Local boaties are turning to the European market for pre-owned multi-million dollar luxury vessels because of a shortfall in quality high-end stock in Australia, according to a leading marine broker.
Ray White Marine CEO Rick Rodwell said Australia’s shortage of late model luxury motor yachts with low hours had come about because of the GFC.
“People weren’t buying new boats during and post the GFC, so several years down the track we are feeling the effect of that protracted lull in sales,” he said.
Mr Rodwell said the larger European market was proving a viable option for boaties seeking a quality pre-owned vessel.
“At present supply is so much greater in the European market and local demand is less intense ,” he said.
“It can be cheaper to buy from Europe, even with a low Australian Dollar and the shipping costs, which can be several hundred thousand dollars.”
Mr Rodwell said Ray White Marine had recently sold a large motor yacht lying in France for $3 million to an Australian buyer.
“The vessel has a market replacement value of approximately $6 million, so it was an option that played out very well for the purchaser,” he said.
“Conversely, there are also signs that multi-million dollar new boat buyers are now re-entering the market, which will be put to the test during the upcoming major Boat Show season commencing at Sanctuary Cove in May, and Sydney late July.”
Ray White Marine has recently auctioned boats lying in Singapore, Hong Kong and New Zealand.
Mr Rodwell said the company, which has bases in Sydney and the Gold Coast, had witnessed a marked increase in high-end auction sales.
“People are continuing to embrace auction as a legitimate sales method for the marine industry,” he said.
“Our national and international marketing campaigns target buyers from across the world whereas traditional brokers tend to be very localised in their reach.
“The auction dynamic also creates a sense of urgency with a cut-off date and instruction to settle.”
The agency’s latest auction results include a Princess 85 from North Queensland that was sold under the hammer for $3.2 million, a Perth catamaran for $3.1 million and an 82-foot motor yacht from Sydney for $1.65 million.
Ray White Marine last year was appointed as the exclusive distributor in Australia and New Zealand for the Italy-based Ferretti Group, including Ferretti Yachts, Pershing and Riva.