Owning a luxury yacht is a dream for most, and I’m sure many haven’t even bothered looking at prices as it just seems so far out of reach – a very loose guideline would be between $US 5 million to approximately $US 25 million for seriously top range superyacht – but how much would a 50ft luxury yacht cost to build, actually?
Although this seems like a pretty straightforward question, the cost of this could vary due to quite a few factors and there are some aspects to be taken into consideration.
If you’re lucky enough to be working with a yacht company that is willing to welcome all your customizations in with open arms, the cost of building will, obviously, vary depending on what customisations are wanted and how much they cost. Customisations range from navigation equipment right through to interior finishes. Here you are looking at anything between $US 800 000 and $US 1 500 000.
2. Fractional Ownership
For those individuals who think it’s impossible to own their very own yacht, you can look into fractional ownership, an amazing option that not too many know about or would consider. As the name implies, fractional ownership means you only pay a part of the cost of the entire yacht, making it much more affordable. This is mostly between a quarter and half of the cost. Sharing the costs and efforts of operating the yacht dramatically reduces operating costs too. Shared ownership also allows you to spread your investment over 2 or 3 assets.
3. Building Time
When you do decide to work with a yacht company and build your boat, the process while the yacht is still in the boatyard can take anywhere from four to nine months, depending on changing of requirements. Hopefully, you’ve chosen a yacht company that cares about quality and takes any necessary time to ensure the end product is perfect and the way you dreamed it.
4. Yacht Financing
Now not everyone just has a few million lying around, and the financing of a yacht has to carefully and considerably be thought out by the owner and others involved. There are various ways to finance a huge project like building a 50ft boat, for example, loans. Interest rates for yacht loans can vary from floating-rate to fixed-rate loans with payments and amortizations up to 20 years.
You can finance your boat by either going through a bank yourself or going to a marine financing lender, who knows the process and the product. Be sure to factor in important elements like the down payment, monthly loan payments, yacht storage or dockage costs, upkeep and repairs, insurance, fuel etc.
If you would like to discuss the Knysna Yacht Company customization yacht building options please get in touch with us.