Why is it the only reasonable option?
First there is always the possibility of buying a brand new yacht from a reputable international yard at a price which is 2 to 3 times the price you may pay for a purchase a pre-owned yacht by using our services. If you have no limit to your budget and can afford paying this range of premium for having exactly the same yacht just a few years younger with no significantly lower engine hours and without major differences in terms of general appearance and conditions, then this is the option.
Nevertheless you will agree that it not what can be called a reasonable option.
Furthermore for the reasons explained in a different page of our website the limited second hand local market does not constitute a suitable option due to the limited offer and the still relatively high price which results from such a restricted offer.
Then the last possible seemingly seducing option would be the choice of unbranded local manufacture.
Nevertheless choosing the fabrication of your yacht by a local unbranded ship yard, certainly less expensive than an international brand, may be a risky and still a high price adventure, in particular when considering the lower quality of the local construction and the associated fast depreciation of the yacht value.
Having explored the option of fabrication by a local ship yard in a few instances, for our own account or at the request of some of our clients in low cost labor countries e.g. China, Indonesia, Thailand, India, we have also acquired an experience of local yachts manufacturing markets.
Most of the local builders are small scale traditional companies mainly constructing boats for local business use (transportation of people for instance) and attempting to expand and diversify their businesses, often marginally, into the yachting industry. The origin of the fiber, wood, electrical equipment, chandlery or other key components is generally unknown, non guaranteed or non authenticated. The signs of the quality or any absences thereof will mainly be noticed only in the next 7 to 10 years making this option technically risky.
There is generally no effective or sufficiently long warranty in case of default and when present it can be difficult to enforce. The reputation risks have not the same meaning from the standpoint of an international or local yard, the respective commercial stakes not being the same.
All these factors, added to the absence of real brand name, unavoidably translate into a faster depreciation of the initial investment and difficulties in selling this type of local product on the local second hand market.
This is why many potential buyers, even more so when they are new joiners in the Yachting world, unsatisfied by the offering on the regional / local second hand or fabrication market, being not inclined to pay the level of price requested for the European and US brand new products, and not willing to try the adventure of local fabrication, may be reluctant to pursue to the end with their project of acquisition…
…until they have found, through Yacht Asia Buyers, the only viable alternative compared to any of the other existing options.