Buying an Ex Charter Yacht

Considering buying a yacht in Greece? There are deals available, especially at the end of the luxury yacht charter season. But there are pitfalls to be familiar with too. small ship register

The majority of Ancient greek yachts listed with brokerages are former charter private yachts, known as Greek professional yachts. Some people lacking confidence away from them, assuming it equivalent to buying a second-hand vehicle from a vehicle hire firm. Not really all charter yachts are ill-used or poorly managed. 

In fact, most of the professional yachts in Greece are owned by individuals somewhat than yacht charter companies. The owners charter them out in order to gain from VAT and other tax advantages.

Often the owner will charter for the minimum number of days required to maintain professional status and cover the twelve-monthly mooring and maintenance costs of the yacht.

If you are prepared to spend time shopping around you will find a major difference in the appearance of yachts of the same age, with some looking ‘tired’ from heavy use while others seem to be years younger.

THE REVIEW

Having found a yacht you want to buy you should have it surveyed by a professional surveyor. It is far from unfamiliar for a charter boat to suffer major outer skin damage, be patched up by an unscrupulous owner, and then offered for resale.

“Buyer Beware” should certainly be your saying.

A survey will not only protect you from buying a boat with technical problems but it is also required by most insurance companies. You will pay 500 – 1500 Euro for a survey.

GREEK FLAG

00% of Greek professional vessels are Greek-flagged. If the boat is flagged in another country then the rules of the country will apply and also you need advice from a professional broker.

If perhaps you are not a Greek citizen or an E. U. citizen person in Greece you will need to change the flag if the boat is intended for private use. You can keep Ancient greek flag if you have a yacht charter business in Greece.

SALES VALUE

We were once encouraged never to pay a Greek the price this individual asks for anything, as he will always expect you to bargain…

This kind of is certainly true as it pertains to boats. You should be capable to negotiate down from the first asking price. A good survey can provide you ammunition for this, as few used boats will be without the defects.

The surveyor should be able to recommend you the actual ‘going rate’ is for the sort of ship you are interested in.

Some brokers in Portugal do not work on a fixed commission most basic. They will agree a price with the owner that he/she need. They will then try to obtain as high a price as possible from the purchaser. Their commission is the difference. The extra they increase the ‘owner’s price’ can be quite substantial and leaves plenty of scope for negotiation.

VALUE ADDED TAX

Greek professional ships will have been purchased VAT exempt. If you are an E. United. national, you will be required to pay VALUE-ADDED TAX on the current value of the yacht as well as the purchase price.

The VALUE-ADDED TAX rate in Greece is 19% but often you can negotiate with the Seller in fact it is not unknown for deals to be contacted to pay only an additional 5% and the Seller handles the repayment of the remaining VALUE-ADDED TAX.

You may well be exempted from repayment of VAT if you take part in commercial activity that includes luxury yacht chartering.