.
 
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