If you’ve ever rented a boat for the weekend or spent time on a friend or family members boat, you may have considered how much it would cost for you to own your own boat. Most people who have not owned a boat before should consider the following before deciding whether or not to purchase a boat:
- The type of boat to buy
- What to use it for
- The best fit for your family
- Where to store it during winter
- Most importantly, how much is the real total cost of boat ownership?
The best way to limit uncertainty and to successfully move forward in the buying process is by answering these questions.
Before buying your dream boat, it is important to learn more about the upfront costs, annual maintenance costs, usage costs, and storage costs. This article has detailed the upfront and total cost of boat ownership.
Upfront Cost and Annual Maintenance
Before purchasing your boat, consider the upfront purchase price. The first step is to figure out the type of boat that will meet your needs. You may be interested in a bowrider for family fun, a fishing boat, a cabin cruiser that can house your family overnight, or a pontoon boat for family parties.
Ensure that you get the boat style that is right for you by determining the number of passengers you would want to accompany you, your activities, and more criteria for your dream boat.
What kind of boat can you afford?
Once you’ve determined the type of boat that would best meet your needs; the next step is to calculate how much you are willing to spend. You can determine how to structure your boating purchase based on that figure. Your credit rating can factor into your purchase if you are financing the purchase. Do not tie up required cost-of-living funds in your boat since this is a discretionary purchase.
Average Mooring Fees per Year
When you own a boat, it is essential to have a place to put it when not on the water. If you own a boat trailer, you can park the boat on your driveway or backyard. You will have to pay for harbor or dock space if the boat is too big to fit on a trailer.
The storage cost may vary depending on the local marina cost or the size of your boat. You can pay anywhere between a few hundred dollars to more than a thousand dollars a month.
The annual mooring range is diverse from between $3,000 and $15,000 a year. To keep your boat from being damaged, you may also want to consider having a boat lift.
Equipping Your New Boat
Just like new cars, boats also come with various accessories and options. Factor in the cost of accessories, water toys, and electronics when pricing your boat. Purchase what you think is appropriate for your activities on the water, boat size, and type.
Modern marine electronics are reliable and come with unique and unheard of features. Do not compromise protective equipment. Marine accessories available today will improve boating safety and enjoyment and make it simpler than it was only a few years ago. Check out the marketplace to see where you can shop in your area.
Average Boat Fuel Costs per Year
Motorboats consume a lot of gas. Boat fuel price is higher compared to what you would spend in a gas station filling your vehicle.
For this case, we will use the per-gallon price of $2.50 as our rate. However, it may be higher compared to other places. Most speedboats consume around 20 or 30 gallons of fuel per hour when speeding. A five-hour trip can cost up to $300 per outing. If, for instance, you use your boat once a week, you may end up paying at least $16,000 a year on gasoline alone.
A slower pontoon boat, on the other hand, uses less gas. Most use around five gallons an hour and have fuel costs of around $3,000 annually for similar trips on the water. Boat fuel costs can be affordable if you do not need that much speed.
Boat Insurance
Do not attempt to operate a boat without having good insurance coverage. Authorities record close to 5,000 recreational boat accidents annually. Boat damages after an accident can be very expensive to repair.
Fortunately, boat insurance is not expensive. It costs a few hundred dollars annually for private citizens. However, it may add up to over $1,000 depending on the owner or operator’s history and the type of vessel in some cases.
Another thing that will determine the cost of boat insurance is the number and age of the people on the insurance policy. Read through your insurance policy carefully to avoid paying heavily for a false or unclear claim.
Boat Maintenance
Maintenance for your boat, engine, and trailer may be as easy as giving them a freshwater wash after each use and having them covered in between adventures. This straightforward job would go a long way toward lowering your maintenance costs.
Hire a specialist if you do not have the time or do it yourself if you don’t have the money to pay a professional. It will pay off in the long run. The cost of routine maintenance varies by region, but more involved services, such as oil changes and antifouling, would be more expensive. Pre-owned boats require frequent maintenance.
Get your boat engine serviced after 12 months or every 100 hours of use, whichever comes first. You cannot walk home if you break down while on the water, unlike a car.
The Legalities
Different states have different legalities. You need to pay for licensing and registration and local taxes applicable in your state. The legalities do not add a ton to ownership total price but are worth considering.
The average cost of boat ownership
Lets assume that you buy a used speedboat at a cost of $100,000 and your marina charges around $5,000 to store it annually. You head out once a week at a low speed, which amounts to about $12,000 per year for fuel and your insurance provider charges $1,500 annually.
Including repairs, expect to pay around $295,000 over ten years as boat owner. That is around $29,500 annually or $2,460 every month.
However, for a pontoon boat, you can expect to spend half that much. For a luxury yacht, be prepared to part with ten times that amount.
