New Boat purchase - advice

Hi,

I'm very excited about the new boat i'm about to buy and everything is in order, i was just wondering if there is any advice on how to best manage the transfer of the 'asset' as this is all being managed privately without a broker.

I've got copies of the registration etc, and we will sign over the rego papers, and i imagine i will then eft the funds to the seller. But is there anything else i should do to officiate that process?

Many thanks.

Write out a contract and also do a Bill of Sale and/or contract of sale. Do some googling For examples to use. Contract can be complex or simple. I'm

I would also ask the seller to right a reciept on payment confirming you have paid
www.amsa.gov.au/forms/bill-sale

boatbuy.com.au/boat-purchase-contract/

Presumably the seller should have all the rego renewals (and insurance renewals) through his ownership and possibly prior owners.
The further you are able to go back with such documentation then the less likely it is that the boat is stolen as you would think that over a long period somebody would have chased down their stolen boat.

Not sure how you guard against someone like a finance company having a lien on the boat.

Obviously the contract should state that there is nothing owing on the boat to anyone and that no one has a lien on it but that doesn't do you much good if you can't chase down the seller later as might be the case if they are a liveaboards or just renters.

Always helps to ask around the local area to see if people know the boat and the owner.

Obviously it is an advantage to the buyer if there is an agent who holds the deposit as a stakeholder but when I bought my boat and I just paid the guy the deposit on my gut feeling that he was okay. If I were to do it again I would try and negotiate a much smaller deposit to minimize my risk if there was not an agent.

You don't mention whether a survey has been done. This is usually a requirement for comprehensive insurance (your insurance application) and gives you an opportunity to see the boat out of water plus usually get it antifouled to save later haulout costs. A survey may or may not help with your purchase decision or final price negotiations, but it allows an opportunity to see how cooperative the seller is.

Another issue to negotiate is mooring. Do you have a mooring organised? Does the contract state you can remain on the previous owner's mooring for a period of time, or are you expected to move your new boat solo immediately no matter what the weather conditions?

I agree about having a bill of sale/receipt for both seller and buyer, signed and dated by both as well as signed rego papers. Realistically, in Australia it's unlikely a yacht registered in the previous owner's name for a couple of years has a history of having been stolen, tho power craft on trailers are a different issue. Also, if you're moving your yacht interstate, find out what rego transfer requirements exist E.g. a HIN number.

Enjoy the new yacht:)

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FabulousPhill said..

julesmoto said..
Not sure how you guard against someone like a finance company having a lien on the boat.

the Federal government has a 'personal properties security register' www.ppsr.gov.au/ Personal Property Securities Register It does cars, maybe it will register interests/ownership of vessels too.

A contract could have in writing that the seller 'guarantees' free title to the vessel, and if it is not the case, then you can sue them because they vouched for it.

If you are dealing with a crook or a person with few assets then you have no chance of getting your money back.

Actually with the cost of legal proceedings you have very little chance of getting your money back against anybody unless it is an extremely large amount that dwarfs the legal fees.

No matter what you say in a contract - if you're dealing with a crook it is worthless.

An inventory is a very good idea assuming you're dealing with a mostly honest person. I took a lot of videos of the yachts I inspected and then put in the contract that everything on the boat as inspected was included.