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Buying through a yacht broker is a staged transaction, not a single purchase. You define how and where you will use the yacht, engage a buyer’s broker, inspect and compare candidates, submit a written offer with conditions, place a deposit with the contract’s stakeholder or escrow holder, complete an independent survey, haul-out and sea trial, then finalize financing, insurance, title checks and closing documents before funds and ownership change hands.
The signed purchase agreement controls your deadlines, inspection rights, deposit treatment and remedies. A roughly 10% deposit is common in brokerage transactions, but the percentage, escrow arrangement and refund rules vary by contract, jurisdiction and vessel flag. Have a maritime lawyer review the agreement before you sign.
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1. Define the yacht brief before you search
A broker can search broadly, but only if you can explain what “right” means for your household. Write a one-page brief before requesting listings. It should cover:
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- Use: weekend trips, extended cruising, fishing, entertaining, liveaboard use, charter or another primary purpose.
- People and capacity: normal crew, guests, children, accessibility needs and the number of cabins and heads required.
- Yacht type: motor yacht, sailing yacht, trawler, express cruiser, catamaran or another configuration.
- Size and performance: length range, draft limits, bridge clearance, cruising speed, range and fuel capacity.
- Geography: home port, cruising area, haul-out access and the country or flag in which the vessel may be registered.
- Budget: purchase price plus survey, haul-out, repairs, taxes, registration, insurance, financing costs, delivery and an operating reserve.
- Timing: when you need delivery, seasonal constraints and whether you can travel for inspections.
Use the total acquisition budget rather than the listing price alone. A lower-priced yacht can require more immediate work, a difficult delivery or insurance that is expensive or unavailable in your cruising area.
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2. Choose representation and understand the broker’s role
Buyer’s broker and listing broker
In a two-broker transaction, the listing broker represents the seller and the buyer’s broker represents you. The buyer’s broker can search multiple listings, arrange viewings, explain market terms, help assess value and negotiate your offer. The listing broker’s obligations are to the seller. Do not assume that the person showing a yacht is advising you as a buyer.
Broker compensation is commonly paid from the seller’s proceeds and shared between the brokers, but that is not universal. Ask how compensation works, whether you owe anything directly, which party the broker represents and how conflicts are handled. Obtain those answers in writing before you rely on the broker’s advice.
Questions to settle before signing a representation agreement
- Is the arrangement exclusive, and for how long?
- What geographic area, yacht types and price range does it cover?
- How are commissions, retainer amounts or expenses calculated and paid?
- What happens if you find a yacht yourself or use another broker?
- How will conflicts be disclosed if the brokerage also lists the yacht?
- Who will communicate offers, inspection notices and acceptance decisions?
Representation documents differ by jurisdiction. A maritime lawyer can explain fiduciary duties, agency disclosures and any required broker licensing for the transaction’s location.
3. Search, shortlist and view candidates
How a broker builds the shortlist
Your broker should filter listings against the brief, then provide enough information to eliminate unsuitable boats before you travel. Request the listing history, asking-price changes, ownership and maintenance information available to the broker, engine hours, refit dates, known defects, location and whether the yacht is available for haul-out and a sea trial.
Online photographs are useful for narrowing the field, but they do not establish condition. A clean interior can hide structural, electrical, plumbing or machinery problems. Treat every listing as an invitation to investigate, not as a substitute for a survey.
What to do at a viewing
- Walk the deck, hull access points, machinery spaces and accommodation with a written checklist.
- Look for water staining, unusual odors, corrosion, soft deck areas, cracked finishes, leaking windows and evidence of improvised repairs.
- Ask for service records, invoices, manuals, schematics, previous survey reports and details of any claims or major repairs.
- Record engine hours, generator hours, tank capacities, electronics age and safety-equipment dates where they are available.
- Ask the broker what is included in the sale and what will be removed before delivery.
- Note questions that require a surveyor or specialist rather than accepting an informal answer.
Compare yachts on total risk, not just price
| Comparison area | What to examine | Why it changes the decision |
|---|---|---|
| Total acquisition cost | Price, survey, haul-out, repairs, taxes, registration and delivery | The cheapest listing may have the highest first-year cash requirement. |
| Condition and maintenance | Maintenance history, refits, deferred work and quality of repairs | Documented preventive maintenance reduces uncertainty; cosmetic work does not prove mechanical health. |
| Propulsion and systems | Engine and generator hours, service records, electrical, plumbing, stabilizers, air-conditioning and navigation equipment | Major-system failures can affect safety, insurance and financing. |
| Survey findings | Structural, moisture, machinery and safety observations | Findings determine whether to accept, negotiate repairs or reject under the agreement. |
| Title and documentation | Ownership chain, registration, liens, encumbrances, bills of sale and inventory | Unresolved claims or missing documents can delay or prevent closing. |
| Insurance and financing | Availability, deductibles, cruising-area limits, lender conditions and interest cost | A yacht you cannot insure or finance on acceptable terms may not be usable within your plan. |
| Intended use | Draft, bridge clearance, range, speed, layout and crew requirements | A technically sound yacht can still be unsuitable for your routes or skills. |
| Contract protection | Survey, sea-trial, financing, insurance and delivery conditions | Two similar yachts can carry very different legal and financial risk. |
4. Make a written offer, not a verbal promise
After a viewing, your broker should transmit a written offer or purchase agreement identifying the specific vessel and the commercial terms. The agreement should identify, at minimum:
- Make, model, year and Hull Identification Number (HIN).
- Agreed price, deposit amount, payment method and the party who will hold the deposit.
- What equipment, spares, tenders and personal property are included in the inventory.
- Survey, haul-out, sea-trial, financing and insurance conditions.
- Inspection locations, who selects and pays the surveyor, and who pays yard or specialist costs.
- Deadlines for inspections, written notices, acceptance, requests for repair or price adjustment, rejection and closing.
- Delivery location, delivery date or range, risk of loss before delivery and responsibility for transport.
- Required title, registration, lien and encumbrance documents.
- Default remedies, permitted deductions from the deposit and the procedure for returning or applying funds.
California State Parks’ used-boat buyer guidance summarizes the practical rule: “The cardinal rule is-get it in writing.” A message or conversation that is not incorporated into the signed agreement may be difficult to enforce.
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Price, included items and conditions
Your offer can address price and timing, but the conditions are equally important. A conditional agreement makes satisfactory survey and sea trial contractual decision points. Financing and acceptable marine insurance can also be conditions of completion when the parties agree to them. Define what “satisfactory” means procedurally: who decides, what notice must say, and when notice is due.
Have the contract reviewed before signing
Broker forms and local practices vary. An “as is, where is” or unconditional agreement can remove survey and sea-trial protections and may make the deposit non-refundable. A maritime lawyer should review governing law, agency disclosures, tax provisions, default clauses, arbitration or court venue, and the exact inspection and rejection language before you sign.
5. Pay the deposit only under the signed agreement
How much is customary?
A deposit of approximately 10% of the purchase price is common in yacht brokerage guides, including 2026 guidance from Grabau International and other brokers. It is a market convention, not a legal rule. The contract may specify a different amount, staged payments or a different currency.
Where the money goes
Pay only the stakeholder, escrow holder or client account named in the executed agreement. Verify the account and wiring instructions independently using a trusted telephone number; email account-takeover fraud is a real closing risk. Keep the payment receipt and written confirmation that the funds were received.
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The deposit is not automatically refundable. Refund rights, inspection deadlines, acceptance notices, permitted deductions and default remedies come from the signed agreement and applicable law. If you reject within a valid condition, follow the notice method and deadline exactly. Missing a deadline can convert a conditional purchase into a binding obligation or expose the deposit to deductions.
6. Organize an independent survey, haul-out and sea trial
Choose and hire the surveyor
You should select and contract directly with an independent marine surveyor. The surveyor should have experience with the yacht’s construction, propulsion and systems. The buyer normally pays the surveyor and associated yard costs, including haul-out. Ask for a written scope, fee, travel charges, report format and any specialist exclusions.
What the inspection can include
- Out-of-water hull, appendage, running-gear and through-hull inspection during haul-out.
- Moisture or laminate checks appropriate to the construction.
- Structural inspection of bulkheads, stringers, chainplates, frames and collision or grounding repairs.
- Engine, transmission, generator, exhaust, cooling and fuel-system checks.
- Electrical, battery, charging, navigation, plumbing, steering, hydraulic, air-conditioning and safety-system checks.
- Rigging, sails and deck hardware inspection for sailing yachts.
- Specialist examinations when the general surveyor identifies a need, such as an engine, gas, rigging, electronics or corrosion specialist.
A survey is a condition assessment at a point in time, not a warranty. Its scope, testing limits and inaccessible areas should be clear in the report.
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Conduct the sea trial deliberately
Run the yacht under normal operating conditions that are safe and permitted by the owner and captain. Observe starting, acceleration, cruising performance, steering, vibration, alarms, temperatures, generator load, electronics, thrusters and other systems relevant to the intended use. Record engine readings and operating conditions for the surveyor. A sea trial may reveal issues that cannot appear while the yacht is tied to the dock.
Boatcrowd describes the sea trial and condition survey as the two moments when a buyer finds out what the yacht is actually like. Schedule both early enough to meet the contract’s notice deadline; the agreement, not a generic industry timetable, controls.
7. Decide what to do with survey findings
Read the agreement before you receive the report so you know the available choices. Depending on the wording and the severity of the findings, you may:
- Accept: sign the required acceptance notice and proceed.
- Request repairs: identify specific work, standards, receipts or reinspection requirements and allocate responsibility in writing.
- Request a price adjustment or credit: quantify the issue and record how the adjustment affects closing funds.
- Reject: deliver a timely written rejection when the contract permits it, then follow the deposit-return procedure.
Do not rely on a verbal promise that a defect will be corrected. A repair agreement should state who performs the work, when it must be completed, who pays, what happens if the work is incomplete and whether you have a right to reinspect. Safety-critical defects, structural damage, major machinery problems and insurability issues deserve specialist advice rather than an improvised compromise.
8. Arrange financing and insurance before you are committed
Financing
Seek pre-approval before making an offer, then give the lender the signed agreement, valuation information and survey report when requested. Confirm loan-to-value limits, term, interest-rate lock, required documentation, repayment currency, cruising restrictions and the exact date funds must be available. If financing is a contract condition, follow its application and notice deadlines; pre-approval is not a guarantee of final funding.
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Obtain an insurance indication early and a binding policy or written confirmation of coverage before closing. Underwriters may review the survey, vessel age and construction, machinery condition, claims history, owner experience, navigation limits, hurricane plan, lay-up arrangements and cruising area. A policy may require repairs or a higher deductible. Insurance availability can change after the survey, so do not assume a quote remains valid without confirmation.
9. Complete title, registration and lien checks
Before releasing the balance, confirm who owns the yacht and whether anyone else has a claim. The exact searches depend on the vessel’s flag, registration and transaction location, but the closing file commonly includes:
- Current registration or documentation certificate.
- Chain of executed bills of sale showing ownership transfers.
- Evidence that mortgages, maritime liens, tax claims and other encumbrances have been released or will be released at closing.
- Hull Identification Number and builder information matching the contract and physical vessel.
- Corporate authority documents when the seller or buyer is an entity.
- Inventory, tenders, outboard motors, spare parts and equipment schedules.
- Tax, VAT or sales-tax evidence and any required import or export records.
A documentation agent or maritime lawyer can order searches, prepare bills of sale and coordinate releases. Registration, flag-state rules, VAT or sales-tax treatment and lien procedures are jurisdiction-specific; obtain advice for the vessel’s current and intended registration.
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Review the closing statement
The closing statement itemizes the purchase price, deposit credit, lender funds, broker compensation, yard or storage charges, taxes, registration fees, prorations and other agreed adjustments. Check every line against the contract. Resolve discrepancies before the wire date, not at the dock.
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Typical deliverables include the executed bill of sale, title or registration documents, lien releases, inventory, keys, manuals, maintenance records, warranty assignments if any, insurance evidence and corporate authorizations. The package differs by jurisdiction and flag. Your lawyer or documentation agent should identify missing originals, notarization, apostille or recording requirements.
Set delivery and risk of loss
Agree in writing on the delivery location, date, condition, fuel and water levels, equipment included, berth or storage charges, transport arrangements and the moment risk of loss transfers. If the yacht remains with the seller after closing, use a written custody or delivery arrangement rather than an informal promise.
11. What happens on closing day
- The parties confirm that contract conditions are satisfied or formally waived.
- The buyer’s lender, if any, sends loan proceeds; the buyer sends the balance and approved adjustments to the designated account.
- The closing agent or lawyers verify receipt of cleared funds and exchange the executed bill of sale, lien releases and other ownership documents.
- Registration or documentation filings are submitted as required, and the buyer receives evidence of the filing or temporary authority to operate where available.
- The broker confirms commissions and the seller’s net proceeds under the transaction statement.
- The parties complete delivery and handover: keys, access codes, manuals, records, spares, tenders, safety gear and personal property listed as included.
- The buyer photographs the vessel and records meter readings, inventory condition and any agreed outstanding work.
Closing transfers money and ownership documentation; physical delivery and handover may occur immediately or under a separate schedule. Do not operate the yacht until insurance, registration and any required operating documents are in force.
12. Costs and timing to include in your plan
Set aside funds for more than the deposit and purchase price. The transaction may involve:
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- Independent surveyor and specialist fees.
- Haul-out, blocking, pressure washing, launch and yard storage.
- Sea-trial captain, fuel and crew expenses.
- Repairs, replacement parts and follow-up inspections.
- Lender valuation, documentation and closing fees.
- Marine insurance premium, deductibles and required risk-mitigation work.
- Registration, documentation, title searches, taxes, VAT or sales tax, import duties and delivery.
- Brokerage or legal charges not covered by the seller or transaction arrangement.
Time is driven by the agreement’s inspection and notice periods, surveyor and yard availability, lender underwriting, insurer review, document searches and the parties’ ability to complete repairs. Build contingency time into the closing date and put every extension in a signed amendment.
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13. Common failure points and how to recover
The deposit was wired to the wrong account
Contact your bank immediately to request a recall, notify the broker and escrow holder through verified channels, preserve the messages and report suspected fraud to the relevant authorities. Do not send a second payment until the account is independently verified.
The survey reveals major defects
Ask the surveyor to distinguish safety-critical, structural, regulatory and maintenance items. Obtain specialist reports and repair estimates, then use the contract’s repair, credit or rejection process before the deadline. Never let informal negotiations run past the notice date.
The lender or insurer declines the yacht
Request the reason in writing. If financing or insurance is a condition, follow the contract’s notice procedure. If it is not a condition, speak with your lawyer before assuming you can cancel without deposit consequences.
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Pause the balance payment and ask the closing agent to identify the missing release, bill of sale or registration evidence. A clean title package is a closing requirement, not an administrative detail to fix after delivery.
The yacht is not delivered as agreed
Compare the physical condition and inventory with the contract and closing statement. Photograph discrepancies, notify the responsible party in writing and use the contract’s holdback, cure or damages procedure rather than accepting an undocumented promise.
14. A buyer’s final checklist
- Written brief covering use, type, size, budget, cruising area and delivery target.
- Buyer-broker representation, compensation and conflicts explained in writing.
- Written offer identifying make, model, year and HIN.
- Price, inventory, deposit holder, deadlines, conditions and remedies in the signed agreement.
- Deposit wired only to the verified stakeholder or escrow account.
- Independent surveyor hired by the buyer; haul-out and specialist inspections completed.
- Sea trial completed and written acceptance, repair request, adjustment or rejection delivered on time.
- Financing approved and funds scheduled; insurance bound for the intended vessel and cruising area.
- Title, registration, bills of sale, lien releases, tax evidence and inventory checked.
- Closing statement reconciled; delivery location, risk of loss and handover items documented.
- Ownership documents exchanged only after cleared funds and contract conditions are confirmed.
15. Professional advice you should obtain
A broker can coordinate the search and negotiation, but no single professional covers every risk. Use a maritime lawyer for the purchase agreement and title; a qualified marine surveyor and appropriate specialists for condition; a lender for financing; an insurer for coverage; a tax adviser for sales tax, VAT and ownership structure; and the relevant registration or flag authority for documentation requirements. Their advice should be specific to the yacht’s location, flag, ownership entity, cruising plans and governing law.
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