BUY BOATS IN A BULL MARKET
INDUSTRY INSIDERS OFFER TIPS FOR FINDING AND BUYING A BOAT OR OUTBOARD IN A SELLER’S MARKET.
“Good luck.”
That was the response from a Massachusetts boat dealer this past summer when I asked for tips on finding a new boat in today’s market. And he’s not alone. That kind of response is typical from many dealers these days. From California to the Carolinas and Michigan to Mississippi, new-boat inventories range from limited to nonexistent, and demand is at an all-time high. Blame COVID-19 for it all. The pandemic ignited a boat-buying frenzy, fueled by an influx of new American boaters. Restricted from travel, vacations, dining out, kids summer camps and more, COVID-19-weary throngs of families have sought new ways to recreate, have fun and stay safe. For many, buying a boat has proven to be the best way to achieve all of those goals. According to the Chicago-based National Marine Manufacturers Association, traditional powerboat sales reached a 13-year high in 2020. More than 310,000 new powerboats were sold, levels the recreational boat market has not seen since before the Great Recession in 2008. Data from Lending Tree reinforces the NMMA’s findings. “Interest in boat purchases doubled between 2019 and 2020,” says the internet-based lending firm. “The number of consumers completing boat-purchase query forms rose 104 percent year over year.” At the same time, COVID-19-triggered shortages have plagued boat and outboard builders. Manufacturing—both domestic and overseas— of essential supplies such as resin, windshields, microprocessors, upholstery foam, propellers and other key components slowed to a crawl at the onset of the pandemic. So, when demand unexpectedly surged about two to three months into the crisis, boatbuilders quickly ran short of materials, hampering the completion of boats and leaving factories struggling to keep pace. Suppliers have worked hard to rev up manufacturing, but slowdowns wrought by wicked winter weather, snarled shipping and overwhelmed ports of entry have bogged down the supply chain. The entire boating industry is playing catch-up. The compounding effects of low supply and high demand mean that even if you can find a boat or motor, there are few bargains, even as we prepare for a post-pandemic world. “If you can find a new boat to buy, that in itself is a deal,” says Sean Hickey, east coast sales manager for Everglades Boats. It’s a classic seller’s market. But there are still ways to find boats and motors, and to negotiate deals, according to advice we gleaned from industry insiders. Here are 10 tips for buying in a boom market.