BUYING: WHAT TO EXPECT
Now that we have helped you find your boat, what comes next? What is involved and how complicated is it? Can Reef Runner Yacht Sales handle everything or do I need to hire others to complete the deal? Relax. Reef Runner Yacht Sales has you covered from beginning to end. You have figured out what you want to buy, let us handle how you buy.
When we find the boat you want, you need to make a formal offer. A formal offer protects you as the buyer and also lets the seller know you are serious about the boat. We will draw up a "Purchase and Sale Agreement" (Purchase Agreement) which specifies your offer and also sets the conditions by which you will proceed with the purchase of the vessel or walk away from the deal.
The main elements of the purchase process are:
1. The Offer: We will draw up a Purchase Agreement specifying the amount you want to pay. This offer is for a limited period of time (usually about 3 days from the offer date) and it must be accepted, countered, or rejected by the seller. It outlines any conditions for the purchase like a sea trial, survey, certain repairs, etc., with an acceptance or rejection of vessel date (varies depending on whether scheduling sea trial, survey, repairs, financing) and a closing date which is usually about 30 days or so out from the offer date.
2. The Back and Forth: Once the offer is made, unless it is for the full purchase price, there may be some back and forth between the parties to reach an agreement. The seller may counter with a slightly higher purchase price and you can accept or re-counter until an agreement is reached or you decide to walk away from the boat.
3. The Deposit: Just like buying a house, an up front deposit is required to be held in escrow to purchase a vessel. A 10% deposit is due at the time of the offer which we will hold in our escrow account. Your deposit is fully protected and insured during this process and will be applied to your purchase at closing or returned to you in full if you decline the boat.
4. Acceptance or Rejection of Vessel: This date is normally set 2+ weeks out from the offer date to allow the scheduling of a sea trial and survey, plus time to finalize insurance and financing, if necessary. This is the last possible date to accept or reject the vessel.
5. The Closing Date: This is the date the sale becomes final and all monies are due. Our closing coordinators will make sure your closing proceeds smoothly and easily. We will guide you through the taxes, fees, and documentation necessary to complete the deal. The closing documents will be sent to you for signatures and you simply send them back to us. The Bill of Sale will be executed and you will receive title to the boat.
Congratulations, you now own your boat!